Putting in an offer below asking

[Nicky883]

Need advise from sellers point of view
We are first time buyers saw a house that we like asking price 295 zoopla estimate is from 256 to 275 .
House was sold in 2013 for 200 . We are thinking of puting an offer of 285 . Do you think thats reasonable ?
They have viewings today estate agent said 6 viewings and they will get all offers on monday

I'm going to be selling soonish, I hope, but it really depends on what's normal in your area. For the last few years, all houses on my street (in Exeter) have sold for higher than asking. I still have the mentality that the asking price is 10% higher than what the vendor actually expects to achieve for it, but I guess that's pretty out of date these days!

285 is fine. If it's not a 'best and final' situation, go for it and see what happens.

Thank you the reply i am wondering if the agent can tell us once we make an offer if he has higher offers or not ?

If they have lots of offers they might go to sealed bids. I live in London and would never offer asking price first offer-I would leave room for negotiation. I would offer 275 but I'm not desperate to move.

All estate agents will tell you they have lots of interest and expect lots of offers..... I'd offer £275 and take it from there. If they get a better offer the agent will come back to you. Oh and zoopla estimates are a bit crap so ignore them.

Thanks everyone for your answers. Its not london hampshire. Basically we would pay 285 for it but dont want to pay too much if they put the akomg price high. is an end of terrace house a terraced house was sold last year for 245 . Whats is the difference price wise of its an end terrace the rest of the size seems to be the same

What have they done to it in 3yrs to justify a 95k increase? I'd only be offering in relation to what similar have sold for, how long has it been on the market?

This will entirely depend on how much you want the house (and if you're prepared to walk away if they won't go lower) and also as pp said what the market is like and how long it's been on for. We have just sold ours - we had a decent enough offer only 2.5k under the asking price but we hadn't even put it in Rightmove yet and had other viewings so we waited before responding. Two days later we had an asking price offer and one just over asking price. So even the original good offer wasn't enough.

With our house we're buying, we saw it saw it before it had been measured and photographed. We were the first to see it and knew it was for us. We're looking in a small area where not much comes up in our price range so we offered full asking price but on the condition it wasn't marketed. So you kind of have to gauge it depending on lots of factors I think. In our area things are shifting quickly unless they're overpriced.

What they paid in 2013 is irrelevant, they could have bought it cheap from family, or at auction, or wrecked and needing doing from the bare bricks for all anyone knows. Zoopla estimates seem to be way off in most areas.
What similar properties near to it have sold for recently is all that you have to compare it to, and what you feel you are willing to pay. Theres also a calculator linked on one of the threads here that shows how much prices have risen in the area. But I find it a bit vague.

Firstly ignore Zoopla- it's bollocks- if you need proof of that check out the huge variances between virtually identical properties in the same area- it's based on extrapolation of price data.

The 2 important factors are what similar surrounding houses have sold for recently and what it's woth to you.

£285k on a £295k property is reasonable but if it's likely to get into a bidding war then you might miss out.

I just find 295 too much if a similar property was sold for 245 last year (2015) How is that big gap justified? Am sure a new kitchen does not justify that the only other difference is that this one is end of terrace.

Well we put an offer on 275 the estate agent will discuss all offers on monday so we shall see if they are up to negotiations
Btw is a victorian house so am now panockong reading horro stories pf how victorian houses are a "money pit"

For those who asked its just been open for viewings today i think

Bear in mind that the sold date is the date it completed - it could well have been on the market many months earlier than that, which means that it has been more than a year since one sold.

Where we are houses are flying off the shelves, so to speak. Ours went to sealed bids after one open day and ended up going for significantly more than the asking price. So it entirely depends on what the market is like in your area.

Where in Hampshire? In North Hants/West Berks mist things are going for approx 10% over the asking price at the moment.

I bought for £215 k in 2004
zoop la says £318 k

We expected valuation at about £350k and are going on the market next week at £380k

Zoopla poopla

You really can't work off old prices, even if 'old' is only last year.

Markets move quickly is some areas- if there is a reason for house price increases then you'll need to suck it up if you want to live there.

You need to compare it to what else you might be able to view and very recent sold prices and weigh up your options,

Zoopla is bolloccks for estimates. I'm not entirely sure what it is based on.

We bought 5.5years ago for 186k, it's on market for 345k and we have had first offer of 335k. Zoopla estimates its worth £300k

Zoopla very inaccurate. Our flat sold for 150k more than zoopla valued it at.

Someone higher up the thread said to offer less and the agent will come back to you. We fell foul of that once as someone else put in a good offer and the vendor was happy with it so just sold to them even though we probably would have matched it. I think the rough rule is that for new on the market properties you can't offer too low but once they've been on for a few weeks then you can. You're in a strong position as a first time buyer though.

Ignore Zoopla, ignore house price 3 years ago and ignore year old house prices in the street. House prices increase so much in some areas that anything over a few months old is out of date. End of terrace are worth more than mid terrace and the condition of the one you like could be much better than the mid terrace one. We are end of terrace and our plot is bigger than the 2 mid terrace ones which will make a difference.

I would have thought the EA would tell you if there was another higher offer because they will give you chance to increase yours. I can't see them excepting an offer 20k below the asking price from the first day it's on the market.

We probably being cheecky offering 20k less but i ll guess we will see on monday
If we are able to negotiate we will probably offer more .
Do you think being a ftb puts us in better position ? For example if someone offered 10k more but is in a chain

IMO £10k on a £300k house is not enough to make up for not having a chain.

£10k is a big chunk of cash, I think a first time buyer would only be worth a couple of grand at that price.

Agree with bear. We had a low offer £10k under asking price from a ftb. We weren't bothered.

I look at pictures of the last sale if this is possible, not sure they do this on Zoopla.
Look at all the prices for all the years for the street, you'll soon build a picture.
This should be easy if there are lots of terraces all the same.

I would rather have 10k and a chain than less and a first time buyer.

I am sure now after your comments that they will reject it :) we will wait and see