How long to wait before making a second offer on a property

[Elvira13]

Need property negotiation advice.

We’ve seen a house we like which is on at OIEO 850k.

It’s in an ideal location for us and is the size we want. It’s a one off new build, so the vendor is the builder.

We’ve made an offer of 780k. This is based on what others have sold for nearby as well as the fact there’s no garage.

This offer was declined.

The highest we want to to go to is 800k based on the points mentioned above, plus that is the most we can afford.

Should we make a second offer straight away or wait a bit?

The house has been on the market for 1 month and hasn’t been reduced yet. No other offers on the table, and it would appear there’s not been a huge amount of interest.

Please let me know your thoughts!

I think it sounds like they may be able to accept 805k now from someone in a strong position such as yourselves. They have tested the market and are not getting fed up with worrying about viewings & with getting “offers” from people who still have somewhere to sell so on reflection, your offer looks decent.

I'd go back and really present your appeal as being in good position, state you can complete by xx date. But £805 is top offer. It sounds like they may take less to get it moving. People make very generous offers when they are not proceed able . Yours is more real

The EA wants to get this deal wrapped up and really, getting 805k on a 850k house is a decent result. I would go in strong with you are close to Exchange on your own house, you love their house, you will move fast if they agree to 805k & get the ball rolling immediately by booking a solicitor, survey etc - but you can’t go any higher.

Thank you all. Just to be clear. We do really really like the house. It’s hard to say we love it because somethings are outstanding I.e they haven’t put carpets down anywhere yet. So it’s hard to love it until it’s the finished thing. We just couldn’t go higher because that is the highest we can go. We also have still been looking at properties. Just not found anything else yet.

Thank you for all of your advice. I will go back to the EA today with your suggested replies.

And if the EA tried to encourage you to go higher @Elvira13 you can use the phrase “I’m not bidding against myself”. Because the highest bid they currently have from a proceedable buyer is yours at 805k.

Plus of course the fact that you just CAN’T go any higher.

I would go back with your £805k offer and say it’s on the table until the end of the week. After that you are focussing on finding a rental to which you’ll commit to 12 months and allow the market to flee fresh and start searching again in 9 months time. That might help the vendor make a decision.

Just chuck your offer of £805k back on the table. EA's have a set patter, they need to demonstrate to the seller that they got the best price they could for the place, but the EA just wants the sale (& the commission) to complete, so they will try and present your offer and you (which actually you are in a cracking position) in the best light.

So show them you are serious. Put the offer back on the table and agreed, state it's your best & final.
Do you need the builder to complete the jobs like the carpeting etc? If you do make sure the EA knows the offer is conditional on getting the snag list finished.

Good luck, hope it goes your way

Yes, the builder had already said carpets will be included. He’s just waiting to get a buyer, so the buyer can have input on colour etc. so we did say the 805k was subject to things like that being completed

Good grief that email from the EA, could they use anymore cliches!

Anyway, reiterating what others have said, go back with £805k, do not say or send lots of justification for the offer.

A reply of "thank you for your email, we are still looking at properties. In respect of NN property, we would be prepared to again offer £805k. This is a final offer and subject to the property being removed from the market, and carpets included as previously agreed with the builder (or whatever was said OP!). We can proceed quickly.

Sorry for basically ignoring what most of you said about going straight back with 805k… but my husband insisted on sending this:

‘Yes, we’re still looking for somewhere. We are seeing a couple of places this weekend, one is a second viewing.

Our house sale has progressed. A survey has been completed and has been deemed satisfactory and the buyers have a mortgage in place. We just have the local authority search outstanding. We are hoping we’ll be able to complete in the next couple of weeks.’

The EA has come back with this:

‘Thank you for your email – I'm pleased to hear that things are progressing well with your sale!

Is Road a property that would still interest you if the price was right? The seller has indicated a willingness to adjust the marketing price in the coming days, so his position has definitely softened compared to previously.

I believe the seller would now consider offers in the region of £825,000. If this is a property you are still interested in and there is scope for you to increase your previous offer of £805,000 slightly, I think the seller would be more open to negotiation.

If you need to revisit the property to refresh your memory of what it offers, please just let me know.’

So they do want us to increase… we definitely won’t be and will say 805k is our max. But now they are going to be reducing to 825k, is 805k too high? We were happy to pay that. But I also don’t want to feeling like we’re paying too much!

We had already said we would obviously need carpet fitting, and they agreed to that. The other thing is that lawn hasn’t been laid in the garden. When we queried it they said they’d be putting grass seed down… so it is likely to just be a load of mud for a while.

Should we be insisting on turf?

You can't really insist on anything. In your position, I would go back with the facts. These are:-

1. Your offer of 805k stands and will not be increased.
2. Your own property sale is progressing nicely.
3. At this moment, you have not committed to anything else, and are still interested (at 805k), however this situation could change at any moment.

It doesn't sound like you are in love with the property to be honest, otherwise I may change my approach.

Also, my experience of negotiations is that the will that weakens first strengthens the other. You weakened first by upping your offer, however they have now weakened by coming back to you, so that property is obviously not flying off the proverbial shelf.

There will be other houses, don't get caught up in EA emails, they will say anything to get a sale. I wouldn't be stretching my finances to get a house that doesn't meet my needs either. £805k is so much money, take time to think everything through. Good luck and I hope you find the perfect house for your next home.

I'd just reply and say we'd love to buy the house but £805 is your absolute maximum unfortunately. I'd also reiterate that you have a second viewing booked on somewhere so you probably won't leave that offer on the table for much longer.

I wouldn’t reduce your offer, that will just look like you’re unreliable and if I were a vendor I would just back out right then. You said you were happy to pay that.

I’d also be going to opposite way and rather than insisting on turf/ carpets etc just say ‘we’ll take it sold as seen’ and do that stuff yourself. It’s the guy’s livelihood and builders are good at cutting corners when they need to recoup costs to avoid making a loss (understandable, it’s their livelihood). I wouldn’t want someone who already felt they had been done down on price overseeing carpets etc as I’m pretty sure they would not be taking the same care over quality etc. It would also strengthen your position as a straightforward buyer if you were able to offer that.

but also don’t be afraid to back out now if you’re not feeling it!

You’re overthinking it @Elvira13

There is no reason to reduce your previous offer. It may well be that after the survey you can find some reason to reduce it slightly, but not at this stage. You could have offered 800k but you decided on 805k and there is no reason to reduce that now.

It’s really nit picking to mention grass seed versus turf before they have even accepted an offer from you. At the point they accept a verbal offer from you I would tell them via the EA that you would like the garden to be turfed rather than seeded.

Thanks everyone. We’ve gone back with:

‘Yes, we are still interested in the property.

Our position, however, remains the same. £805,000 is our maximum and remains on the table until we have an offer accepted at another property.’

and they’ve just come back with:

‘Thanks for your email.

I will let the seller know your offer remains on the table at £805,000 and should his stance soften enough to consider that proposal, I will let you know.’

So following my last update… I’ve just noticed it has now been reduced on Rightmove to 825,000 with the prefix guide price

Good Luck @Elvira13

I feel sure the EA will be encouraging them to accept your offer but ultimately of course it’s up to them and they may wish to continue marketing it for a while longer in the hope of getting a proceedable higher offer from someone else.

It’s good news they have reduced the price, shows they are motivated sellers and getting more realistic about the market. I think they could well end up accepting your offer over the next few days 🤞

Is it just me or do the EA’s emails increasingly sound like an advert for laxatives?!

Good advice on this thread, just hold firm with £805k and don’t sweat the small stuff until your offer is (hopefully) accepted.

Sit on your hands @Elvira13 slowly, slowly catchee monkey. Don't worry about turf/seed, the carpets can be pinned down once your offer has been accepted. Fingers crossed.

I think you have done the right thing. They know your top offer, they know that you are almost ready to proceed with your sale, they know you are looking at other properties, all of which information they should have passed on to the developer/ builder. In the meantime the developer/builder is having to insure the house, is probably paying off for materials, and a possible mortgage/loan , is having to pay staff wages, all of which expenses are eating away at their final profit. Maybe they will decide that a buyer in the hand is better than a mythical buyer in the EA imagination.

good luck.

Thanks again everyone!

We’ll see what happens. Trying to get a few more houses lined up to view also.

Yet another email from the estate agent:

‘Following our conversation yesterday about Road, and considering both our brief phone chat and the recent discussion I had with the seller, it seems we are quite close in terms of the figures—your offer at £805,000 and the seller’s expectation of £825,000.

While I can’t make any promises until I’ve spoken further with the seller, I believe there’s a real possibility of meeting somewhere in the middle. I understand that £805,000 is your maximum and you’re exploring other properties in the coming days. However, if those viewings don’t pan out and there’s some flexibility, it might be worth considering a slight increase in your offer to secure the house.

We will, of course, keep you informed of any developments regarding the property.’

How are they not getting that 805 is our max! What do you think they are hoping for with the slight increase?

They are just doing what estate agents do.

I would just reiterate that 805 is your max and leave it there. I do think you are in with a reasonable chance as they appear to be weakening. That said, anything could happen in the next half hour.