Viewing houses you think are overvalued (or can't afford)

BackforGood · 04/07/2021 22:31

Of course it is okay.
As you say, business is business, and they will have as much right to say no as you do to offer whatever you think the house is worth.

Obviously these things are very localised, but where I live, houses are selling within 24 - 48 hours of going on the market at the moment so an offer 15% under the asking price where I live would likely be laughed out of the office. One would presume that the estate agent has taken into consideration the dated-ness of the house in setting the price in the first place.

OF course, with every sale, everything will depend on how keen the vendors are to sell at any cost, and how much they need the full asking price to fund whatever they are going to do next.

Middlesboroughgirl · 04/07/2021 22:37

Never offer more than you think a house is worth. Someone may be prepared to pay more but that doesn't mean the house is worth what they are paying and they may live to regret it.

Datsandcogs · 04/07/2021 22:37

Yes it’s OK to go thinking you’ll offer under, but it’s also likely been priced to reflect the work that will need doing.

Original poster

Ruralbliss · 04/07/2021 22:56

Thanks. I'll talk to the agent to see what the vendors' position is re speed versus £££

If I was a builder/plumber it would be worth more to me as could bling it up by myself but I'm not.

It's a bungalow which weirdly inflates the price - not sure why other than they must be sought after by a certain sector of the population.

My daughter absolutely hates it as much as I love it so might prevent a family rift if my top price is rejected.

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Original poster

Ruralbliss · 04/07/2021 23:02

There's a few nice modern zero-modernisation, all mod cons inc underfloor heating etc (but way way smaller gardens) which are priced 15% lower than the 60's throwback bungalow so provide good alternatives for me.

I had said I never want to do up a house again but I appear to have a soft spot for those large windowed 1960s architectures and their generous plots.

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Starseeking · 04/07/2021 23:12

It's fine. I recently looked at a house I thought was overvalued at £735k, my top budget was £650k. Offered £670k, which was rejected, and the property has now been reduced to £700k. I expect it'll be reduced again, to £675k, and if/when the agent comes back to me, I'd offer £625k, as I now consider my initial assessment of overvalue as too low.

A house is only worth what a buyer is willing to pay, and if they are keen to sell, they may accept far less than the agent told them it was "worth".

Somertime · 04/07/2021 23:25

I'm going through a renovation of a 60s semi right now - remember the pain you went through last time!! I'm seriously regretting doing this rather than paying 30k more for a modernised house down the street.

Original poster

Ruralbliss · 05/07/2021 07:06

Thanks @Somertime yes yes to this. I've been having many a fantasy of the new lifestyle where I don't have to garden/DIY every waking moment I'm not at work. I have a list of things I'd rather do with my leisure time that haven't been done for ten years (travel, music, read, fitness etc etc) - worth remembering that. On my must haves it definitely says 'low to zero refurbishment'

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Flickandtwo · 05/07/2021 07:10

It's always worth putting in a cheeky offer. The agents obviously want more as they get more. So often put the 'very best price'

The house could be on the market for a variety of reasons... And just needs to be sold at the end of the day. Pay what you think it's worth and you can afford. If you don't get the house it wasn't the right house

DespairingHomeowner · 05/07/2021 09:41

Also, some homeowners ignore agents valuations and price what THEY think its worth

On the other hand, as a vendor, it takes a lot of work to prepare your house for viewing: I don't think I would want to do that for people 'just having a look' or putting in a 'cheeky' offer (i.e. having a punt with no real info to back it)

In an ideal world, I think the best thing is to talk to the agent, explain to him that based on your knowledge of the local market, if you want to proceed after viewing you would likely be offering less than asking price...and take it from there. If you are being even reasonable the agent will convey the message to the home owner

You don't have to offer more than you think a house is worth, but equally listing your house is not a reason to be messed about by people who cannot afford to buy your home. For example, I listed a place with a dated kitchen... 20 viewings from people who all said they wanted a newer kitchen but had no funds for renovation so would not be proceeding: waste of my time, and if you have ever sold somewhere you would understand

DespairingHomeowner · 05/07/2021 09:42

@Flickandtwo

It's always worth putting in a cheeky offer. The agents obviously want more as they get more. So often put the 'very best price'

The house could be on the market for a variety of reasons... And just needs to be sold at the end of the day. Pay what you think it's worth and you can afford. If you don't get the house it wasn't the right house

@Flickandtwo: I don't agree, often agents list a house at low prices so it sells quickly & easily, then they can get their commission and off to the next house. It doesn't matter for them as they gain by minimising the time marketing but gaining commission on more properties

Original poster

Ruralbliss · 05/07/2021 12:48

I hear you @DespairingHomeowner you take advice from an agent but if it is unique and 'needs' some modernising or updated decor (NB everyone's view as to what is decent decor is widely varied too - my self painted solid wood kitchen with vinyl flooring looks great to me but others might think 🤢and say it 'needs' ripping out and replacing)

It's all so subjective especially in today's bonkers housing market. Different regions providing additional ambiguity

At the end of the day it's one big eBay exercise. Do you list with a small start price as need to sell quickly at any cost (must move due to work, divorce etc) or do what my vendors did put it on as your preferred price and happy to sit tight for many weeks/months for the right buyer with oodles of cash and enthusiasm to come along.

I'm somewhere in the middle thankfully. Happy to be here in my old life for as long as it takes to a point but having made the decision to move would like to have the benefits of that new existence this calendar year if possible. If I sell at the low price I set against EA advice of what it might achieve it'll be after weeks of viewings and no takers.

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Original poster

Ruralbliss · 05/07/2021 13:36

Deceased estate the agent tells me and vendors have had two sales fall through already.

Ill go to see it to assess how much work I think it needs a sale on my current house is agreed but sounded like they'd accept a lower offer than have it endlessly for sale.

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DespairingHomeowner · 05/07/2021 13:41

@Ruralbliss: n argument in your favour is how much building work costs right now! Yes, sounds like they will be more open to offers … BUT 2 sales falling through makes me wonder if a survey nightmare?

GrumpyMiddleAgedWoman · 05/07/2021 15:59

I'd go and look. If it needs updating you really can't tell how good/bad it is without seeing it, and your assessment of what needs to be done will obviously affect how much you're willing to pay.

If you do offer significantly under the asking, explain your reasoning. We did that when we offered under the asking and saved ourselves some money.

Paddingtonthebear · 05/07/2021 16:20

I viewed a house a couple of months ago that was £50k over our budget. I only viewed it because it had been on the market for about 5 weeks which is a long time here, the market is very hot. And it needed a fair bit of updating. Of course our offer was declined, the agent said it prompted the seller to go back and accept the only other offer they had previously which was not asking price either but more than ours.

cartwheelsareus · 05/07/2021 16:26

Best ask the agent first if they're likely ro be up for offers that low. It's quite stressful to get your house ready for viewings and you don't want to waste anyone's time

Paddingtonthebear · 05/07/2021 16:30

Yes sorry the house we viewed was empty

Twiglets1 · 05/07/2021 19:15

@Ruralbliss

Following in from my house pricing conundrum thread plus the thread of the poor OP who didn't go & see their dream house as it was £150k more than they could afford but since found out it sold for £150k under asking price...

I see a house listed in the area I'm relocating to which is at the very top of my budget but clearly a 1960s/70s time capsule. It would suit my needs exactly but knowing it took me a decade to get my current mid-century dragged into 2021 with never quite enough funds to develop it as I'd have liked to beyond replacing all windows, taking out faux stone fireplaces and endless painting of teak wooden ceilings etc.

Now I have first hand knowledge how much effort and £££ modernising a perfectly lovely but very dated house would be I'm keen to not buy it at any cost and would most likely offer 15% off asking in order to fund the refurb.

This is ok isn't it? Business is business. They can always say no right?

The buyers of the house I'm selling had been waiting for three years THREE YEARS what they believed the house was worth but despite having an acre of garden no one bar us wanted it. Even then it took them 6 weeks to begrudgingly accept our £10k under offer as the elderly owner was so fed up of living in a huge house.

So I just need to check that it's ok to go see a house with the intention of making a 'I'd be prepared to pay you £X' and know I can walk away to cheaper more modern houses needing precisely zero updating or DIY.

Thanks

Absolutely ok. As someone who has a flat on the market with no offers, I would be excited to get any offer even if well below what we wanted. Just to feel that someone was interested.

surreygirl1987 · 05/07/2021 23:22

Absolutely fine but I agree to mention to thr estate agent first that your budget is lower than their asking price. That way you don't lose integrity ekth the EA (which, right now in a hot market, if you want to be first port of call when a new property becomes available, is important I think). We recently viewed a property that was listed at around 8% more than our budget, but had been on for a couple of months. I explained this to thr EA, said I don't want to waste anyone's time and asked if he thought there's a chance they are open to offers, and asked if it was worth viewing. He encouraged me to view. Our offer was rejected as it happens, but at least we gave it a go and were honest about it. Might ring up in a few weeks when we are chain-free (moving into rental) and offer a fraction higher if it hasn't sold by then.

Saltyslug · 06/07/2021 06:22

Always worth offering low first

Thisusedtobeaniceneighbourhood · 06/07/2021 06:41

We put of offer of £50k under asking on this house. It was genuinely the most we could afford and we didn’t expect to be accepted. The house needed an awful lot of work, but is a big house in a desirable location with large garden. We were very shocked it was accepted, but after survey it was agreed that the price was fair so that was good. We spent just over £100k renovating it, and about half of that was redoing all the services so I do think it was a fair price in the end.

Chanel05 · 06/07/2021 06:47

Absolutely! I viewed a gorgeous house recently for £475k that met all the needs I wanted. However, due to location abs recently sold in the area I think it's worth £425-£450k. It has been on the market for 2 weeks with no sale and I'm keeping my eyes peeled.

surreygirl1987 · 06/07/2021 21:06

Also looooooads of properties are being reduced at the moment on Rightmove! At least in the area I'm looking at! I chdxk whats been added in the last 24 hours every day, and today HALF of the 'new' properties weren't new at all but were reductions! This is great news - if more properties are being reduced it might have a knock on effect. I'm keeping my eyes on one that is out of our budget but that has been sitting there for 3 months...

Ghislainedefeligonde · 07/07/2021 13:02

The house we bought was initially on at o/o 550 I think. Previous owner died, house needed a lot of work -actually needed almost everything fixed or replaced. It was on market for 3 years and gradually reduced in asking price. We ended up offering 460 (35k under asking price at that time) and offer was accepted. However we have spent in excess of 100k on it plus a lot of blood sweat and tears (and a very long cold winter) so I still think our offer was fair taking everything else into account
We had just sold our previous house to cash buyer so were in a strong position and ready to go which helped a lot I’d say