Put an offer on a house

[PaulStat]

We placed an offer on a house yesterday afternoon, still waiting to hear back. (estate agent can't get in touch with vendor apparently, hopefully he's not playing games with us)

Our offer was about 5% under the asking price, I fully expect them to turn down the first offer. Just hoping 5% isn't too cheeky?

It's just as nerve racking as I remember it being last time.

 

[Haircut]

All things being equal, I'd say 5% under asking is being pretty generous in the current market.

 

[nicks3607]

Probably not too cheeky - that would be 10K under the price on a 200K house.
They'll be doing it to the people they're buying from, and so on and so on.

 

[agnes]

Yea, 5% under asking is a healthy offer. Would expect them to accept.

ags

 

[Malt_Vinegar]

Good luck, I think 5% is fair enough. Although, it would depend on many things, including how well priced the property is, and how the condition of it had been factored into any valuation.
Just going through the rental references process myself at the moment, with my GF to move into a 16th century barn conversion
I have owned a house before, but sold due to a change in circumstances. Currently finding the flexibility of renting much nicer

 

[agnes]

Good luck, I think 5% is fair enough. Although, it would depend on many things, including how well priced the property is, and how the condition of it had been factored into any valuation.
Just going through the rental references process myself at the moment, with my GF to move into a 16th century barn conversion
I have owned a house before, but sold due to a change in circumstances. Currently finding the flexibility of renting much nicer

My GF and I are moving into our first house (rented... to test the water living together), reference process took no more than 48 hours, was a peice of cake.

Very exciting Move in on the 12th feb. Can't wait!

ags

 

[Cosimo]

That is a good offer. Good luck with it.

 

[Third Opinion]

A Decent not offensive offer.

 

[PaulStat]

Ok first offer has been turned down (as expected really, it's in pretty good nick), will increase the offer by a couple of % tomorrow morning

 

[Global_Inferno]

Ok first offer has been turned down (as expected really, it's in pretty good nick), will increase the offer by a couple of % tomorrow morning

Personally I like to leave it a day or two. Unless the house is under multiple offers, then maybe not. Let them stew on it.

 

[Deleted member 66701]

Just hoping 5% isn't too cheeky?

I went 20% below on mine - ended up getting it for 9% off.

At the end of the day, they can only say no. If they say yes to your first offer though you'll be kicking yourself thinking you should have gone for more.

 

[ntg]

I went 20% below on mine - ended up getting it for 9% off.

At the end of the day, they can only say no. If they say yes to your first offer though you'll be kicking yourself thinking you should have gone for more.

Correct,

Also, when you put in only a 5% cut in your offer the seller will (perhaps) think that you can afford to pay the extra few thousands so they may be likely to turn it down (it also confirms their idea about the property's value which is a signal to them to hold on until someone offers the full price).

5% is too meek. You need to be bearish in this climate - bear in mind there are plenty of properties that you will like so there is no need to overpay or stretch your budget, just keep looking (unless there are pressing circumstances of course).

I'm on the lookout as well and I don't intend to offer more than -15% of the market price. Insulting? May be but I'm out to get a bargain and I am in no hurry so I can afford to wait until I get what I want (or be proven wrong and forced to up it in the end )

 

[Bes]

If you really must buy a house at the moment (Madness IMO) you want to be offering much less than -5%

 

[Morba]

5% is an odd offer imo, i'm amazed that it was not accepted. If they really thought they would get asking price then it would have made sense to have a higher price on the board.

 

[wez130]

I would have gone around 15% under too with the hope of getting it for around 10% off market price. I suppose it depends on how desirable the property is and how much interest it is getting.

 

[PaulStat]

People would really offer 10, 15 , 20% below asking price?! You're talking about knocking off anywhere up to £45k with the place we're looking at with those %'s

 

[ntg]

People would really offer 10, 15 , 20% below asking price?! You're talking about knocking off anywhere up to £45k with the place we're looking at with those %'s

Well, a seller always quotes higher than desired and a buyer always offers less than able.

Otherwise if you'd offer asking price the seller would feel bad, thinking he could have gotten more and if he agrees to a very small cut the buyer thinks he could have offered less. So a 10% is the minimum up/down I'd think. It makes you feel like you got a bargain and the seller gets his real price anyway.

 

[cm1179]

should have gone lower, you're in the driving seat. if they do accept your offer then it is condition to a survey, use the survey report to knock additional cash off for works required which you will find by going through the survey very carefully.

 

[PaulStat]

I was curious to find out what houses sold for on the same street, apparently the place next door sold for 7% less (in august) than what we offered. Then again I don't know the condition of the property next door, and the one we offered on did invest about 30k in the property apparently. Meh it's all an education

I'd be interested to know what the average % drop is.

 

[Blinkz]

I'm considering putting an offer on a flat, nice modern place however its towards the outside of town and as such it has fairly crap internet connectivity! Most places show it as only being able to get 0.5mbit on ADSL. Is it sad to not buy a place becasue of internet connection?? haha