Offering under asking on "offers in excess"

jonnydeppiwish!

Ours was offer IEO. £500k, we offered £460k and got it for £465k post survey. Needed £120k spending on it and probably just make our money back if we sell. Thankfully this is a house for the long term unlike the last 3 😂 

koalakoala

It all depends where you live
Where I am it is almost impossible to buy without offering over
Never known a house here go for less

ReadySteadyPop

Chief_of_Staffy said:

I personally never view properties tagged with 'in excess of'. Life's too short to deal with such people.

Good point, it sounds really dated now that phrase.

mlz1413

Previous purchase price is not relevant if work has been done.
Unless you can find previous listing too and compare what work has been done.

I bought my previous house for £245k, over the next 10 years myself and partner transformed the place and sold for £625k.


I would offer what you think thst house is worth in the current market.  If that is less then explain to agent why, make the offer and wait.

I would say that 2 months on market is not that long in current conditions.  But you can leave the offer on table and keep looking.

strawb_shortcake

koalakoala said:

It all depends where you live
Where I am it is almost impossible to buy without offering over
Never known a house here go for less

A man I work with is in the process of buying his first house, I was really surprised when he said he only had to go over by £5k and his offer was accepted.  He lives 2 counties away from me, where I live properties are rarely bid over unless there's a lot of interest. 
There weren't any offers on the table, and a sale had already fell through, I think he's paid more than needed but he was advised by someone that hasn't bought or sold a house in 30 years

Smalltownhypocrite

peterhjohnson said:

Smalltownhypocrite said:

As a given do not offer more than 10% under asking, 

Disagree. Work out the market price based on local recent sold comparables and offer that. Even if it's 20% under. You probably won't get the house and certainly not immediately but you might eventually. No way should you offer and pay 10% less than a stupidly high price!

A house thats over 20% above the actual value is a waste of time to look at, they will be deluded seller I mentioned.

There's loads like that round here in the 2+ years I was looking, none have sold because they set their mad price and don't want to accept its worth less. Things don't 'accidentally' get massively overpriced by serious sellers.

ReadySteadyPop

Smalltownhypocrite said:

peterhjohnson said:

Smalltownhypocrite said:

As a given do not offer more than 10% under asking, 

Disagree. Work out the market price based on local recent sold comparables and offer that. Even if it's 20% under. You probably won't get the house and certainly not immediately but you might eventually. No way should you offer and pay 10% less than a stupidly high price!

A house thats over 20% above the actual value is a waste of time to look at, they will be deluded seller I mentioned.

There's loads like that round here in the 2+ years I was looking, none have sold because they set their mad price and don't want to accept its worth less. Things don't 'accidentally' get massively overpriced by serious sellers.

Good points.

Bigphil1474

In excess of, in region of, over etc. are all just marketing tools used by EA's and some vendors, to try and prevent people low balling. We offered on a few houses last year and we treated them all the same whether it was offers over or not - if we liked them, we offered what we wanted to pay, if they turned it down, we'd negotiate, then walk away. One place was up at £360k, and had been on the market about 9 months I think. We started around £330k, and ended up at £345k, but didn't want to go any higher, so walked away. House sold at £360k a few weeks later. You're the one who decides what to offer.

ReadySteadyPop

Bigphil1474 said:

In excess of, in region of, over etc. are all just marketing tools used by EA's and some vendors, to try and prevent people low balling. We offered on a few houses last year and we treated them all the same whether it was offers over or not - if we liked them, we offered what we wanted to pay, if they turned it down, we'd negotiate, then walk away. One place was up at £360k, and had been on the market about 9 months I think. We started around £330k, and ended up at £345k, but didn't want to go any higher, so walked away. House sold at £360k a few weeks later. You're the one who decides what to offer.

"Marketing Tool" is a good description for the present market, no one really takes this seriously now, in more frothy markets of the past sellers really meant it and could get away with it.

peterhjohnson

Smalltownhypocrite said:

peterhjohnson said:

Smalltownhypocrite said:

As a given do not offer more than 10% under asking, 

Disagree. Work out the market price based on local recent sold comparables and offer that. Even if it's 20% under. You probably won't get the house and certainly not immediately but you might eventually. No way should you offer and pay 10% less than a stupidly high price!

A house thats over 20% above the actual value is a waste of time to look at, they will be deluded seller I mentioned.

There's loads like that round here in the 2+ years I was looking, none have sold because they set their mad price and don't want to accept its worth less. Things don't 'accidentally' get massively overpriced by serious sellers.

A deluded seller I encountered eventually sold to me for 17% under asking but maybe you're right about the 20% guys :-)