Offering below asking - is this always applicable to all locations?

RHemmings

I would definitely look at houses a bit more expensive. But, before making a lower offer, check comparables to see if the price is higher than it should be. 

Hoenir said:

theonenonly said:

As a FTB, I'm wondering whether I should look at properties above my max and offer below asking, or if it will be a waste of everyone's time? 

A decent EA won't pass your offer on unless their satisfied that you are a serious buyer. No shortage of window shoppers that do waste people's time. With zero intention of ever making realistic offers. 

Surely EAs are required to pass on all offers, unless the seller has instructed them not to pass on certain offers (e.g. those less than a certain amount.) 

TheJP

FTB says it all. There is no system, if you like the house, want the house and can afford it then offer what you feel it is worth. If you have done your research and seen comparable houses are 10% lower then offer 10% lower. There is no hard rule that you have to offer 10% lower, this is why i dont sell to FTBs. 

TheJP

RHemmings said:

I would definitely look at houses a bit more expensive. But, before making a lower offer, check comparables to see if the price is higher than it should be. 

Hoenir said:

theonenonly said:

As a FTB, I'm wondering whether I should look at properties above my max and offer below asking, or if it will be a waste of everyone's time? 

A decent EA won't pass your offer on unless their satisfied that you are a serious buyer. No shortage of window shoppers that do waste people's time. With zero intention of ever making realistic offers. 

Surely EAs are required to pass on all offers, unless the seller has instructed them not to pass on certain offers (e.g. those less than a certain amount.) 

Depends on the instruction from the seller, i told my EA a certain criteria around offers. 

Myci85

Wow, always so much negativity on these boards towards FTB. I think a lot of people forget that they too were once a first time buyer, and it's a process you inevitably have to learn about as you go along. Better to ask questions when learning about something than not. It's like when people are impatient and rude to learner drivers - we all have to start somewhere!

OP, as you look at a few houses, and see some selling, you'll start to get a feel for how fast properties you're looking at are selling, and hence how likely lower offers are to be accepted. Also, there's nothing wrong with testing the waters out if you like a place and making an offer to see the response. I set my rightmove search to include properties a little over budget, I wouldn't go and view these properties if they were new to market unless only slightly above my top budget. But if they had sat on the market for a while, it's worth a try. 

koalakoala

penners324 said:

In my area if you offered below asking you'd get laughed out of town

Same here lol

TheJP

Myci85 said:

Wow, always so much negativity on these boards towards FTB. I think a lot of people forget that they too were once a first time buyer, and it's a process you inevitably have to learn about as you go along. Better to ask questions when learning about something than not. It's like when people are impatient and rude to learner drivers - we all have to start somewhere!

OP, as you look at a few houses, and see some selling, you'll start to get a feel for how fast properties you're looking at are selling, and hence how likely lower offers are to be accepted. Also, there's nothing wrong with testing the waters out if you like a place and making an offer to see the response. I set my rightmove search to include properties a little over budget, I wouldn't go and view these properties if they were new to market unless only slightly above my top budget. But if they had sat on the market for a while, it's worth a try. 

All backed up by experience of which the posters on the forum have bought and sold properties. I did my research as an FTB, looked at other properties and offered the asking price because we wanted the house, it was in good condition and comparable to other similar properties. 

RHemmings

TheJP said:

RHemmings said:

I would definitely look at houses a bit more expensive. But, before making a lower offer, check comparables to see if the price is higher than it should be. 

Hoenir said:

theonenonly said:

As a FTB, I'm wondering whether I should look at properties above my max and offer below asking, or if it will be a waste of everyone's time? 

A decent EA won't pass your offer on unless their satisfied that you are a serious buyer. No shortage of window shoppers that do waste people's time. With zero intention of ever making realistic offers. 

Surely EAs are required to pass on all offers, unless the seller has instructed them not to pass on certain offers (e.g. those less than a certain amount.) 

Depends on the instruction from the seller, i told my EA a certain criteria around offers. 

Yes, as per my post 'unless the seller has instructed them not to pass on certain offers'. 

theartfullodger

Always worth a try.  About 24 years ago I offered I think about 25% below the "offers over" price of a 3 bed house, cash purchase, see views, tatty.   .Refused in the rudest most blunt way I've ever had from an agent.

I thanked them politely and calmly.

Offered again exactly same price a week later.  Accepted, bought it.  Sold a couple of years ago.


Depends how much a gambler you are and if p**ing off agents upsets you.

Myci85

TheJP said:

Myci85 said:

Wow, always so much negativity on these boards towards FTB. I think a lot of people forget that they too were once a first time buyer, and it's a process you inevitably have to learn about as you go along. Better to ask questions when learning about something than not. It's like when people are impatient and rude to learner drivers - we all have to start somewhere!

OP, as you look at a few houses, and see some selling, you'll start to get a feel for how fast properties you're looking at are selling, and hence how likely lower offers are to be accepted. Also, there's nothing wrong with testing the waters out if you like a place and making an offer to see the response. I set my rightmove search to include properties a little over budget, I wouldn't go and view these properties if they were new to market unless only slightly above my top budget. But if they had sat on the market for a while, it's worth a try. 

All backed up by experience of which the posters on the forum have bought and sold properties. I did my research as an FTB, looked at other properties and offered the asking price because we wanted the house, it was in good condition and comparable to other similar properties. 

I would argue that asking people who are more experienced than you is a form of research. I'm a FTB and have learnt an awful lot from people on these forums. 

RHemmings

Myci85 said:

TheJP said:

Myci85 said:

Wow, always so much negativity on these boards towards FTB. I think a lot of people forget that they too were once a first time buyer, and it's a process you inevitably have to learn about as you go along. Better to ask questions when learning about something than not. It's like when people are impatient and rude to learner drivers - we all have to start somewhere!

OP, as you look at a few houses, and see some selling, you'll start to get a feel for how fast properties you're looking at are selling, and hence how likely lower offers are to be accepted. Also, there's nothing wrong with testing the waters out if you like a place and making an offer to see the response. I set my rightmove search to include properties a little over budget, I wouldn't go and view these properties if they were new to market unless only slightly above my top budget. But if they had sat on the market for a while, it's worth a try. 

All backed up by experience of which the posters on the forum have bought and sold properties. I did my research as an FTB, looked at other properties and offered the asking price because we wanted the house, it was in good condition and comparable to other similar properties. 

I would argue that asking people who are more experienced than you is a form of research. I'm a FTB and have learnt an awful lot from people on these forums. 

I was a FTB here up until January. I think more experienced people here sometimes get tired of the questions from FTBs, and FTBs not progressing as fast as other people would. But, a house purchase is an important life event, and it's important to take the time to learn. There are many ways that a house purchase can go wrong - from minor ones such as paying a bit over the odds, to major ones such as buying a 'millstone around the neck' property. There's a lot to learn, when FTBs are often people with other things going on in their life such as work and family responsibilities.