Would you pay asking price or more for the right house?
Discussion
Reason I ask is we are moving house, this time to our "forever home". We thought we bought that when we moved to where we are now in 2009, but, 2 kids, 3 animals and 2 road bikes further on we need more space. Luckily having renovated and extended, we can also now afford it.
We have been exhausting what is available in our budget to suit our needs and seen a lot. We have now found something which ticks every single box, plus it is at a smidgen below our max budget, plus it has even more space and room than we could ever have imagined. The compromise is location. Location is fine, but it is not the chocolate box village where we are currently. FWIW it is around the same value as we have sold ours for, only around 25k more. (3 miles up the road, for the same money, we move out of a cramped 3 bed terrace with no drive or garage into a very large 4 bed semi with large drive, electric garage and lot's of space).
However, this house seems to be extremely good value for what else is available for the same price. As a result there is some serious interest, and basically tomorrow there is an open day, which is the only few hours that anyone can view it. The open day is crammed full. There have also been a few special pre visits, such as ours today, for those who are very serious about it that cannot make the open day. It has taken a week of pestering to even get through the door but we managed it. Although offers will not be considered until open day tomorrow, we have submitted one to the agent as we are not attending tomorrow. I believe the other couple who have seen it early have done the same, and I have no doubt many more will follow.
So - this is bound to get to an almost "sealed bid" scenario, which was hinted by the estate agent today. They are going to gather all the offers on Monday ( if any but there certainly will be ) and start to go through them. I am sure that the house will go for very close to the asking price, and to be honest, we have both agreed without doubt we would pay the asking price. My concern is that if it gets to a "what is your best and final offer" scenario - how do you pitch it? You have no idea what others are pitching or how much they want it. We can go above the asking price, but it kind of fees wrong to do this, as people never really do this do they? Plus I am wary of being led down this route by a hooky agent when there may have been insufficient threat to our initial offer to warrant it.
What are your thoughts?
We have been exhausting what is available in our budget to suit our needs and seen a lot. We have now found something which ticks every single box, plus it is at a smidgen below our max budget, plus it has even more space and room than we could ever have imagined. The compromise is location. Location is fine, but it is not the chocolate box village where we are currently. FWIW it is around the same value as we have sold ours for, only around 25k more. (3 miles up the road, for the same money, we move out of a cramped 3 bed terrace with no drive or garage into a very large 4 bed semi with large drive, electric garage and lot's of space).
However, this house seems to be extremely good value for what else is available for the same price. As a result there is some serious interest, and basically tomorrow there is an open day, which is the only few hours that anyone can view it. The open day is crammed full. There have also been a few special pre visits, such as ours today, for those who are very serious about it that cannot make the open day. It has taken a week of pestering to even get through the door but we managed it. Although offers will not be considered until open day tomorrow, we have submitted one to the agent as we are not attending tomorrow. I believe the other couple who have seen it early have done the same, and I have no doubt many more will follow.
So - this is bound to get to an almost "sealed bid" scenario, which was hinted by the estate agent today. They are going to gather all the offers on Monday ( if any but there certainly will be ) and start to go through them. I am sure that the house will go for very close to the asking price, and to be honest, we have both agreed without doubt we would pay the asking price. My concern is that if it gets to a "what is your best and final offer" scenario - how do you pitch it? You have no idea what others are pitching or how much they want it. We can go above the asking price, but it kind of fees wrong to do this, as people never really do this do they? Plus I am wary of being led down this route by a hooky agent when there may have been insufficient threat to our initial offer to warrant it.
What are your thoughts?
Interesting advice thanks. Its along the lines of what I was thinking. I can just hear my out of touch mother who has not delved into the market for over 25 years shaking her head and sighing about nobody ever getting the asking price. Times have changed though. This house purchase is everything we have ever wanted so its now ir never. We are under offer too. Looks like if it gets to that stage we will offer slightly over asking.
Amazing response and very honest replies, very grateful for those. I have had my wife read the thread - we are both very interested in the viewpoint. We agree with pretty much all of it. This for us is everything, it may not be the usual powerfully built PH poster's abode, but it is well in advance of what we thought we could ever buy. The house we are currently in is too, don't forget this is actually a sideways move for similar value. Amazing what 3 miles can do for your budget.
I am happy to disclose the house below, the open day is done, furthermore our buyers came round today to meet us and there is absolutely no rush. The chain beneath us is solid, they have first time buyers and our buyers are first class. We have set a price we are happy to go with this house to but have done nothing other than submit our offer on the doorstep after we viewed on Friday which is merely a footprint for us to be included in negotiations. Our offer is typed beneath the house link at bottom of post.
We are all too aware this could all be agent frenzy and keen not to appear over keen hence why we have seen, offered and remained quiet. We can exceed the asking price by 16k on paper but are looking at avoiding our max. Yes there are risks in posting all this on a public forum, but the price we are prepared to pay remains no matter what, and the chance of any of this getting to anywhere that matters is so remote that it is well worth gathering the PH opinion in my view. As has been said, there ARE other houses and after meeting our buyers today we are now totally comfortable in our position, which is under offer, mortgage agreed and with a solid chain.
The house : http://www.rightmove.co.uk/property-for-sale/prope...
Our initial offer to get us into the loop was 382'500. This will have to rise, I am sure. Our budget was 400k. Having spoken to our mortgage broker we have a max purchase price of 416k. We are thinking of an offer of 408k ish.
It is a blinding house with an amazing load of space and finished to a level that we would not need to do anything at all.
:-)
I am happy to disclose the house below, the open day is done, furthermore our buyers came round today to meet us and there is absolutely no rush. The chain beneath us is solid, they have first time buyers and our buyers are first class. We have set a price we are happy to go with this house to but have done nothing other than submit our offer on the doorstep after we viewed on Friday which is merely a footprint for us to be included in negotiations. Our offer is typed beneath the house link at bottom of post.
We are all too aware this could all be agent frenzy and keen not to appear over keen hence why we have seen, offered and remained quiet. We can exceed the asking price by 16k on paper but are looking at avoiding our max. Yes there are risks in posting all this on a public forum, but the price we are prepared to pay remains no matter what, and the chance of any of this getting to anywhere that matters is so remote that it is well worth gathering the PH opinion in my view. As has been said, there ARE other houses and after meeting our buyers today we are now totally comfortable in our position, which is under offer, mortgage agreed and with a solid chain.
The house : http://www.rightmove.co.uk/property-for-sale/prope...
Our initial offer to get us into the loop was 382'500. This will have to rise, I am sure. Our budget was 400k. Having spoken to our mortgage broker we have a max purchase price of 416k. We are thinking of an offer of 408k ish.
It is a blinding house with an amazing load of space and finished to a level that we would not need to do anything at all.
:-)
Well today has come (Monday) and I had to chase the agents today for an update, which Im a little perterbed by, however they had a couple of open days on Sat so I understand.
At close of play today they got back to me saying they had put forward the offers to the vendor who had to discuss it with their husband during the evening in order that negotiations start Tuesday. Guess that's fair.
I did get out of them that there were 3 offers including ours and that we were sat at 2 out of 3 in terms of value offer. They have intimated on both occasions though that it is not value but position that counts - I had told them we had a solid chain (having met our buyers on Saturday who are dream buyers, in love with our house and happy to wait as long as it takes with their buyers being first timers who feel the same about their property). I got the impression we may be the only ones proceed able but I can't confirm that.
Either way we have gone in low and there is huge margin left for us yet, up and above asking price. My instinct is that we will get it. I just feel things have been slow as I wanted this wrapped up today. I will be asked tomorrow to raise my offer I am sure, and I will. I wonder whether I am underestimating the strength of our position, so now wonder how far to go with upping my offer. They know we are serious and know our position is about as good as it gets.
Watch this space.
At close of play today they got back to me saying they had put forward the offers to the vendor who had to discuss it with their husband during the evening in order that negotiations start Tuesday. Guess that's fair.
I did get out of them that there were 3 offers including ours and that we were sat at 2 out of 3 in terms of value offer. They have intimated on both occasions though that it is not value but position that counts - I had told them we had a solid chain (having met our buyers on Saturday who are dream buyers, in love with our house and happy to wait as long as it takes with their buyers being first timers who feel the same about their property). I got the impression we may be the only ones proceed able but I can't confirm that.
Either way we have gone in low and there is huge margin left for us yet, up and above asking price. My instinct is that we will get it. I just feel things have been slow as I wanted this wrapped up today. I will be asked tomorrow to raise my offer I am sure, and I will. I wonder whether I am underestimating the strength of our position, so now wonder how far to go with upping my offer. They know we are serious and know our position is about as good as it gets.
Watch this space.
The dream is shattered.
We offered 15k over the asking price, which was also the next best offer, and despite this the vendors still turned it down and favoured the lower offer simply as there was no chain. Crazy, as our chain of 2 is watertight.
So, there is nothing else we are interested in and I am sick of looking at the same alternatives online.
Thanks for your advice though.
We offered 15k over the asking price, which was also the next best offer, and despite this the vendors still turned it down and favoured the lower offer simply as there was no chain. Crazy, as our chain of 2 is watertight.
So, there is nothing else we are interested in and I am sick of looking at the same alternatives online.
Thanks for your advice though.
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