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Have I offered the right price? Leytonstone

72 replies

Maverick52 · 19/10/2023 14:06

Hello everybody,

I got my offer accepted on a property in Leytonstone (1 bed plus one loft room, 390k offer, asking price was over 375k).

I know they purchased the property in 2021 for 350k. I am now wondering if I offered too much?

The estate agent told me they accepted my offer despite receiving a 400k offer (mine is cash offer).

I wonder if I prices in the area have increased so much in the space of two years and if I am overpaying?

Any suggestions?

Best,
Mav

OP posts:
DrySherry · 19/10/2023 14:37

If you didn't feel slightly embarrassed by your offer, then yes you offered too much. It's probably worth about the same as they paid in 2021 at the moment. By this time next year it will be worth less than 2021. Just my opinion, others may not agree. Your certainly rolling the dice that's for sure.

Applebeard · 19/10/2023 14:42

Prices in Leytonstone went crazy in 2021/22. When we sold our property (a three-bed house) it went for way over asking price. Far more than we could have anticipated.

Prices have calmed down a bit, but It's a safe bet as an area, with a lot going for it - and people have cottoned on to that. It sort of got 'discovered' after the Olympic park was finished, so I don't think you'll lose money in the long run, anyway.

Maverick52 · 19/10/2023 15:08

That's the property. www.stowbrothers.com/property/grove-green-road-leytonstone-9/

The thing is that they said someone offered 400k with a mortgage. I've asked to have proof of this.

Could I lower my offer price now? I just see the risk of them going with another buyer. What would you do? What's the right price?

I still think is a very nice flat

OP posts:
OP posts:
Twiglets1 · 19/10/2023 15:49

It’s not reasonable @Maverick52 to think random people on the internet can tell you whether you have overpaid or not. We don’t know your area so any attempt to say will just be a guess.

You need to do lots of research into the area you’re buying in. Look at Sold prices and compare them to the property you’re buying. What else is for sale in your area at the same sort of price? How do those flats compare to this one? It is you potentially spending all this money so it’s up to you to do loads of market research.

Plus you’ll 100% piss off the seller if you lower the offer now for no good reason. Fair enough to do it if your survey reveals something significant but to do it now just makes you look flaky.

DrySherry · 19/10/2023 15:53

It looks tidy enough and plenty of space. Number 381 last sold at 342k in March 2021. To me that's about what it's worth now - but I don't know the area specifically. Its fair to say not all areas have fallen, as another poster pointed out.
Your a cash buyer so you only really need to worry if you plan to sell again in the short term. If you plan on keeping it for a good number of years it's unlikely that you wouldn't at least get your money back imo

Meadowdog · 19/10/2023 16:03

It looks lovely and you won't have anyone walking over your head which I think is a huge plus. Is it leasehold and what are the service charges, is there a sinking fund, and what is the ground rent? Those are the sorts of things I'd want to know before offering.

Gribbit987 · 19/10/2023 16:06

You have asked to see proof of a competing offer?! How could they possibly prove that without divulging personal information to you? Why would they do this? You sound very inexperienced. If you really asked an agent that you have already flagged yourself as a potential problem.

If you lower your offer now for no apparent reason I would consider you to be flaky and high risk. I would simply choose the person with a mortgage.

It’s a nice flat. Leytonstone prices are rising. Unlikely they wouldn’t continue to rise- one of the cheapest boroughs in London so always attractive.

However… those loft rooms accessed via ladder 😬 Hope you won’t be using them as bedrooms. Frankly wouldn’t use them for anything but storage with access via a ladder.

I’d be interested in seeing the lease as often there are stipulations about loft space in a flat. If you did convert you need to pay uplift to the freeholder.

The value of this is more flexible than some - a surveyor may or may not value the loft rooms that can’t be bedrooms. Without them the square footage drops massively. I would think you being a cash buyer would be very alluring for a property such as this where there is a grey area about square footage.

Also, no garden??

mumda · 19/10/2023 16:29

The radiator pipes next to the blue armchair would do my head in!
And what's wrong with the letterbox.

Go and visit it again.

trader21c · 19/10/2023 16:32

House prices are falling in London

aggywaggy · 19/10/2023 16:34

You sound like a typical inexperienced first time buyer. Didn't you do your research before putting in your offer? If you reduce your offer now without any good reason, prepare for them to tell you where to go and remarket the property. I'd have short shrift with a buyer like you.

Horriblewoman · 19/10/2023 16:34

Tbf they shouldn’t have told you the exact offer any way and would never give you proof!

did you go straight in at 390?

Maverick52 · 19/10/2023 16:44

I've just asked to see proof of a competitive offer. I am a first time buyer, hence inexperienced. That's why I am here. One loft room has a normal staircase. The other one is not even considered in the square footage

OP posts:
aggywaggy · 19/10/2023 16:47

It's not their job to justify your offer for you. Prepare for them to laugh at you. Offers need to be made in writing and will have the personal details of the person making the offer, they won't be able to share that with you. If I was your vendor and you reduced your offer based on a change of hear, I would go straight back to the people with the mortgage and ask if their offer still stands. As a cash buyer, you seem desirable and in a position to move quickly however this wobble at such an early stage would make me think twice about whether you were going to try and gazunder later on down the line. I'd no longer think you were a committed, motivated buyer.

cestlavielife · 19/10/2023 16:51

Looks nice
Surveyor and solucitor to check lift spaces etc if up to building regs
You can stay there a while so it will not matter if loses value. You wont have negative equity if you buying with cash
If you love it you cannot change your offer now

fishfingersandtoes · 19/10/2023 17:02

If you're going to change your offer fgs do it quickly so the sellers can go back to the offer they got from the people with a mortgage.
If you can afford it and want to live there for a few years I wouldn't change the offer.

Gribbit987 · 19/10/2023 17:12

Maverick52 · 19/10/2023 16:44

I've just asked to see proof of a competitive offer. I am a first time buyer, hence inexperienced. That's why I am here. One loft room has a normal staircase. The other one is not even considered in the square footage

Well, would you want competitors to see proof of your offer? Or would you consider that privileged, sensitive and private? It’s an odd question to ask. It highlights your uncertainty and lack of experience.

The loft room is not liveable space and the big one is included on the square footage calculations. There is no clear floor plan showing layout so I assumed all loft rooms were accessed via ladder.

However, something is stopping this loft room being recognised as living space - without viewing it I don’t know what that is but my potential issues would be: did they switch out the joists when turning it into a room? Usually lofts have smaller joists and these are changed to accommodate constant use. Is there a hallway for fire safety? Are the stairs steep/narrow/head height issue? Because ordinarily additional staircase would eat into the floor space below. I would not be happy to use the loft room due to safety concerns.

However, someone savvy might sit on this. Wait for the surveyor to flag it. Come back with a much reduced offer and point out your cash status means you don’t have to run this unofficial living space by a mortgage provider - who might well want it officialised.

But when a room like this has been “done up” the temptation is to use it. For me that would rule it out as it is very unlikely to be sufficiently safe.

Someone flagged radiator, letterbox. The radiators are old and probably don’t meet btu requirements. It wouldn’t be hard or expensive to just switch them out and correct the piping. Dependent on how it’s done 1-2 days 600 quid plus parts. Not something to stop you buying a flat and with the same perspective I’d expect to replace that boiler soon too. But these are trivial costs.

Biggest expense would be the new kitchen.

Do you not value a garden?

Bottom line: is it bad value? No not really (lease and ground rent terms dependent). Are there better properties at 390k in East London? Yes, in my opinion there are.

jadey1991 · 19/10/2023 17:22

Can I ask... so the buying price was 375k and you offered 390k???

Of that is the case then yeah u defo did offer way to much. And especially in leytonstone too. I'm not far from leytonstone

aggywaggy · 19/10/2023 17:27

jadey1991 · 19/10/2023 17:22

Can I ask... so the buying price was 375k and you offered 390k???

Of that is the case then yeah u defo did offer way to much. And especially in leytonstone too. I'm not far from leytonstone

I think it was offers over 375k.

A friend of mine just this month sold their 1 bed flat in leytonstone, they bought it three years ago for £350k and sold it in July for £495k, it wasn't any nicer than this place so I personally don't think this is overpriced given the space.

Maverick52 · 19/10/2023 17:58

I did not start at 390 but increased after they told me they have received 400k

OP posts:
TheYearOfSmallThings · 19/10/2023 18:16

I think someone else would have offered £390k for that flat, if everything is in good order and it has a long lease or share of freehold (I may have missed that information in the Rightmove ad?). If you have got cold feet and want to rent for a few more years and see what the market does, tell them now and they can get it back on the market.

TomatoSoup69 · 19/10/2023 18:39

I think you've done a decent deal! I don't think you've overpaid.

whatsmynameaga1n · 19/10/2023 19:21

I live in the area and 390 sounds reasonable to me for that! It’s a lovely flat OP.

jadey1991 · 19/10/2023 20:06

aggywaggy · 19/10/2023 17:27

I think it was offers over 375k.

A friend of mine just this month sold their 1 bed flat in leytonstone, they bought it three years ago for £350k and sold it in July for £495k, it wasn't any nicer than this place so I personally don't think this is overpriced given the space.

Oh I see.. I was just curious as we just sold my nans 2 bedWarner flat(ground floor) all newly decorated. And we was given a quite from estate agents of 275k. I thought that was quite low considering its in walthamstow and close to all public transport etc

TheYearOfSmallThings · 19/10/2023 20:10

jadey1991 · 19/10/2023 20:06

Oh I see.. I was just curious as we just sold my nans 2 bedWarner flat(ground floor) all newly decorated. And we was given a quite from estate agents of 275k. I thought that was quite low considering its in walthamstow and close to all public transport etc

If you sold for that price the lease must have been extremely low?