How to place an offer on a house?

[OnTheJourneyOnwards]

Just looking for advice really 🤔

We are first time buyers and viewing houses at the weekend. Probably going to see 10 houses or so, and then on Sunday we are visiting a nearby new build development to have a chat so we can compare.

I don’t know whether we want a new build but it’s just to help us compare with the local area.

There’s at least 2-3 really good houses I think I will end up loving but all of them look good!

So how do you choose, and how do you place an offer?

Is it common to offer less than the asking price? We are on a budget and I’m not sure how much less than the asking price is worth trying.

Any advice or experiences welcome! 🙏🏻

Have you got your finances in place and a mortgage agreed? Everyone is 'on a budget' when househunting - the key is to know exactly what you can afford in repayments and make sure you know all the other costs involved in buying. Once that's secure, you'll know what you can afford and don't be tempted to go above it.
Look at other similar houses in the area to see if what they're asking seems right. By all means put in a lower offer but don't be surprised if it's rejected. You can submit a second or third offer without going as high as the asking price. The vendors may well look favourably on you if you're first timers as you're not in a chain.
Have you got a list of non negotiable criteria, to keep you focused on what's really important to you? Keep this list separate in your head from the 'nice to have' list.

Yeah mortgage all ready, Agreement in Principle sorted ✔️

Deposit all
ready and waiting

Solicitors ready to go

I just don’t know what’s typical for an offer. There’s one house I really like on at £235K, but it says ‘offers over’ but I don’t really know what they mean by that… do you have to offer above that? Or would it be cheeky to offer less?

It all depends on your area. Go a mile in either direction and market changes. Offers over means don’t over me less but if it’s been on the market for 3 months then you could try for less.

Well we weren’t as ready as you. We had the deposit but we hadn’t even been to the bank or solicitor, 😅when we saw the new build we wanted we just said we’ll take it and paid the holding deposit. I don’t think you can argue on price of a new build as such but I suppose you could try. Anyway, 2 weeks later and we have our mortgage offer and due the keys in mid July.

If it says Offers Over then it's pointless offering less. That may change if they haven't sold by autumn.

If a house has been on the market for a while I would decide on what I wanted to pay, offer less, then agree on somewhere in the middle. I would probably offer £215k for an asking price of £235k.

Dont be nervous and don't be afraid of walking away, and coming back later.

Look at how long it’s been on the market. What’s the very max you can afford? If you adore it and you want it and it’s been on a week my advice would be very different to ‘it’s great but I need to change X and it’s been on 3 months and 240 would stretch us hugely’.

From the listing, it looks like they put it on the market last year, but it didn’t sell. Now it’s back on this year after a repaint. Was originally put on in May at £250, then dropped to this ‘offers over £235K’.

So I’m not sure what to offer for that one.

Another one I like is on for a guide price of £250 - £260K. It’s a 5 year old new build home in a very smart development where construction is complete. But it’s right at the maximum end of our budget and edging into uncomfortable (but the EPC is a B grade and the report says bills are just £300 a year!).

What on earth do I offer for either of those? It’s making my head spin!