Offering full asking price in this market

[Omgwtafisthat]

We have been outbid on 6 properties and we were about to exchange on another and got gazumped. It’s been a horrendous process trying to move the last 12 months. Whilst our sale has been straightforward (in terms of finding a buyer) we just cannot secure an onward purchase. That’s 7 properties in total we have missed out on. The stress is starting to get me now.

We often can’t believe the prices things are going for but it seems anything on good condition will sell. We could buy a house that needs work (we tried to in one of the 7 houses) but with two small children and full time stressful jobs it would just be too much.

The ideal house has just come on the market and our buyer is ready to exchange. I feel that we have to offer full asking to secure it, given that we’ve always been outbid and just to end the stress of all this!

All this talk of property coming down just doesn’t seem to be happening here. Although we did take around a 6% discount on ours.

I’d offer full asking but explain your position and that the offer would be contingent on all viewings cancelled and the house removed from sale as you are not entering an offers over scenario

Prices have increased last month according to whatever index is usually sited. The 'current market' you describe is obviously quite hot in your area. Offer ask to secure.

I am currently in the process of moving. My house has sold for over the asking price, and we have had an offer accepted for a house which was for the asking price. The market has really picked up where I live.

Ultimately it comes down to what it's worth to you.

The market is different in every area. You have direct experience of bidding on 7 properties in yours. Forget people saying the market is stagnant or falling in theirs. It's of no relevance if properties you want are going for asking price or over.

@Omgwtafisthat are you in London?

I would offer asking if you think it is worth that.

I'm moving from London to a popular SE coastal town. Property in good nick in a good location is going in a couple of days once it hits the market.

Obviously there will be other houses in the same town which need work/ not near transport links etc and the prices on those seems a bit more negotiable.

Without knowing where you are it's difficult to answer. We offered full price on our house as there were other people interested and we wanted to secure it.

Do this

Clearly a lot of people here are doing really well so they can afford to offer asking or more on what is generally recognised as agent overpricing to get business in this low volume environment (either this or they close the shop, fair enough). Looking at London, people stretch as much as possible to set the best budget they can stand by, and hope to find a house with as many boxes ticked as possible. It’s rarely the case that one would have to ability to offer another 100-200k to get an ambitiously priced house by a desperate agent. Do your research and offer what compares to recent transaction rather than getting dragged into over paying .

Thanks for all the good advice. It’s making me feel a bit better about it all!

It’s only just hit the market and viewings are this weekend. We are in London.

our game plan is to offer the full asking price and explain the good position we are in. We would be prepared to maybe go 5-10 over as well as a result of position we find ourselves in.

Could we offer at the viewing? Or would that look desperate??

This resonates alot and you are right. We’ve got into a silly rut with it all of trying to get something we can’t.

It’s unlikely the agent will want offers at the viewing. They’ll likely have a full day booked and want you to email in with your offer on Monday morning.

Make sure you are ready to evidence your deposit, mortgage in principle etc asap. Many agents will recommend to the buyer that they pass you over if you can’t get your paperwork together quickly enough to prove you’re in a great position. Too many people exaggerate their circumstances.

What time are you viewing?
Wait until you get home after viewing and if you like the place I'd ring up the EA office and make your offer and explain your position if asked. Then see what happens over the weekend I guess. I'd prefer to look keen (and honest) be first in, in the end you'll only pay what you feel you want/can. :)

I paid full asking on my house with no regrets.

I saw the house first as we had the same agent and I'd just sold for full asking.

I knew the market and I knew that if I let the house go on the open market there would be a bidding war - and I'd lose out.

Zero regrets! And I could sell it tomorrow if I needed to.

Agree with others here "the market" in question is one where you've been outbid multiple times. You need to just focus on that and ignore anything generic about "the market" in UK as a whole. I think no matter how keen (or desperate) you are, don't offer at the viewing. Maybe say you're very interested and will be calling later to follow up or something so it's clear you are serious but just for your own sanity give yourself a bit of space to go away and be sure about the decision you are making.

Thank you this is sound advice. And thanks to everyone else.

Really hoping we can get it. It’s exactly what we have been looking for.

I wouldn't offer at the viewing. Say you really like it (if you do) but you need to think about it and then phone the agent tomorrow morning to make your offer.

We offered full asking price last summer (moved in Sept) and that was our first and only offer. Two others also offered full, one was in a chain where we weren't and the other didn't have the additional money in case of downvaluing, which we did. Bought at the height of mortgage rates and the prices seem crazy BUT we have a house we love and are happy that we made the right decision.

Oh and we sent an email with our offer about a quarter of an hour after the viewing. We'd been looking for a year in a limited area and knew this was the house we wanted, didn't want to play games and risk losing it.

Any update @Omgwtafisthat ?

@Omgwtafisthat did you view the house?

We offered full asking price August 2023, 15 minutes after we had viewed. The house was only on a week or so at that point and it was our perfect forever house!

My husband was asking what I thought we should offer, and I told him we shouldn't play games and just offer what they wanted! Luckily for us they accepted quickly and we proceeded. There was no chain so we were in a good position.

About when to offer: I would not offer actually at the viewing, but if you do like it a lot, enthuse to each other in front of the agent about specific features as in ‘ oh this is a good layout for the kitchen, better than in House B’ and ‘we obviously have similar taste in decoration’ .So the agent will know that you are really interested.

I would then go away, and call the agent before close of play on the same day with your offer. Then they will not think it’s just an impulse which you might withdraw as soon as you got home!

FWIW, this was what both the last buyers we have had did, and they were painless sales. We offered same day but after lunch on a cottage we bought , as well.(We were in the pub at the end of the road, and the vendor came down to do a hand shake and have a celebratory drink ! Loved that cottage).

Viewing is this weekend! Been such a long week waiting! Think we will do the follow up pretty soon after the viewing and offer full asking. We know it’s the house we’ve been looking for, so unless there is anything glaringly wrong.

will let you know how we go, I keep thinking we are in the best position we could possibly be in and offering them what they want so if we still don’t get it after all that, there is nothing more we could of done!

just hoping it doesn’t go to an offers over situation! My nerves won’t take that!

@Omgwtafisthat good luck! Keeping everything crossed for you 🤞