Cheeky offer?

[Kkaayy]

We’ve just accepted an offer on our house which is 10k under asking price, we had already reduced by 10k so technically 20k less than what we were hoping for and what estate agents valued the house at. We’ve been on the market approx 3 months with 2 different agents.

We would like to offer on a house which is currently priced at 525k, 500k would be our first and final offer especially as we’ve accepted 20k less on ours. This house has been on the market 5 months with their current agent (same agent as us) and 3 months with a previous agent at 540k.

Is it cheeky offering 25k less than asking price? They’ve had no previous offers and it sounds like very few viewings.

Yep. It surprised me too. I assumed that sales would fall off a cliff after the Stamp Duty changes, but there goes the saying about assumptions. However, I also assume that the figures are true!!!

It's just interesting to see how reality (sales) differs from fiction (nothing selling). Although local variations will apply.

Locally to me (SW) mid-price property is selling within a few weeks. Lot's of sale agreeds.

That's interesting @XVGN. I see lots and lots of property coming onto the market too so perhaps the buyers have more choice.

My DS offered 300 on a 325 property that had been on the market 6 months. They declined but later came back to him accepting. ( In the end it fell.through on survey but that's not relevant here).

So wait and see. They may possibly just need some time to adjust their expectations. Or they may need that price to sell, in which case, they may be left waiting a long time.

Whatever, it's wasn't a cheeky offer. Sounds perfectly reasonable to me. Good luck finding a new home.

Yes that's true they may come back later and accept your offer @Kkaayy

We've done that in the past. Once they find a house they want to buy (assuming they haven't) it may concentrate their mind about what is the best offer they have received and what that says about the actual value of their house compared to the EA's valuation.

That's always been the fly in the ointment, note almost all properties end up being reduced, this is often estate agents over hyping the value of a home to secure the house sale to their website. I had another agent email me about how poor my agent was and how they have lost enthusiasm whilst the agent themselves has failed to sell a property as the same road as mine. I agree, price your house to sell

Go in at £475k and then you might get the deal through at under £500k.

They have probably priced to get £500k anyway.

Yes, there seems to be a huge amount of over valuing agents (and sellers) at present. You can tell by all the reductions over the past couple of years in many areas.

Personally id go for £485, then land around £490.. it’s not “cheeky” the house is only worth what someone wants to pay for it.

The one we bought 8 years ago was on for offers over £750, a year later £700 and 6 month later they dropped to £675.. it needed lots of work, we were ready to move so offered £580 and got it for £630..

They had been in that house trying to sell for 18 months so we knew they wanted out and we knew how much needed doing, so everyone was happy, they were downsizing as well so that makes a big difference, probate and downsizing you can generally get for less.

Houses that need a lot of work (probate, single glazed, ancient kitchens and bathrooms, immersion hot water) properties around here are being priced like they need no work. I have no idea what the estate agents are thinking. I would happily buy one if it was 100k cheaper but they’re just sitting on the market forever, empty, getting damper and accruing double council tax, no doubt. Stuff that’s priced to sell is going in a couple of weeks.

Find out what their situation is. £500k sounded like a very reasonable offer to me and if they were motivated to sell they should’ve bitten your arm off.

No its fine, But don't be disappointed if they refuse.

500k has been rejected if you read OPs update.

No I didn't see the update. I apologise. Hopefully they might change their minds given time to think about it.

We accepted £20k less on our house a few years ago… it was our only offer! Go for it.

Why does a property fail on a survey? Asbestos, rising damp. What does the buyer not notice? that is significant enough, for a sale to collapse?
Genuinely intrigued. I had a building survey for a house purchase, the boiler was mid 60s, I knew it eventually needed replacing but I still went ahead. As predicted the new Bosch Worcester boiler and system has failed more times in the last 2 years than the old 60s boiler in 8yrs.

I had a survey throw up the state of the roof and the fact it would need replacing within 5 years. I proposed splitting the cost with the vendor but they declined so we pulled out.

The garage had been recently converted to a habitable room and the price asked was "top price" and built in this renovation. No BR, condensation dripping from light fittings, other indications it was renovated poorly (roof water draining off and into neighbours garden), no insulation, no electrical certificates for the new installation.

Bathroom renovation - extractor extracting into loftspace and no electrical certificates for the new installation.

High damp readings internally where driveway and patio had been rebuilt too close/over the damp course.

Loft infestation with recent droppings and evidence of nibbles in electrical wiring.

They only accepted the offer after 2 weeks, reluctantly. No idea where one would start with a renegotiation anyway as it felt like the things were so pervasive. So renegotiation didn't seem appropriate. He pulled out. They have sold 3 times and it's fallen through after about 5 weeks each time. They've taken it off the market now.

They did they right thing, you cannot proceed under those conditions, especially if they are charging top dollar as well. Taking the biscuit really. Home buyer should provide a folder to their solicitor of all works, certificates and receipts. Maybe even the surveyor should be provided with the evidence

I assume you mean the home seller should provide all the evidence, not the home buyer? Assuming you do, I agree. It's sickening that these sellers can continue to list their house, with multiple known defects and waste multiple buyers time and money. I thought it was illegal not to provide information about known defects but I could be wrong. It's a good job your son paid for a full survey @Feelingstrange2

Yes I meant home seller. Gordon Brown tried to create a homebuyers survey for house buyers but people went mental and they ballsed it up anyway. Every potential buyer should not have to do multiple searches etc for the same property

Totally agree. It should be the seller's responsibility to commission and pay for the surveys and reports before listing, from a list of independent contractors, just as they do in many other countries. The buyers can then make an informed decision about whether to offer and at what price. It would certainly save a significant number of falls throughs.

Here's an idea. What if we also made the seller renew those searches every 4 to 6 weeks. That would encourage better pricing to get the deal done. It would get rid of 90% of the time-wasters just flying a kite and the over-pricing EA's. Both these actions together would really put a motor on the transaction duration.

Interesting idea. It would indeed incentivise sellers to price realistically!
I definitely think the previous Labour government's sellers property pack was a good idea and I'm not sure why it was torn down. There are so many sellers who 'kite fly' and waste everyone's time. There is so much less of that in other countries. If both sides were also made to put down some kind of bond once the price was agreed (with the full survey information as above), there would also be a lot less messing around. At present, I think there are so many buyers pulling out because they nervous about their finances, the falling market in some areas, the economy, potential expensive problems being deliberately hidden by sellers, etc.