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On what grounds could I reasonably request a reduction in price?

BigBoss
BigBoss Posts: 170 Forumite
Ninth Anniversary 100 Posts Name Dropper Combo Breaker
edited 15 November 2022 at 12:54PM in House buying, renting & selling
I've just had a survey done and in anticipation of its receipt, I just wanted to know what things would enable a buyer to, reasonably, ask for a reduction in price? I'm thinking things like servicing of electric/gas if there is no evidence of recent checks etc...

Looking for simple one word answers here e.g.  "damaged roof"
«13456

Comments

  • eddddy
    eddddy Posts: 18,175 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 31 October 2022 at 12:27PM

    If I was the seller, I'd concentrate most on the buyer's mortgage valuation.

    My argument would be: if the property is in poor condition (e.g. aging roof, rotting windows) and a mortgage valuer values it at £300k, they feel it's worth £300k in that condition.  So I would push back hard on an offer below that valuation.


    And I would take less notice of a valuation provided by a surveyor who was instructed by the buyer. They tend to value low (and quote 'top-end' repair costs) as a tactic to help buyers negotiate a lower price.


    (But if a surveyor found problems that wouldn't have been obvious to a mortgage valuer - perhaps I'd take a softer view.)

  • badger09
    badger09 Posts: 11,679 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    eddddy said:

    If I was the seller, I'd concentrate most on the buyer's mortgage valuation.

    My argument would be: if the property is in poor condition (e.g. aging roof, rotting windows) and a mortgage valuer values it at £300k, they feel it's worth £300k in that condition.  So I would push back hard on an offer below that valuation.


    And I would take less notice of a valuation provided by a surveyor who was instructed by the buyer. They tend to value low (and quote 'top-end' repair costs) as a tactic to help buyers negotiate a lower price.


    (But if a surveyor found problems that wouldn't have been obvious to a mortgage valuer - perhaps I'd take a softer view.)

    BIB

    That’s not my experience. We instructed surveyor to survey & value 2 potential purchases in  2020. Neither required a mortgage. Family member similarly instructed surveyor a few weeks ago, again no mortgage required. 

    In all 3 cases the surveyor said he ‘considered the property to be a reasonable purchase at the agreed price’ (words to that effect). Prices agreed were £12k below on house over £500k, £500 above £410k asking (a gesture!) and £20k below OIRO £280k. 

    In none of those instances did we expect to reduce our offer (s) unless something unexpected & expensive came to light. 

    What evidence do you have that surveyors instructed privately ‘tend to value low as a tactic to help buyers negotiate a lower price?
  • blinko
    blinko Posts: 2,519 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    badger09 said:
    eddddy said:

    If I was the seller, I'd concentrate most on the buyer's mortgage valuation.

    My argument would be: if the property is in poor condition (e.g. aging roof, rotting windows) and a mortgage valuer values it at £300k, they feel it's worth £300k in that condition.  So I would push back hard on an offer below that valuation.


    And I would take less notice of a valuation provided by a surveyor who was instructed by the buyer. They tend to value low (and quote 'top-end' repair costs) as a tactic to help buyers negotiate a lower price.


    (But if a surveyor found problems that wouldn't have been obvious to a mortgage valuer - perhaps I'd take a softer view.)

    BIB

    That’s not my experience. We instructed surveyor to survey & value 2 potential purchases in  2020. Neither required a mortgage. Family member similarly instructed surveyor a few weeks ago, again no mortgage required. 

    In all 3 cases the surveyor said he ‘considered the property to be a reasonable purchase at the agreed price’ (words to that effect). Prices agreed were £12k below on house over £500k, £500 above £410k asking (a gesture!) and £20k below OIRO £280k. 

    In none of those instances did we expect to reduce our offer (s) unless something unexpected & expensive came to light. 

    What evidence do you have that surveyors instructed privately ‘tend to value low as a tactic to help buyers negotiate a lower price?
    the person paying for the surveyor tells them how they want the surveyor to approach the asset. its not unheard of for sure! in fact quite common, just see lease extensions. thats the most obvious example of the said situation.
  • eddddy
    eddddy Posts: 18,175 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    badger09 said:

    What evidence do you have that surveyors instructed privately ‘tend to value low as a tactic to help buyers negotiate a lower price?

    Discussions with surveyors I've instructed. I always expect surveyors, solicitors and other professionals I instruct to work in my best interests.

    It's great that you don't use surveys as a tool for negotiating, but maybe you should bear in mind that others might use them as a tool against you.

  • TheJP
    TheJP Posts: 1,988 Forumite
    1,000 Posts Fourth Anniversary Name Dropper
    eddddy said:
    badger09 said:

    What evidence do you have that surveyors instructed privately ‘tend to value low as a tactic to help buyers negotiate a lower price?

    Discussions with surveyors I've instructed. I always expect surveyors, solicitors and other professionals I instruct to work in my best interests.

    It's great that you don't use surveys as a tool for negotiating, but maybe you should bear in mind that others might use them as a tool against you.

    Isn't what you suggest, unethical? I.e. paying a  regulated professional to 'fix the books' in your favour regardless of what the house is worth...
  • jj_43
    jj_43 Posts: 336 Forumite
    100 Posts First Anniversary Name Dropper
    Knotweed .
  • Actual valuation (sorry two words). In this climate the house might be valued at well under what you offered. You might have to make up the shortfall, 
  • sidneyvic
    sidneyvic Posts: 164 Forumite
    100 Posts Name Dropper
    Why offer a price then try knocking the seller with any little excuse....

    I had a buyer do this once and house went straight back on the market, no discussion.
    They ended up writing directly to me with an apology asking me to re-accept their original offer.

    Why offer a price you are not willing to pay ????
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