House price negotations

Morba said:
? I've not corrected anything that you have said.
You openly talk about assets and openly admit to throwing money after money at things, so £3k will not mean anywhere near as much to you as it will to a FTB who is trying to save money.
I was supporting what you were saying.
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And i was agreeing with you, sorry not one of my finest posts.
 
Pestilence said:
If there's one thing you should know, it's that estate agents are lying scum. Don't listen to a thing they say.

All you have to do is ring the agent, give them a figure, and leave them to it. Don't argue, discuss it, or attempt to justify the amount you've offered.

Go in first with £197k.

You'll probably be called back within 20 minutes with a refusal -- during which time the agent probably set the phone down, twiddled their thumbs, then called you back to say the vendor refused.

You then say that you need to think about it further, and will get back to them.

Around and hour or two later, call them back and offer £205k. It might take them a little while this time as they'll actually check with her.

If it's a refusal, tell them that you're not willing to go higher at this point in time, as there are other properties you're interested in that you wish to go begin negotiations on.

It's a given they'll then call you repeatedly over the next couple of days to see how you're feeling about it. Drag it on, telling them you haven't exactly given up, but things are looking good and not progressing so slowly on a different property at a similar price.

If they haven't relented, tell them (flippantly during the conversation) that the last you'll be willing to jump to on this one is £212k, if they can guarantee a quick turnover of the property.

Job done. Or, you walk away at this point because she's a stubborn bitch.
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Do this, but also on exchange day, drop back down to your original offer and tell them its that or nothing :p
 
eatcustard said:
Bad advice, is bad

Start low work up to your max, you may get it for less than you think

but dont put your best offer in for a few days, to to make them sweat a little
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Depends on the local market. In some popular areas people spend months getting beaten to houses because they simply aren't getting a decent offer in quick enough.

That said, this doesn't seem to be the case for the OP (house on market for 4-5 months already, FTB so strong position to move).
 
Pestilence said:
Not sure all the hassle is worth it for about 3k that you'll barely even notice on a mortgage, for for 10k+ it's definitely worth the effort. That's a new home cinema system and refurbed entertainment room right there!
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how would you feel if someone said ''make 27 phone calls over the next 27 hours and i'll give you 3k'' ? i know knocking 3k off a house isn't 3k in your hand but never the less, it's 3k off and it's pretty simple at the end of the day.
 
Few key points
- the agent will act like they are working on your behalf and helping you get a good deal, they are not they want to maximise commission by getting the best price. Assume that those "other people that are interested" are fake and "you need to put an offer in quick" is just a way to help line the agents pockets.

- always keep the pressure on the agent and vendor. Set clear timescales of how long the offer is on the table for and make it clear that you will be putting an offer in on another property after this point. Never give away too much to the agent, they will try and see how desperate you are.

- do not keep going back with higher and higher offers. Put in an initial cheeky offer which will get rejected, say you need to reassess as there are other properties at a similiar price, then after consideration put a final second offer in with very clear conditions and as above set a deadline.

- do not get emotionally attached to the property until you are given the keys, and do not pay more than it is worth. You will regret it long term. If the price that you are happy to pay is not accepted then walk away.

Taking this approach saved me over 10% off the purchase price
 
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