How much to offer on this house?

[Darvulia]

After what it seems like forever, my DH and I have found a house we can agree on. The only issue is... it's £20K over our budget. It's currently advertised at 180K.

The description says that it has been renovated, hence the hefty asking price. However having performed a quick search I can see that it was last sold in 2014 for £128K - some decorating and tidying has been done and the kitchen is new, but no other major renovations.

Keeping the above in mind, do you think it's cheeky to offer 155/160K?

I would offer 160. Then 165000 and 17000... Then leave it for a few days.Then maybe offer the 180 but say you have another house in mind that is cheaper. Last and final offer.

That's what we did.

You can't really compare it to 2014 as they may have got a bargain, or house prices generally have gone up that much. How does the price compare to other similar houses locally? Could you find extra money if you needed to? I think if 160k is your max budget I'd just be honest and say you are offering your max budget, no further offers. Then they can take it or leave it.

I'd still leave some negotiating room in your offer. If £160,000 is the most you can pay I'd offer £157,000 and go up to your final offer of £160. I doubt they'll accept £160 though, I wouldn't unless I had to.

Agree though that 2014 prices have no bearing on today's market.

Depends where you are wether 2014 house prices are relevant. They've dropped a lot in my area since then. Have a look at recent prices in the neighbourhood too.
Also can we have a link please?

I'd do a one time offer of 160, explain it's final offer and you've no more in the pot and you want it taken off the market if accepted.

No, it's not cheeky - people expect to receive offers below the asking price, and yours isn't a ridiculously low offer. If you're in a strong position as buyers - finances in place and no chain - mention this when you make your offer, as a slightly lower offer that's likely to proceed will be more attractive than a tenuous higher offer.

If you feel the house is worth £160k, I agree with PP that you should offer that as a take-it-or-leave it.

Definitely offer less than the asking price, and I agree with offering 155/7 to give yourself a bit of room to increase the offer.