Making an offer on a house

[matt21]

Just after some advise.

Seen a house that is around 20k out of my budget. Is up for 188k but a similar one around the corner for 180k (I prefer this one though).

My position is that I am in no rush. The house is just what I want but as a new(ish) build there will be others that come along.

Most importantly there is ample parking in and around the house.

The sellers position is that he works for Land Rover, and reading between the lines wants to move in with the mother-in-law. I suspect either his job is at risk or he has lost it all ready from the way he was talking.

He specifically said they are keen to move whenever, the agent said they are open to offers.

If this one goes there will be another so prepared to go long but dont want to just offend! What would be suitable. I reckon the house should be up at 180k so thinking offering around 160k. Is this unreasonable?

I appreciate every circumstance is different but some experience on this matter would be great

[Jasandjules]

You are a cash buyer with a mortgage ready to go, and no chain?

If so, make the 160 offer if you are happy to do so. You could go with the fact that you cannot get a higher mortgage therefore that's what you can pay... Then leave the offer on the table.

[matt21]

Jasandjules said:

You are a cash buyer with a mortgage ready to go, and no chain?

If so, make the 160 offer if you are happy to do so. You could go with the fact that you cannot get a higher mortgage therefore that's what you can pay... Then leave the offer on the table.

yep no chain, mortgage given the go ahead, budget 150-165k so prepared to offer 160k and if turned down walk...

[Gunny Sergeant D]

See what the owner paid here.

www.houseprices.co.uk

Please post what they paid and when.

[astroarcadia]

Don't worry about offending, its only an offer. Go in at 160 and make clear your position.

[Silver993tt]

matt21 said:

Jasandjules said:

You are a cash buyer with a mortgage ready to go, and no chain?

If so, make the 160 offer if you are happy to do so. You could go with the fact that you cannot get a higher mortgage therefore that's what you can pay... Then leave the offer on the table.

yep no chain, mortgage given the go ahead, budget 150-165k so prepared to offer 160k and if turned down walk...

as long as when you come to sell, you are ok with people making you offers of £130k-£140k

[missdiane]

I would not worry about offending... go for it to start with the base of your budget. £150k

[matt21]

good call, 230k 22/12/2006.

Its a detached house link here,

http://www.rightmove.co.uk/property-for-sale/prope...

thanks guys

[dan1981]

Sod it - if there is an over supply of that sort of houses, and you reckon the guy is desperate to shift it go in at 150k.

What's the worse that can happen? He says no. The go to 155k and then finally 160k. THEN walk away.

Worst case, you don't get the house and you wait for the next one to come along, best case you save anything between £38k and nothing and still get your house.

[Landlord]

matt21 said:

Jasandjules said:

You are a cash buyer with a mortgage ready to go, and no chain?

If so, make the 160 offer if you are happy to do so. You could go with the fact that you cannot get a higher mortgage therefore that's what you can pay... Then leave the offer on the table.

yep no chain, mortgage given the go ahead, budget 150-165k so prepared to offer 160k and if turned down walk...

What have you got to lose?

[Landlord]

missdiane said:

I would not worry about offending... go for it to start with the base of your budget. £150k

Agreed. THen if they say no - up your offer but make "demands" as you approach your true "full-and-final" offer. Things like it being taken off the market. Quick exchange. etc.

[matt21]

nothing to lose! just not sure about the house buying etiquette. i guess you can go in too low. might do 150k and see what happens!

[trooperiziz]

matt21 said:

good call, 230k 22/12/2006.

Its a detached house link here,

http://www.rightmove.co.uk/property-for-sale/prope...

thanks guys

If it is currently up for £188k even though a similar house is up for £180k, and it was bought for £230k 2 years ago, I suspect the £188k price is probably close to break even for them mortgage wise.

I'd be surprised if they accept much below £180k to be honest.

Report back what happens

[dickbastardly]

The thing is you dont know what position they are in! they may be just about to have it reposessed! now i know we should'nt pray on people when they are down but if it gets repossed then they will get less than you are offering for it.
You will be paying for it over the next 25 years! it's not personal,it's just an offer!
go on 150!!
Andy

[Gunny Sergeant D]

A word of advice the agent is your friend. As they want a sale its in their interest to tell you if its going to fly or not. Before you offer ask what the sellers position is and reason for selling. Do they have a big mortgage. There is so much negativity out there that people think that everyone is desperate. That is not the case. By putting in an offer thats too low you might pi55 the seller off and he may stop taking you seriously.

This is the Nationwide house price calculator. http://www.nationwide.co.uk/hpi/Default.asp?calcul...

If new houses are 10% overpriced at sale. I inputting 207000 - then its saying it would be worth approximately £188669 in Q4 of 2008. Not far from £188,000

Never the less the market is falling. In my view £150 is too low, £163k is where I'd want to be for a first offer. never offer to the round 5 or 10k.

Good luck.

[Jasandjules]

Silver993tt said:

matt21 said:

Jasandjules said:

You are a cash buyer with a mortgage ready to go, and no chain?

If so, make the 160 offer if you are happy to do so. You could go with the fact that you cannot get a higher mortgage therefore that's what you can pay... Then leave the offer on the table.

yep no chain, mortgage given the go ahead, budget 150-165k so prepared to offer 160k and if turned down walk...

as long as when you come to sell, you are ok with people making you offers of £130k-£140k

Well, that will depend on the market. If it's falling, then yes, lower offers, but if rising, that's a different story.

Matt, I would make it clear to the agent that 160 is your max budget and you have immediately gone to the highest price you can afford to pay.....

[texasjohn]

matt21 said:

good call, 230k 22/12/2006.

Its a detached house link here,

http://www.rightmove.co.uk/property-for-sale/prope...

thanks guys

Good luck with it, we've just put in offers @ end of M42, as follows:

asking 200, offer 175

http://www.rightmove.co.uk/property-for-sale/prope...

asking 240 (ignore advertised price), offer 210

http://www.rightmove.co.uk/property-for-sale/new-h...

I'm also looking in the CV postcodes too, mostly 'Leamingwick' but Bilton isnt a bad area and is also on our radar.

Good luck! Get in touch via email if you want to chat offline about local areas/houses/prices

[fridaypassion]

I'd say make an offer they can only say no. They probably will say no but you never know if you really are in no rush they might take that offer in a few months.

[Jasandjules]

fridaypassion said:

I'd say make an offer they can only say no. They probably will say no but you never know if you really are in no rush they might take that offer in a few months.

Exactly, tell them that it's an offer which can be left on the table...

[texasjohn]

^ good call.

BTW, OP, this has been on the market for a while (we've been looking for ages) and you might snap it up for 160ish:

http://www.rightmove.co.uk/property-for-sale/prope...