Offering on a property fierce competition ..How can we stand a chance?

[Back2Two]

We want to offer on a house, first viewings were yesterday and offers will be coming in on Tuesday morning it's currently crazy around here.

We have sold our house but have been told (and do believe) that others wil offer who have nothing to sell. [Shock] again as this is not in a first time buyers price range.

Do we have a chance? Do we go in all guns and offer over the asking?

[ajandjjmum]

Where are earth are you, if it's crazy round there?!!!

How certain are you on your sale? Are you confident enough to get a bridging loan, so that you're on an equal playing field?

[Coconutfeet]

I wonder if you're looking in the same area as us (NE London)? We went for a house viewing yesterday and the estate agent was standing at the door ticking off a list of about 20 people coming to view at the same time. It was like being in a crowded museum or something. It hadn't even made it to Rightmove yet.

Watching with interest, as I have no bloody idea.

[Back2Two]

We're confident with our buyers (though I suppose anything could happen)
We're in the south east and houses are being offered on before the viewer has left the house on first viewing.

Dumb emoticon - what is abridging loan and what does it mean to us please?

[Back2Two]

It sounds similar to your situation coconut, there's like a drip feed of property and stacks of desperate families swooping on each one. It's most frustrating and stressful too.

[choppychopster]

Same situation with houses moving really fast here (nice bit of south Manchester). We were very lucky and although we had offered slightly less than another potential buyer who was also in a good situation, they chose us as we were a "nice family" with a new baby due very soon (actually overdue now).

[Back2Two]

Oh that's nice choppy. I so wish I could have met the seller so she could see how fantastic nice we are and how we love the house!

[ajandjjmum]

A bridging loan is an additional loan that is made for the time between your house selling and you needing the money to buy the new house.

Warning!!!! People have got into serious problems with these though, when their own house sale has fallen through. I'm not even sure how open the bank would be to offering one in this market.

Hope it works out for you.

[Back2Two]

Are there any other little ways we can make ourselves stand out when we offer?

[Crocodilio]

A bridging loan would be silly. You would be far better letting the sale of your house go through, then moving into rented to become chain free buyers, to put yourselves in a good position to buy.

However, if this is the house you want, decide what it is worth to you, as well as what it is worth compared to other houses. It may be that you're prepared to offer higher than the asking price, but you don't want to feel that you have overpaid. Don't offer silly money just to secure it, as other houses will come up. Is it your forever house?

I would suggest making your offer in writing, put through the agent's letter box for them to receive first thing Tuesday, with a phone call early on Tuesday to confirm. In the letter, put your offer subject to contract, survey and any other conditions, but also put your love of the house, your strong position with good buyers, your chain situation if any, how big your deposit is, whether you have a mortgage agreed in principle - any additional info that shows you to be good, sensible comitted buyers who the sellers would feel happy with. Put your occupations if they make you sound 'solid'!

Good luck!

[Crocodilio]

Re the FTB price range, it is likely that some of the viwers will have sold and be renting, so not necessarily FTBers, just not currently owning.

[Back2Two]

Thanks croco. Some really goog advice. We don't really want bridging loan or to be moving to rented first. I know it would put us in a strong position but we've two children and it just feels a bit of a hassle.

The house is great and, although we're not necessarily saying "forever" it has everything we need and more (with potential to extend) . It's not perfect but that only means we have room to make lovely changes!

Is the thing about making an offer in writing commonly accepted as ok? If so Think we'll definitely do that. Gives me some hope. We can afford the house and afford a little more but it's not all about money is it? Thanks

[Crocodilio]

Having the offer in writing is good for the EA, as it means they have all relevant info to hand, know who you are and what your position is, and shows them you are serious.

I would follow it up with a phone call or pop in to the office asap though, ostensibly to confirm they received the letter but really just to have a chat and encourage them to put in a good word, and so that they can put a voice/face to your info.

I hope it goes well! We're trying to buy at the moment too, just waiting for the right house.

[Jcee]

Some good advice from Croco - it worked for us!

We are in NE London and its a similar situation here especially for family homes. We are currently etc buying a house which had a similar mad day of first viewings - we were the 6th couple through the door the day after it went on the market and were told there were others viewing who were chain free (we aren't) and cash buyers!

We called the agent immediately after viewing and made an offer under asking price but explained we wanted the house and would go to asking price if they wished due to our love of house, our position (house sold, mortgage arranged, sizable deposit, desire to work quickly and to their timescales etc). We asked the estate agent when speaking to the vendor to make it clear we loved the house and wanted it which is why we were willing to go up to asking price immediately without a second viewing but we'd want it taking off the market as soon as offer accepted.

Our offer was accepted despite there being second viewings booked for later that day. If you want something, I think you need to pursue it and do everything in your power to put your case across.

Don't forget there's always going to be some mad owners who want the most they can get and might be immune to your charms and dont be drawn into a bidding war or paying over the odds. There's always something else round the corner - this is the 3rd house we made an offer on!

Good luck! Let us know how you get on!

[Back2Two]

Great. I am pleased to have some opportunity to give a bit of a personal appeal!

Do I write it very formally as if to the EA or do I "speak" to the vendor in my letter?

[Back2Two]

Oh, thanks for your post too jcee! I wonder if we should have offered straight away yesterday when we saw it? I said we should but dh thought not.

[PigletJohn]

The vendors are hoping that you, and the the other potential buyers, will get overexcited and try to outdo each other.

Try to keep calm and consider all the other houses on the market.

The vendor will be looking for ability to pay, and ability to complete quickly. If you have already exchanged, or, better, completed on your house, that will be far better than "under offer" or "subject to contract." It will also help if you have a mortgage availability letter based on your verified income. If you can show a bank statement with a vast amount in it that will help too.

[Back2Two]

If I write a letter which outlines our emotional investment as well as financial commitment will I look unprofessional or weird?

[CanCant]

It's like this here- we have lost 2 in the last 2 weeks... full price offers, chain-free, agreement in principle from bank, didn't get either property, and we really wanted both
Doing my fruit now... we are desparate to move for more space, struggling so much in our tiny home.

[Back2Two]

It's awful isn't it can? So much emotional energy goes into it. It should be quite a nice exciting time ....

[RedHelenB]

All you can do is offer what you can afford to pay for the property & keep your fingers tightly crossed!!

[Crocodilio]

You won't look unprofessional or weird, as long as you structure the letter sensibly!

First paragraph: further to our viewing on (date), we would like to offer £xxx for (property), subject to xxx and yyy.

Next: perhaps bullet points re your position, size of deposit, etc.

Thirdly: We are really keen to make this property our home, because of xxx and yyy, and really hope that the sellers will consider accepting our very genuine offer.

Something along these lines won't be weird at all, and it gives all the required info.

[Coconutfeet]

Some really good advice here - I wouldn't have thought about putting the offer in writing. It's good to hear that some of you have had offers accepted despite not neccessarily being the "best" buyers.

[Back2Two]

Thanks a lot croco. We now have letter all drafted and I feel happy with it.
We'll put in our offer tomorrow and I'll let you know what happens next......!

[frostyfingers]

Whatever you do though, don't get carried away and be persuaded to offer more than you can afford, bearing in mind that interest rates WILL go up at some point.

However hard it is to lose a house, getting into unaffordable debt is worse. Work out exactly how much it will cost you to move - fees, removals, insurance, time off work etc, then work out a worse case scenario (losing a job, illness) and how you would handle it if there was less income and then decide your highest offer price. I don't mean to be the voice of doom, but it is so easy to get carried away by your heart and make a decision you may regret. There will be other houses, honest!

Good luck.

[mahonga]

a bit of flattery does work. One of our houses went to best bids, and we eventually went with a couple who offered a few thousand less than the highest offer, but wrote in their letter how they loved the house, appreciated all the hard work we had done in making it into such a lovely home, and would be honored to take custodianship of it (it was a period house with all features intact and restored). They just sounded really keen, and really genuine and I knew from the letter that come hell or high water, they would not ever pull out of the sale.

Good luck!