First time buyer, did I screw up this negotiation? 😅

[Punkindrublic]

Hello everybody I could do with your reassurance! Im a first time buyer and found a house I really loved. The issue was it was overpriced. This was a 2 bed, and the for the price they were asking, we are in 3 bed territory where I am. Its very cute, but I was worried that when it comes time for the valuation, it would come up as overvalued.
I started low and negotiated up, I then offer 10K less and stood firm on that when the agent came back to me and said could I just go a tiny bit further up. I get thw impression the agent was a bit surprised when I said no.
Now the agent has come back to me and said the sellers thank me for my offer, they can't accept but will keep it on the table.
Did I screw this up? Because now im thinking maybe if I had offered just 1k more it would have passed. Im totally new to all this. What does keeping it on the table mean? Do I just need to forget about it now?

No OP, you have done exactly the right thing.

they are wanting you to feel like this to increase your offer. Don’t. Stand firm.

give it a week or two and they are most likely to come back to you. If they don’t something better will come along for you.

You lost the house you wanted for the sake of £1k? Yes, you have screwed up. It’s highly unlikely that it would come up as overvalued. In the unlikely event that it did, you don’t have to go through with the purchase. If you want the property, just ask the estate agent what the best and final offer would be to get it. If you’re happy with it, go ahead. If you’re not, don’t.

If you really love it and you could have got it for 5k more and that’s in your budget then yes you have screwed up. It really depends on the house, the area, and the sums you’re talking about. It’s entirely possible a large 2 bed could be worth more than a small 3 bed so basing it on the number of bedrooms isn’t a firm indicator of value

I don't think you've screwed up, but we're taking your word for the fact it's overpriced. It's a game of nerves to see who folds first. If it genuinely is overpriced then they may not get other offers. A lot depends on the market in your area, whether anything is selling, how long they've had it on the market etc. The sellers are biding their time, hoping a better offer comes along. Don't pay more than you think it's worth.

How long have they been trying to sell it? Have they already reduced their price to get buyers?

Depends what you would actually pay for it and if you actually wanted it

I do hate all the silliness around negotiation

Do you mean you went straight in with your initial offer? Or did you faff about first? I can't tell from the way you've written it.

Its been on for a month with no other offers.
Its not bigger than the 3 beds on the market, I also had my uncle take a look at it (he's an estate agent) who said it was overpriced.

How many places have you physically viewed (not just online)? I think you find a true property value/price that way. You really see what else you can get for your budget and when you find a good one , you know as you have lots of comparisons.

Re this property, wait a bit and see. You might find the sellers have also tested the market enough then to accept a different price in a month. Conversely, if it sells for more than you were willing to pay, you know potentially your range isn't right for what you want.

Our offer on our last house was rejected. We then viewed more houses for a month and realised we could see why it was priced higher. Our next offer was accepted and we moved very quickly.

My current house was perfect for us but we had viewed 10-15 houses over 6 months beforehand so again we felt confident going to the top of our budget for it.

If your uncle is an estate agent, let him do the negotiating then! Otherwise, if you like it and can afford it, it’s none of his business.

Guess I can't go back to them without losing credibility can I?

Why aren’t you buying one of the 3 beds, if you think this is over-priced? Presumably you think it’s nicer than them - and so other people will too.

That said, it’s a buyers market. Leave offer on the table for a couple of weeks, and if they haven’t come back you can always go in at a slightly higher offer. Unless you really want the house in which case you should increase your offer now.

Your uncle is an estate agent and said it was overpriced.

Why do you want to go back and offer more?

No other offers have been received.

Give it time OP. A month isn't that long and they're hoping for a better offer. If you can wait then in a few weeks, with nothing else being offered, they'll realise £10k under is reasonable.

You can do what you like! Just talk to the estate agent and find out what they’d accept. It sounds like like you really want the property. If that’s true, just buy it! Who cares about credibility or what your uncle thinks. You’re really overthinking all this.

If you now want to offer more, you can make something up like you got a bigger bonus than expected and can stretch another thousand, or whatever. They will politely pretend to believe you.

If you get the house you want, who cares what a couple of people think about your credibility.

You absolutely can go back to them . Say you have managed to raise another 1K, could they accept that?
If they refuse and you really don't want to offer higher, ask them what their lowest price is.
The house being what you need increases its value.

My bitter experience shows that estate agents are very likely to overvalue things at the moment. They put them on the market at prices nobody will pay then call it the 'right price'. Makes no sense.

If you want the house, and can afford to up your offer, go back to the estate agent and do so.

Anecdotally, estate agents will shit lies directly into your mouth and tell you to like it. Unless you heard “just 1k more” directly from the seller then don’t pay any attention to their games. They work for the seller, not you, and they will absolutely tell you anything, sometimes illegally, to get what they want.

in one such case I know of a buyer who made an offer,EA said it was rejected so buyer bypassed the EA and spoke to the seller directly…… who was never passed on the offer by the EA because the EA had someone else on the hook for more. Gotta get that sweet commission somehow

I would advise looking further into the whole process and becoming less naive about it. It becomes super clear EA are just a massive waste of time and money.

I get that you think it was overpriced but this is the house you have chosen to bid on and the house you want so it must be a nicer house to you than the 3 bedroom houses you have seen on the market. They may well come back to you at a later stage.

This ‘the house being what you need increases its value’.

How long should I give them before going back? Is it worth giving the agent a call for a chat?

Did the agent say how much "going little higher" actually was? If not, then I'd give them a call and ask what is the minimum the sellers are prepared to accept, bearing in mind you are a first-time buyer so chain free.

Also ask whether the sellers have found a property they like. Is it a case that they need to sell at £x to be able to afford the house they want, or are they trying it on. And if they have found something, what's the status of that?

Leave the offer on the table - don’t pay more than it’s worth especially in a stagnant or falling market

Just give the agent a call and discuss the situation. There’s no set timings involved.

If you do go forwards, to ask about their situation. Have they found anywhere? Or are you looking at a long wait? Always useful to factor in.

if it is really is overpriced, both for the market and you, don’t offer more. It would help to know the numbers here - did you open at 25% under? Is it £10k under on £300 or £600. This changes the reaction a bit