How many times do you typically get a chance to up your offer?

[Etherealhedgehog]

FTB (obviously). After waaaaaay too long searching, we've found a place we love with asking price a fair bit below our max budget. We know what we want to put in as our starting offer, we'll figure out our best and final, but what we're not clear on is whether we can expect to be given more than one chance to up our offer (assuming we are) - or should we jump straight from starting to last and final? Not really had to think about this before because the last couple of places we offered on were listed at or above our max budget so we were going straight in at or close to our last and final.

We're in London and the types of properties we are looking for all sell in about three days (viewings on Sat, sold on Mon) so if we really want this we may have to pay a fair bit above asking, and have the ability to do so if we decide it's the right thing for us - but obviously we don't want to overpay more than we have to, so hoping we'll get a chance to offer an interim price.

How does this normally work?

If you're viewing early and feeling brave you can go in with a good first offer and say its subject to them taking it off the market immediately if they accept your offer, obviously they're more likely to accept if you offer asking price or above though :) Though if you give any indication that you're willing to offer more then the estate agent will probably advise the seller of this.

They might accept, but if they've had a lot of interest the estate agent will probably say they have more viewings they want to do, or it's going to best and final offers. At that point you go in with your best offer and hope for the best :)

I miss the good old days when sellers came back with a counter offer, and you had the chance to negotiate immediately! :(

If it's in line with recently sold houses just offer the asking. The agent may have others lined up but if there really is strong interest he/she will most likely suggest best and finals. Normal market you'd probably offer, they'd counter, and you'd split the difference depending on how firm either side wanted to be.

In all house purchases I've been through, I've only been prepared to offer twice.

The first would be my "it would be great to get it at this price, give it a go" offer. This always needs to be high enough for the vendor to consider you a serious buyer though.

The second would be my "this is the maximum I would be prepared to pay for this property before I would regret it if I lost it" and could be my maximum budget (but could just as easily be the maximum I was willing to pay for that house).

I don't really see the point in faffing about making numerous incremental offers. Besides in this market, you don't really have time for that. If the property is popular, the second offer you make is likely to have to be best and final.

Thanks all, that's useful to know. It's a hard one because there is quite a big difference between our max budget and the asking, which is also quite a bit over what anything similar seems to have sold for - though sold prices are obviously a bit out of date and don't reflect this market. Don't mind overpaying a bit but it looks like our max would be overpaying by more than we're comfortable with, though it is tempting to max our chances as this market feels so horrendous for buyers and we just want done (and do love it). So just figuring out where to split that difference/how much it's worth/how much we're happy to overpay by!

In this market I’ve found it’s been twice - people out in their first offer and then go to best and final

Don't mind overpaying a bit but it looks like our max would be overpaying by more than we're comfortable with, though it is tempting to max our chances as this market feels so horrendous for buyers and we just want done (and do love it).

If you love it then offer what you think it's worth even if that's more than other properties nearby, especially if you can see yourself living there for many years. There's nothing worse than offering low and missing out to someone else, and a strong offer may also prevent the stress that is best and final offers.

Obviously it's very area dependent but you say houses are selling fast in your area. So you're unlikely to get a chance to offer more than twice, the initial offer and then best and final.

I'd agree with other posters and say twice

I think if you really love it then offer asking price. If there are many offers of asking price and above then it's likely they'll go to best and final.

I'm probably the kind of person who never gets a bargain but I also think if you can afford it and will make it your home then it's not worth worrying too much about whether you could have got it for a little less.

I'd offer asking price in your shoes. No point in messing about. You're happy with the price.

Depends on the market. In a fast seller’s market, if you don’t get it on your first offer, someone else might get it.

In a slower, buyer’s market, you can offer low and offer gradual increments.

I think it’s worth an offer. Terribly galling to think you paid more than you needed to. However if it’s a house that only comes up very occasionally and is going to be very popular, you might have to accept paying a higher orice, in order to get it.

Plus, it’s never worth losing a home you really want over a couple of £k. As prices go up and up over the years, I remember the time I almost pulled out if my first purchase over £2k. It was a lot of money to me at the time, but over time, was nothing really. So don’t get petty just because you want to ‘get one over’ on the buyer and can’t bear the concept of asking price. When you offer asking price, you’re often in a good position to ask that price to include a few bits you might otherwise pay for, plus to set some terms about speed of exchange, immediate withdrawal from market etc. These can be worth a couple of £k anyway.

Those selling who’ve been bargained down, especially if it feels like a point-scoring exercise can be bitter and less co-operative.

All of this is of course very hard to gauge. In the end there’s always some brinkmanship involved and only you can ascertain what you can afford and are willing to pay and how much you want that particular house.

Thanks all, it was twice in the end, and offer accepted hooray!

Congrats. The the last two offers we made were best and final only so absolutely no room to negotiate. We were outbid on both apparently very significantly

Woohoo! I came on to say if you're in london (which you are) please don't faff as it's just so competitive and the market moves ridiculously fast. Just been through the same thing. Congrats!!