Offering under “offers over”

[MissterMummy]

Hello mumsnetters, help me decide on what to offer for this house!!

Sellers are asking for “offers over” 975k. Our budget is max 980. Thinking of offering 955 but not sure if it’s too cheeky?? Don’t want to piss off the vendors or not be taken seriously. It sold over the summer (initially advertised at 1mil) but sale fell through and it’s been back on the market for 3 weeks now. I hate the “offers over” thing and am crap at negotiating.

Ups: Freehold house, great transport links, catchment area for outstanding primary, 4 bedrooms 3 bathrooms, decent sized backyard (for London standards!) and house in generally good condition.
Downs: Terraced, busy urban area (London zone 2), petty crime, also backs onto an overground line.

We’ve sold our house but not yet exchanged contracts, mortgage in principle and have extra cash for deposit top, so proceed-able but not as attractive as a cash buyer or someone who’s already exchanged.

So should I chance a cheeky offer? Or do the more sensible thing and offer a little over but leave almost no wiggle room?? TIA 🙏

Good points, PropertyLog is great for tracking peoples delusion as it ebbs and flows. It is a shame, most sellers just genuinely dont have a clue how the market works, many of them just took on board all the nonsense from the property shows that used to be so popular.

20 years ago interest rates were broadly where they are now, the "bubble prices" come from cheap lending, not from more normal interest rates, they are being VERY optimistic with their pricing now, if rates stay up or go higher you could be overpaying by a LOT.

https://www.propertyinvestmentproject.co.uk/property-statistics/uk-interest-rate-history-graph/

So update: we offered 955 yesterday morning with a good spiel outlining our position (proceed-able, proof of finances, local family to area etc etc). Agent gets back to say vendor has declined the amount but liked our profile, saying he’s holding out for 975, but could possibly accept 973. That if he didn’t get around 975 he would put the house up for auction. Eh?? (I don’t quite get that strategy, surely he’d get less at auction but obvs get his money quicker??).

Anyway, we do really want the house so we went back with 970, stating it as our last and final.

That was at about 3pm yesterday and I’ve not heard back so I’m assuming the agent is trying to rally up other offers (there was one other offer apart from ours, agent indicated ours was stronger).

so now I’m bouncing between the walls wanting the agent to call, but probably won’t be until Monday. Gah!

I would have suggested 970k if you hadn't already offered 970k.

They won't put the house up for auction rather than accept an offer so close to the asking price so that should be taken with a huge pinch of salt.

It's a stressful time waiting and the EA may indeed have gone back to the other party telling them that an offer has been made "very close to the asking price". Or possibly talking to the owners and encouraging them to accept your offer because really, it's in their interests to wrap this sale up and the other party may not be in such a strong position as you.

When you get to the point where you're splitting hairs on a price somewhere between 970-975k everyone involved knows that a deal can be done. The owners will probably be considering whether they should just accept 970k and be happy with that or try to squeeze a bit more out of you by saying they won't go below 973k. Good Luck!

Thanks @Twiglets1 !

Have you tried this tool for London, or are you dead set on this particular property?

https://chromewebstore.google.com/detail/rightmove-london-property/ddnkogahnfkgkechllbdfgacnkikddbf

Make the offer. They can only say no. A lot of properties aren't selling, prices dipping and sales falling through.

Agent finally called at the end of the day to say our offer was accepted! Hoorah! 😁

Excellent! You played it well to get the house for 5k under the minimum amount they supposedly would consider. I hope the rest of the purchase goes smoothly for you.

Unless it’s going to FINAL bids, put in the offer you are comfortable with.
1 week before Christmas, the worst they’ll do is reject it, you can increase it immediately if you want to.
You can ask the agent to keep in contact with you and let you know if they receive a higher bid (not a fan of this as the agent works for the seller not you)
The agent will be working for another 4 days before taking a few days off, leaving you time to decide once and for all.
Also, get your contract signed as soon as possible, you have sold in principle but are in a chain and that can go against you.