To ask you how much you’d offer for this flat

[Solaran]

We’ve found a flat we love but it needs work doing.

The work it needs is:
New kitchen and bathroom
New floors throughout
Possible replaster

Also:
Removal of a faux fireplace that isn’t in keeping
Build up of two structural walls previously removed (this would put a bedroom back in as per the original floor plan)
Replacement of internal doors and other similar low level cosmetic stuff - everything is in bad condition.

The flat is on the market for £800k. Flats of the same size in the same block sell for about that, some a bit less -£700k ish (some have better views than others etc).

I wouldn’t pay the asking price as it needs quite a bit of work but how low should our first offer be? Is there a general rule of thumb? We could estimate the cost of the work and reduce the offer by that much, but then surely it’s got to be a bit lower still due to the inconvenience of having work done?

A relevant point - it’s been on the market for 2.5 years. It’s really quite fugly at the moment and although could be great (and in a great location) I think the current appearance is putting buyers off. Last time we asked no offers had been received.
Plus with the possibility of the market suffering over the next year, we want to be extra cautious. First time buyers too.

WIBU to put in a really low offer of £6something?

Are there any tactics for getting a lower offer accepted?

The seller has two other properties and bought the flat for £160k years and years ago so I feel like they may be in a position to accept a lower offer.

Help!

You also need to factor in whether the vendor needs to sell or is in the position to hang on until they get an offer that suits them.
If what a PP has found is the actual flat, I think that you might be being a bit cheeky.

You should offer what you think it’s worth, so... either the same a similar property in a similar condition, or a similar property in good condition minus the cost of the work (and you’re own labour) to get it to that condition

If you are getting a mortgage then your bank will do their own valuation which will be more realistic then the owners or estate agents

If that is the flat linked below, then a very similar one went for 800k last year, there was a couple
in 2018 that went for 720/ 750 but the kitchens there really did need updating.

I'm sure I've seen this flat on Mumsnet before, can't remember the thread though

So many curtains 😱

You'd be crazy not to offer £600k and see what happens. If this were a completely unique property, because of location, having a huge garden, some sentimental reason etc, then it would be different and it would be a good idea to keep the seller onside from a start. But, as you've said, other flats in the building sell frequently. If you like this one and it's only worth 600k and change to you, given how much you'll have to do (all that matters is what YOU will want to do), then offer that. There's not some objectively worked out pricing with houses as, e.g. with a garment which someone's labour has just produced. It's all guesswork. We once sold a house for exactly twice the asking price, after a bidding war. (This was in the US.) The person who bought it (who owned property far more valuable than ours) originally offered under the asking price. It made no difference. If they don't accept the offer, you can offer more. They won't take it as some diss on their flat!

That’s a lovely flat. Get rid of the 1980s window treatments and the fireplace, decorate throughout and there’s absolutely nothing wrong with it. The bathroom looks pretty new. I thought Span properties were highly sought after.

The difference in property prices between different areas of the country never fails to amaze me.

This is a prime example. 800,000 for a flat! Can’t believe I’ve been moaning about the cost of houses near me

it’s been on the market for 2.5 years.

We bought in an area with lots of similar sellers. All slightly overpriced but in nooooo rush.

I will tell you something for free
You are never getting that flat for 6 anything...
These people clearly dont need to sell.

I personally think if you want it dont insult them by asking for 200k off a perfectly livable flat because you dont like the decor.
If the flat is so non-special wait for another penthouse flat with terrace to appear.

If there is a mortgage involved the lender will make their own valuation and mortgage offer accordingly so there's no chance of buying it at a price over that without a large deposit from your own funds.
Re the flat itself, I notice it has a flat roof, something that would put me off buying a top-floor flat but you not being me, would still need to make enquiries about its condition before you buy and factor in possible future expense on replacement and repair or maintenance.
Also there is limited, unallocated parking. Hm. How important or not is parking to you? And how many flats share these unallocated spaces? And how much street parking is available? I can see potential problems over lack of parking and maybe certain people hogging the unallocated spaces.
I suppose nice ground floor garden flats with own private garden and own parking space are not in your thinking. They are usually a good buy though and sought after. I've never liked the idea of communal gardens. Would you actually use them?

As for the renovations, would you want to take on all that work on the fourth floor on what looks like a rather large flat? I wouldn't and I certainly would reduce my offer price by more than the actual cost of the renovation, all the more so if the lender's valuation would support that sort of reduction. My belief is that people often go in too high because they are uncertain, inexperienced, not canny or hardnosed enough and fear being impolite.
If you want to get it for a good price, have your finance in order and ready to go, and try to be unencumbered by not having a property to sell before you can buy. All that will make you an attractive buyer the seller wants to sell to which will help you to negotiate a keen price.
In this case I would get an estimate from a builder - shows intent and that you are serious - and depending, start around 650-675ish subject to satisfying yourself about the roof and the parking and use of communal gardens - and anything else you might have reservations about. So you are already priming with reasons for the offer figure, a basis for haggling and a hint of a possibility of raising it. You may up your offer if you think it merits it after those enquiries. The estate agent should be helping the process along and if they are any good ought to be able to help you gauge the seller's expectations and likely reactions.