If you saw OIEO 210k what would you offer?

[Housenotselling]

We want at least 215k for our house and EA has suggested we reduce from 220 to OIEO £210k but we are worried in case we just get people thinking we will take 212 213 etc. They are becoming we put that price to get more people through the door as once in people appreciate the size and value of house. Any ideas? If you saw this price what would you think? Thanks

I don’t like OIEO, it wouldn’t put me off but I wouldn’t choose to advertise with it. At the end of the day a house is worth what someone is willing to pay for it. How does your pricing compare with other similar properties in the area?

Sorry op... But for OIEO I'd probably go in at £210,500. It's over.

If offer was declined, unless I was in love with it I'd probably look elsewhere and bide my time, in the hope that other similar experiences would mean the price would drop further.

I''d go in at an initital offer of £168 and negotiate my way upwards to a final figure of £189 providing that I had made the same amount of money (percentage wise obviously) on my own house that you had on yours.

So for example, if my property had increased in value by 25% since I purchased it, I wouldn't assist the seller of my next house to profit more than I had, if that makes sense.

I don't like OIEO. Too prescriptive in my opinion. I would only ever offer what I considered was it was worth to me.

I think there is an implication you would take 210 k ish. Don't reduce it that much if you wouldn't in any circumstances (eg cash buyer). Your estate agent understandably wants a sale. Is it overpriced?

I don’t like these kind of vague asking prices, I think just ask for what you want, I probably wouldn’t offer anything because I would avoid houses that are OIEO or OIRO, if I was desperate and this was the only house I could find then probably £210,500 as a starting offer and negotiate from there unless the house was obviously worth more than that.

If you need £215k, it needs to be OIEO £215, not £210, otherwise yes, you'll get offers of £210,100 upwards and waste everyone's time.

I'd judge its value based on the other options available and what similar things have sold for - which would be the same regardless of whether the asking price was 220 or OIEO 210.

I think your estate agent is right that a lower price is more likely to get people viewing it, so would do it. Remember that the house only sells when you accept an offer - so if you want to hold out for 215, you can. But if potential buyers don't think it's worth that, you're not going to get it regardless of how much you ask for.

Hard to say without knowing the house or the area but I’d also likely offer £210k and a teeny bit over. I’d probably ask the EA why it can’t be OIEO £215k, as that is the actual minimum amount you have in mind.

If you’ve had it on the market at £220k already (you mention reducing so presuming this is the case) and nobody has offered £215k, you’re unlikely to be offered £215k with an OIEO.

I’d look at what other similar properties had recently sold for and offer you that, regardless of the OIEO. If that was around £210k then I’d be offering you £211k.

I can’t believe people would actually offer the £210!

I’d go in at £205, possibly £207.

@StephenBelafonte

I''d go in at an initital offer of £168 and negotiate my way upwards to a final figure of £189 providing that I had made the same amount of money (percentage wise obviously) on my own house that you had on yours.

So for example, if my property had increased in value by 25% since I purchased it, I wouldn't assist the seller of my next house to profit more than I had, if that makes sense.

I really don't understand the logic here. What is they purchased it at a different time to you and therefore had more / less time for the value to change? What if they spent money doing it up to make more profit?

Sorry to derail the original thread but had to ask.

I would offer 195 or 200.

I'd never go over OIEO.

I’ve also seen property listings which are £215k fixed price and then it states in the listing text that the vendors advise they will not consider any offer below their fixed price. It’s very blunt, yes, but it means you won’t get viewers hoping to make lower offers.

Interesting! I assumed if it’s OIEO the seller is not prepared to budge on the price. If you’d treat it just like an asking price, what is the benefit of OIEO as a lot of people don’t seem to like it? Just wondering.

Are you in England or Scotland as I think the norm is different- round here (Scotland) the OIEO price is usually about 10% below the home report valuation to drive viewings. Just now houses are going to closing dates with bids 10% over the HR price so 20% over the OIEO price- it’s crazy! Very frustrating as a buyer as you have to look 10-20% below your budget to actually get houses you can afford.

Have you checked how much houses in your area have sold for? You can check the market info on Rightmove. If others are e.g. listed for 210 but are going for 207 you might have a hard time achieving 215.

I honestly wouldn't even look at OIEO listings unless the house was something special because I assume the sellers will be difficult and fussy. Perhaps I am ignorant but I don't understand the point.

I bought my house for £5k under the asking price and have kicked myself every day since for not offering less, as the place is riddled with problems.

I’d offer 210. It wouldn’t occur to me to offer less than that.

I don't think OIEO works. I would suggest Guide Price.

I’d go £208k hoping to settle on £210k. If you want £215k I agree it needs to be OIEO £215k but I’d also bear in mind prices are expected to fall next year and it might be sensible to sell for slightly less now than risk how far it could fall next year.

I'd probably go for £205 to start. I agree that if you want at least £215 it needs to be OIEO £215. That said if you've reduced from £220 I'm not sure you'll get it.

Personally I ignore the prefixes and offer what it’s worth to me.

The only time I’ve offered over asking is in a sealed bids situation.

I would offer £210K. I think OIEO is a bad idea - it’s psychological. For the buyer, it’s like they could get it for £210K and going up from that makes you feel like you’re over paying. Whereas if it’s on at £220K and you offer under, it feels like you’re getting money ‘off’.

Guide prices arent helpful at all... if a property is 300-325 you can bet the buyer will offer 300