FTB: What would you offer for this flat?

whaleroad

I'm a first-time buyer and I've found a flat I really like, in an area where there are slim pickings in my price bracket. The location is ideal for work and the flat is in tip-top condition, which is a real bonus for me.

Current asking price is £285,000 and it was already reduced in price a couple of months ago. I think it's been on the market since about January.

It's share of freehold, which is rare in my searches, has a long lease and low maintenance fees.

It's in a block where all the flats are the same size and layout. Another flat in the block sold for £280,000 late last year.

There is one other interested buyer, but they're in a chain and haven't sold their own flat. I have no chain.

I asked ChatGPT which is telling me to go in at £250k, which seems very low and I don't want them to think I'm either not serious or insult them so they are less willing to take a renegotiated offer.

The owner has moved in with their partner so they are pretty keen to get rid.

I really don't want to lose this flat as I haven't seen anything that's come close to being as good. What would a typical opening offer be? Does the fact another flat in the block sold for £280,000 mean I should lower my expectations of getting a better price?

As a first-time buyer it's already hard and I'm looking to keep my mortgage repayments comfortable rather than squeezing myself to my maximum limit.

MayDogsandCoffee

Speak to the estate agent who will have an idea about how low an offer they would accept. If you are good to go, I would probably offer £270K as a starting bid as you can offer quick exchange.

Nearlyold

Whilst the EA will obviously want to sell at the highest price, if there's no sale there's no commision.

SarahB16

Another option is to offer £265k and remind the estate agent that you are not in a chain. No need to let the estate agent think it's your final offer.

The seller may come back to you and ask you if you are willing to offer £270k - great.

If you initially offer £270k and the seller asks for £275k. What have you saved? £5k less than the price that other flat was sold for. Obviously, I don't know how similar the flats are.

The market has cooled since late last year. In my opinion go in at £265k with a friendly demeanor as you then have scope to increase your offer.

whaleroad

Thanks, this is helpful. I've done some digging and it's been on the market for longer than I realised, nearly a year, but the seller switched agents. It was originally on at £300k.

The estate agent asked me when I had a second viewing whether I had any figure in mind. I said no, that I was still researching. That's not entirely true, but I'm nervous about giving numbers. I met the seller on the first viewing and he said he was open to offers, but I didn't push for more direction from him or the agent. That was probably a mistake. I can ask when they call me to follow up. They know I'm interested.

Placitasgirl

Another angle to think about it from…. How would you feel if you discovered tomorrow that an offer on the flat of £270k from somebody else had been accepted?

If you’d be gutted/devastated (given how much you like the flat, how ideal it is for work, you’d condition and and how slim the pickings in your price bracket are) then I think you have your answer… offer £265k and stress to the agent/vendor that you’re chain free, in a position to proceed immediately and keen to complete the sale as quickly as possible. This all means marketing yourself as the “perfect buyer” to a seller.

If a counter offer comes back be prepared to immediately offer up to £270k.

It sounds like you’re really quite smitten by this property and remember that it’s more than just bricks and mortar, it could be your future home, and if that means you have to go to £270k to secure it then I’d say be prepared to do so.

whaleroad

https://forums.moneysavingexpert.com/discussion/comment/82127490#Comment_82127490

To be honest I'd go to £275k but I'd much rather not.

Albermarle

In most regions, the market has cooled a bit since late last year - especially flats are proving hard to sell in the current market. Although of course desirable ones may see more interest.

Normally ( but not always) you can get 5 to 10% off an asking price, but where the asking price has been reduced, the seller tends to be a bit more resistant to low offers. On the other hand it sounds like it is empty and the vendor wants to get it sold. I would start at £260K and see what the reaction is.

Also remember negotiations do not always have to be in £5K up and down. £268K is better than £270 K !

caprikid1

"There is one other interested buyer, but they're in a chain and haven't sold their own flat."

Who told you this ? No interest in over a year and as soon as you look at it there is someone else interested ?

FTB flat and there person interested in it is in a chain ?

whaleroad

https://forums.moneysavingexpert.com/discussion/comment/82127558#Comment_82127558

I don't know that there's been no interest in over a year. I asked the estate agent yesterday (my second viewing) if there had been much interest so far. He said no, adding that one person was interested but was struggling to sell their London flat. He shrugged it off as insignificant, and wasn't using it as a bargaining chip or to pressure me, so I have no reason to think he wasn't telling the truth.

I don't know what you mean by "FTB flat". I'm the FTB. The flat is just a flat.

Albermarle

https://forums.moneysavingexpert.com/discussion/comment/82127563#Comment_82127563

How many bedrooms does it have? One bedroom flats can be very difficult to shift.