What to offer on a house

ReadySteadyPop

Herzlos said:

ReadySteadyPop said:

Herzlos said:

ReadySteadyPop said:

jp1233 said:

Hi all,

I’m looking for some advice. House has been on the market for over 4 months (video from estate agents), and was reduced to 750k late November. It’s a countryside house with 5 acres of land so not a lot to compare it to of similar style. It sold in December 2017 for 565k. Looking at google street view the land has basically become overgrown and abandoned, so my guess is it is too much for them. We hadn’t thought about it in initially, however with the extended time on the market, we are now considering offering £650k. I know you are not the owners but would this be worthwhile?

I wouldn`t offer any more than 565k, interest rates have moved up a lot since then and mortgage rates are almost certain to rise next year, what have they done to the house that they think increases the value? Are you using PropertyLog to follow price movements on similar property?

Please stop giving people such terrible advice. If it sold for 565k in 2017, it's almost certainly worth more now and has presumably been valued by experts at over 700k. It's debatable whether the vendor will even consider 650k.

Unlikely. The only valuation that counts is the one done by your lender.

And who do you think is going to be nearer the lenders estimate? An estate agent or some guy on the internet with the worst track record of real estate dealing I've ever encountered?

They know the area, the market, the trends, what the bank is looking for etc, and you troll the internet about a house price crash that's been impending for 21 years now.
You are also the only person I've ever seen mention PropertyLog, which I'm not sure is even useful here. It'll show if a selling price has been reduced but it won't show what properties are actually selling for.

Given how much house prices have gone up by since 2017, 700k isn't unreasonable, though the increase was biased towards the sub-300k properties. Prices are up here in rural nowhereville by about 30%, which would be 734k.

"They know the area, the market, the trends, what the bank is looking for etc"

In that case why is it still on the market with price reductions and the OP thinking of offering 100k less than asking?