Asked for more money - what to do?

[ImTheGoat]

We've had an offer accepted on a house we love. To be honest they probably accepted it prematurely as it had only been on the market over the weekend and had quite a few more viewings booked in from what we were told.

It was on at offers over £450k and we offered £460k. We're cash buyers in rented so in a good position. Someone else offered also, no idea how much, but they chose us.

The estate agent ran this morning to say there was an issue with our sellers forward purchase that they're trying to sort out. Otherwise if they can't they will offer on another house and that will require some "renegotiation."

I suspect we'll be asked to up our offer. We can go to £465k but no higher. What would you do? If anyone offers higher but needs a mortgage I think they'd be stuffed, as the house would probably be down valued. But there's nothing else on the market we like, and that's probably the case for a lot of buyers in this area at the moment. It's really slim pickings but this house stands out!

if you really want the house….

Work out your cut off price. Do not offer over it.

Wait and see what they come back with.

When they do come back, give no response on the phone and keep it neutral. ideally try and talk to the EA in person and work out what the vendors want.

Make any increased offers at least 2 working days after any ask and offer goes in. Increase in increments of £2k - stress you are having to find this as additional cash, it’s difficult for you, you are at your limit and may need to walk if you can’t close and they can take their chances with someone looking for an 80% mortgage.

if you quite like the house but could live with it easily if you lost it. when they come back say your offer is best and final you can’t go higher and put a clock on it. Ask the EA to let up in to view other properties

That’s a tricky one. Agree they accepted your offer prematurely and now probably are wondering if they could have got more.

Wait to see if they do have to move to another more expensive house. If they do, I would be inclined to offer another 5k to stop them relist ing it on the open market. But don’t go beyond 465k and make it very clear to the EA that you can’t borrow any more.

You could flat refuse to offer any more but that’s a risky strategy in my opinion, given that you love the house.

Thank you both, really good advice. I think while they will be able to extract a bit more money from us I won't make it easy for them. I'm also going to request another viewing before upping the offer just to be absolutely sure it's what we want to do.

Also their original very nice estate agent who was dealing with the sale has gone off on maternity leave and the new one seems like a bit of a shark! I wonder if by renegotiating he would get a commission for himself instead of it going to the one who's on mat leave. I don't know how it works but I wouldn't put it past him. I definitely believe any renegotiating would be pushed by this shark and not the vendors who seem like a lovely, trustworthy couple.

in that case I’d try and arrange the viewing for an awkward time for the EA and say you’ll be quick and don’t mind if the owners show you around.

if they seem normal and you can get them without the EA give them your details that way you can discuss things directly. I personally find this much better.

I use EAs to get info and prefer to negotiate directly as in my experience EAs can be VERY unreliable messengers.
it all helps unblock conveyancing delays a lot faster as it becomes clear quickly that someone is lying is both solicitors say they are waiting on the other one 😑

Rather than offering a specific sum outright, I think I'd be tempted to ask what additional outlay your vendor is going to have to cope with, and then you can offer to "meet them halfway" or whatever it works out as.

Even having accepted your offer within a few days of going on the market, they obviously wanted to move that fast, and you're good buyers...plus the market is very uncertain atm so they won't want to lose you.

£5k on that purchase price shows willing (if you need to put all of it on the table), but if you can run to it, it's not ruinous. If they ask for more then you can say you'll need to "investigate your mortgage options" - which puts you in the same situation as the buyer they have rejected, so they won't want that as it'll slow them down.

Shark or no, the EA can only broker what you and the vendor are willing to be party to, and it doesn't sound like the house you want, and the house they want, are worth losing for the sake of £5k. Best of luck.

they will offer on another house and that will require some "renegotiation."

If they're buying a more expensive house than the one they're selling, I would expect the person they have to negotiate with to NOT be you, but to be further up the chain. They've already got over asking (in a falling market).

Any way of knowing?

if they seem normal and you can get them without the EA give them your details that way you can discuss things directly. I personally find this much better

Very, very dependent on the seller, and bear in mind some sellers may be uncomfortable discussing things directly, they've employed an EA for a reason after all.

I get that @KievLoverTwo , but sometimes at this stage, everyone can help a little bit to get the whole thing over the line; minimum financial pain by sharing it out, right result for everyone!