Should I write a letter to the seller to make a a case for why they should accept our offer?

jimbog

HillStreetBlues said:

hulu72 said:

maxxpayne said:

Update. Made an offer to 810 eventually. 

The agent called back and said it was a strong offer but called again to see if we could go higher so I said 815 and that’s it I said. We’re over paying by 20k I think but it’ll be our home at the end of the day and not everything needs to be calculated on monetary scale I guess?

Anyway, let’s see what happens. 

At the end of the day if this really is your dream home I’m guessing you’re planning on being there for the next 10+ years? People get so hung up on ‘overpaying’ etc that they end up losing their dream home, when in reality the capital growth over that period is going to negate any amount you believe you’re overpaying

To me it's like going to a restaurant cause you really fancy steak and chips, when the menu comes you order sausage and mash. When asked did you enjoy it, you state no, I wanted steak and chips. Asked why you never order steak and chips you reply sausage and mash was better value.

reminds me when I was told that the true 'value' of the clothes you've bought isn't the price that you paid but the price you paid divided by the number of times you will wear it

maxxpayne

UPDATE:

So the agent came back to me and told me the seller won't budge below 825. 

The forerunner who made an offer over us apparently have matched it but they they have a chain and we're the preferred buyers, if we match as we effectively have no chain.

I'm really not sure what to do now?

While I'm lucky to have a good job, the idea of a 485k mortgage for another 25 years when I'm in my late 40's already worries me - and now we're adding 25k on top of our budget. 

25k over 25 years is 1k a year + interest = 40k almost. It's a house in a nice place in north London so prices will appreciate, but probably won't match 25k invested in FTSE 100 or S&P 500?

Also, should I dip into savings and come up with the extra 25k or add to mortgage? The best rate we have now is 3.99%

Help!

maxxpayne said:

Update. Made an offer to 810 eventually. 

The agent called back and said it was a strong offer but called again to see if we could go higher so I said 815 and that’s it I said. We’re over paying by 20k I think but it’ll be our home at the end of the day and not everything needs to be calculated on monetary scale I guess?

Anyway, let’s see what happens. 

sarah_diamond

maxxpayne said:

UPDATE:

So the agent came back to me and told me the seller won't budge below 825. 

The forerunner who made an offer over us apparently have matched it but they they have a chain and we're the preferred buyers, if we match as we effectively have no chain.

I'm really not sure what to do now?

While I'm lucky to have a good job, the idea of a 485k mortgage for another 25 years when I'm in my late 40's already worries me - and now we're adding 25k on top of our budget. 

25k over 25 years is 1k a year + interest = 40k almost. It's a house in a nice place in north London so prices will appreciate, but probably won't match 25k invested in FTSE 100 or S&P 500?

Also, should I dip into savings and come up with the extra 25k or add to mortgage? The best rate we have now is 3.99%

Help!

Imagine you get a phonecall from the EA this afternoon saying actually, sorry they've gone with the other people. Will you kick yourself for not increasing to 825k?

Only you know how you'll feel later, and only you have seen the house so know what it's worth to you.

Tiglet2

"While I understand that the offer is at the lower range of the asking price, I believe we are strongly poised as buyers:

1. Chain-Free: We have a written offer from XXX who are interested in a cash purchase of our current flat. XXX completes the process in less than 6 weeks."

maxxpayne said:

UPDATE:

So the agent came back to me and told me the seller won't budge below 825. 

The forerunner who made an offer over us apparently have matched it but they they have a chain and we're the preferred buyers, if we match as we effectively have no chain.

I'm not sure you are in a good position actually.  You aren't chain free.  You have a cash buyer, then you, then the seller. Where is the seller moving to?  Could there be on onward chain not yet formed? That's three people so far in your chain.  Presumably all three of you will instruct solicitors to act in the legal transfer so all three solicitors will be doing their due diligence, therefore the conveyancing will take as long as it takes. 

For information a leasehold property (your flat) is very unlikely to complete in 6 weeks, even with a cash buyer.  In fact, leaseholds take quite a bit longer than freeholds.  The "forerunner" interested in this property may be selling a freehold property, which would make them more preferable in my opinion.

maxxpayne

Tiglet2 said:

"While I understand that the offer is at the lower range of the asking price, I believe we are strongly poised as buyers:

1. Chain-Free: We have a written offer from XXX who are interested in a cash purchase of our current flat. XXX completes the process in less than 6 weeks."

maxxpayne said:

UPDATE:

So the agent came back to me and told me the seller won't budge below 825. 

The forerunner who made an offer over us apparently have matched it but they they have a chain and we're the preferred buyers, if we match as we effectively have no chain.

I'm not sure you are in a good position actually.  You aren't chain free.  You have a cash buyer, then you, then the seller. Where is the seller moving to?  Could there be on onward chain not yet formed? That's three people so far in your chain.  Presumably all three of you will instruct solicitors to act in the legal transfer so all three solicitors will be doing their due diligence, therefore the conveyancing will take as long as it takes. 

For information a leasehold property (your flat) is very unlikely to complete in 6 weeks, even with a cash buyer.  In fact, leaseholds take quite a bit longer than freeholds.  The "forerunner" interested in this property may be selling a freehold property, which would make them more preferable in my opinion.

The cash buyer in this case is Islington council - who are conveniently are the leaseholder.

maxxpayne

sarah_diamond said:

maxxpayne said:

UPDATE:

So the agent came back to me and told me the seller won't budge below 825. 

The forerunner who made an offer over us apparently have matched it but they they have a chain and we're the preferred buyers, if we match as we effectively have no chain.

I'm really not sure what to do now?

While I'm lucky to have a good job, the idea of a 485k mortgage for another 25 years when I'm in my late 40's already worries me - and now we're adding 25k on top of our budget. 

25k over 25 years is 1k a year + interest = 40k almost. It's a house in a nice place in north London so prices will appreciate, but probably won't match 25k invested in FTSE 100 or S&P 500?

Also, should I dip into savings and come up with the extra 25k or add to mortgage? The best rate we have now is 3.99%

Help!

Imagine you get a phonecall from the EA this afternoon saying actually, sorry they've gone with the other people. Will you kick yourself for not increasing to 825k?

Only you know how you'll feel later, and only you have seen the house so know what it's worth to you.

I probably should've tried 820k but went straight for 825k. That's the last final offer. I'm done.

thegreenone

If you have the extra £25k in savings and still have enough for SDLT and moving costs, emergencies etc - go for it.  Sometimes the heart needs to slide into the head.

We had a similar situation when we bought here.  We both had the Heart feeling and decided to push ourselves financially. Some tough times, particularly when the children were young but here we are six weeks away from living here for 30 years and wouldn't have changed a thing.  

dinosaur66

buy it if you love it

your property in london if a house and not a flat will increase massivley by the time you have paid off the mortgage just the same as you flat must have increased

get into a hot property market and  your property will make up the difference in a few months

ReadySteadyPop

hulu72 said:

maxxpayne said:

Update. Made an offer to 810 eventually. 

The agent called back and said it was a strong offer but called again to see if we could go higher so I said 815 and that’s it I said. We’re over paying by 20k I think but it’ll be our home at the end of the day and not everything needs to be calculated on monetary scale I guess?

Anyway, let’s see what happens. 

At the end of the day if this really is your dream home I’m guessing you’re planning on being there for the next 10+ years? People get so hung up on ‘overpaying’ etc that they end up losing their dream home, when in reality the capital growth over that period is going to negate any amount you believe you’re overpaying

Not if interest rates go up, then you will probably lose money.

dinosaur66

ReadySteadyPop said:

hulu72 said:

maxxpayne said:

Update. Made an offer to 810 eventually. 

The agent called back and said it was a strong offer but called again to see if we could go higher so I said 815 and that’s it I said. We’re over paying by 20k I think but it’ll be our home at the end of the day and not everything needs to be calculated on monetary scale I guess?

Anyway, let’s see what happens. 

At the end of the day if this really is your dream home I’m guessing you’re planning on being there for the next 10+ years? People get so hung up on ‘overpaying’ etc that they end up losing their dream home, when in reality the capital growth over that period is going to negate any amount you believe you’re overpaying

Not if interest rates go up, then you will probably lose money.

ReadySteadyPop said:

hulu72 said:

maxxpayne said:

Update. Made an offer to 810 eventually. 

The agent called back and said it was a strong offer but called again to see if we could go higher so I said 815 and that’s it I said. We’re over paying by 20k I think but it’ll be our home at the end of the day and not everything needs to be calculated on monetary scale I guess?

Anyway, let’s see what happens. 

At the end of the day if this really is your dream home I’m guessing you’re planning on being there for the next 10+ years? People get so hung up on ‘overpaying’ etc that they end up losing their dream home, when in reality the capital growth over that period is going to negate any amount you believe you’re overpaying

Not if interest rates go up, then you will probably lose money.

in london ?

i bought  property in stratford 1989 and 1998 

one has increased 9 x what i paid and the other 10 x what i paid