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Original poster

Help me with a strategy please...

20 replies

tartiflette · 20/03/2013 23:01

I am driving myself crazy and DH is even worse, please help!

We are in love with a house that is on for £269,950 (reduced). We had said to ourselves before we started looking that our upper limit was £255k. After a second viewing, we have offered that and been rejected. The vendors will apparently stop marketing it for 265, no less. After a slow winter, they have had viewings last couple of weekends and have more lined up this weekend, including at least one second viewing (according to the agent) - they want to see what comes out of those.

Their agent advised me to sit it out and then come in with an offer around 260 after the weekend. Is this good advice?

We are frantic with the thought of someone else getting it, it ticks pretty much all boxes, is in perfect catchment area for both primary and secondary and there is nothing else in the area even vaguely close to our budget.

We can afford 265 according to our lender's affordability checks, we just didn't want to overcommit and I'm a bit wary of breaking the imaginary ceiling we had set ourselves.

We have a cash buyer for our place, so no chain below them.

What shall we do?!?

OP posts:

CatsCantFlyFast · 20/03/2013 23:05

Personally I would agree between yourselves your absolute maximum spend. Then put in a second offer (reasonably below your max spend) stressing your position (no chain means a lot) and that this is your max budget (repeat a lot). Sell yourselves to the agent (speed you can move, reliability, no chain). The worst that can happen is no, but you need to get the agent on your side so they sell you as a buyer to the seller. Ignore everything the agent says to you, they are playing you to put you under pressure (may or may not be true) but this should not affect your budget or your offer. Good luck x

Original poster

tartiflette · 20/03/2013 23:08

Thanks! Should I wait until after the weekend then do you think? If I offer (lower than what they want) before the weekend they're going into those viewings in a strong position aren't they?

OP posts:

nocake · 21/03/2013 07:49

If you aren't able to offer enough to stop the weekend buyers seeing the house then you lose nothing by waiting until after the weekend. If none of them like it then you're in a stronger position.

nocake · 21/03/2013 07:54

I should add that people looking at a house listed at 270 will be thinking it's worth an offer at 250. Just because it's reduced doesn't make it worth more than another house listed at 270. So it's no big surprise that lots of people want to see it but their viewings are likely to result in offers of 250.

AliceWChild · 21/03/2013 08:12

Personally if you can afford it I'd offer what they want to get it. But I'm no good at getting a 'deal' or any of that stuff. I just want a nice house I'll enjoy. Depends what your priorities are, will you beat yourself up over a few grand? Will it cause financial problems? Will you be gutted if you don't get it? I imagine I'm a seller's dream, but it's what I've done. If they then put it to closed bids or something, that would put me off as I'd imagine they'd be mercenary to deal with. For me life's too short.

xabiuol · 21/03/2013 08:24

I agree with nocake.
I would say you have a general advantage because you are prepared to go over the stamp duty threshold. I suspect the majority of people who view that house won't want to go over £250000. Now it's on at "269000 it will fall right into the search results of the person who has £250000 (and not a penny more) to spend. It didn't sell at the higher price (whatever that was) so it obviously didn't offer good value to those who have more to spend!

jammybean · 21/03/2013 09:13

Take your emotions out of the equation for a minute. Is it worth £269,950? You're in a good position as nocake has said. Hold your nerve. At that price most people would be looking to get it below the stamp duty threshold. If they won't accept £260,000 be prepared to walk away.

I disagree with alice most people require a mortgage to buy property. If the bank values a property less than the amount you have offered. You then have to find the shortfall, a vendor wouldn't be keen on accepting a shortfall unless they were desperate to sell.

Original poster

tartiflette · 21/03/2013 12:39

Right you've all calmed me down. I was letting myself get hyped up by the agent (who to be fair seemed very reasonable - but of course they're trying to get best result for the seller, I must remember this!).

We could offer £265 now in the hope of getting peace of mind but of course there'd be no guarantee that they would actually cancel this weekend's viewings. My heart agrees with Alice but I think everyone else has a point.

Are the agents obliged to keep you in the picture once you've offered? She did say she'd let me know but I am living in fear of it disappearing from under our noses...
The houses around it have sold/are on for £20-30k more but they have off road parking and this one doesn't.

I will try and hold my nerve until early next week!

OP posts:

AnnabelKarma · 21/03/2013 15:56

Have you factored in the stamp duty at that price? Is the house worth 8 plus K extra to you because of it?

Jaynebxl · 21/03/2013 16:03

If you have fallen in love with the house I would go for it and make a better offer. You will be gutted if someone else falls in love with it over the weekend and beats you to it.

Original poster

tartiflette · 21/03/2013 17:07

If I were to offer 265 tomorrow though - just to avoid actually expiring of stress over the weekend, you understand - how could I be sure they would actually cancel the viewings they had lined up and stop marketing it. There's surely the risk that they wouldn't and we would just make the vendors see pound signs and viewers perceive it as more valuable and we'd be creating a little bidding war.

God this really has reduced me to a dithering idiot

OP posts:

jammybean · 21/03/2013 17:32

If you're going to increase your offer. Do so after the weekend. Your higher offer will probably be used as a bargaining chip if another party is interested. I doubt they would cancel the viewings lined up this weekend unless your offer was asking price.

FlowersBlown · 21/03/2013 17:37

If you love it that much, you can afford it, the price seems right for the area, then just go for it. I don't think you will regret it for a second. Ask if they will take it off the market for £265. They might. Viewings are a pain, especially if they've been on the market for a while.

member · 21/03/2013 17:51

I wouldn't show your hand until after the weekend; I really don't think the vendors will offer exclusivity/no active marketing until they've seen what comes of the weekend viewings. I think the EA would probably advise them against accepting anything less than asking price knowing that there are viewings lined up.

Original poster

tartiflette · 21/03/2013 20:20

But so in that case would we have to wait until mid week or whatever to see what had come of the other viewings?

OP posts:

LaurieFairyCake · 21/03/2013 20:25

I'd be really surprised if off road parking was worth 20-30k

I've a detached house amongst lots of terraces and was told in my (expensive area) it only made it worth 10k more.

Being detached made it massively more desirable to me though.

Original poster

tartiflette · 21/03/2013 20:32

It is odd isn't it Laurie. I can't see why anyone would pay so much more just because of that. Unless there's something I'm missing but I don't think so.

OP posts:

AliceWChild · 22/03/2013 10:36

I know nothing about parking value, but I was told by an EA that the house I'm buying was £40k cheaper than another, even though it has much more floorspace, because it has a downstairs bathroom. Which tells you either EAs say any old crap or people really are that bothered by things that don't seem that worth bothering about.

AnnabelKarma · 23/03/2013 11:54

I would consider a downstairs bathroom and no off road parking considerably bothersome and wouldn't consider houses with them so can see the mark up easily.

Original poster

tartiflette · 25/03/2013 15:38

Offer accepted, thanks everyone!

Am now about to start another thread about relocation and mortgages which is a whole other world of stress...

OP posts:

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