How low can you go with a cheeky offer?

[purpleduck]

How low would you go on a house that was put on the market for 224,00?
It needs alot of tlc (filthy), and there are lots of little unfinished jobs.
SO, how low would you go?

A house being filthy and have lots of "little" unfinished jobs is not worth a great deal less than something which is finished to a more reasonable standard.

If it needs rewiring/new roof/new kitchen then thats a different matter. But if it could all be deal with in a few weeks with a couple of thousand pounds then its only worth a couple of thousand pounds less than the average.

You can really only judge it by looking at what else is on the market in the immediate vicinity with the same amount and quality of living accommodation and go from there.

from what you say, and from seeing alot of houses around my area, i would offer £200,000. they can only say no and go from there.

i friend of mine recently put an offer in on a house up for £167,000, he offered £145,000, was refused, but now negotiating.

I heard/read someone who worked in an estate agents on the radio (or possibly MN?) recently - they said if you were not embaressed by your offer it was probably too high in the current market conditions!

I have a friend who recently got 20% of the asking price - nothing major wrong with the property at all - just a desperate to sell vendor and a chain free and cheeky buyer.

Unless it is a house you would be absolutely gutted to lose and there is loads of other interest, then why not start cheekily low and take it from there. I would have no problem offering £185k for starters.

Thanks all!
We had the 200,000 figure in mind, but worried it was too low

i always think though 'what if i piss off the sellers and then they dont sell out of principle?' cause that is what i think i would feel like if someone offered a silly amount, but on the other hand its not like there is alot of houses selling at the moment is there?

I would start at 165K then go up to 180. I would also check on prime location how much the vendors bought it for as it will give you an idea as to how much they are prepare to accept for it (it is very difficult psychologically for most vendor to accept less than what they got the house for + the £10K of legal fees that go with it)

What's it worth to you ?
How much will it cost to sort those little jobs out and then knock 30% off because that's what it'll be worth next year.

30%!!! Do you think the market will drop that much?

I think it aslo depends what position you are in.
If you have sold your property or are chain free then you can afford to be a buit cheekier with your offer.
I would accept a lower offer from someone free to move than a higher offer from somebody stil to sell

I could bore you for hours on the economic patterns of the last 50 years but yes history suggests that house prices have a long way to fall and whilst I cannot give you an exact date, 30% is very likely some might say more.
If you can wait please do so, you're going to spend the next 25 years paying this mortgage off, wouldn't you rather pay 30/40% less times by 3 interest payments ?

Our house hasn't sold, but only just went on the market. The Estate agent seems optimistic (ours is a starter home, bottom of property ladder etc )

Good luck. I have just offered £215k on a house up for £269k with a lot of work needing to be done (new kitchen, bathroom, prob a rewire). We'll see.

aparently you should be paying 2004 prices- check how much the house was worth in 2204 (can do thie on right move), then calculate howmuch work you think it need, 10k, 15k, e.t.c- then I would take away another 20k- so you have a barganing tool!
Whatever you offer good luck and if it is too low the vendors will simply say no make another offer!

or find another house.

Funny you see things that way Sonnet we have just made an offer on a house at just 8% below the asking price, which I think is a very very good offer for the Sellers. We have no mortgage and no chain and yet they have refused our offer because they are waiting "to see if they can get more". This said they asked us to repeat our offer last Friday (presumably to be able to say to the people who were viewing that weekend that the property was under offer and/or that an offer of ...had been refused)

Some estate agents are just unreal. I won't event mention the one who told me they were doing "block" viewing because there was so much interest in such or such property. I mean ....please!

I think a lot of sellers and estate agents haven't adjusted yet to the change in the market mentally, so are turning down cheeky offers. And there are a few (a very few) buyers out there too who can't believe that it's as bad as all that, and with interest rates so low it seems affordable to them.

People are so convinced that there is such a thing as a 'property ladder' which you have to get on, and that the ladder can't possibly turn into a snake. And the government are trying to prop up house values any way they can. So personally I don't think the real 'crash' has happened yet, it's still to come.

I wouldn't dare buy right now though.
Unless it was my dream home and I knew I didn't want to move for 20-30 years, in which case I suppose it wouldn't matter so much.

And there's no such thing as a cheeky offer! There's one that's too low be be in the vendor's ball park, perhaps- for now...! But that doesn't make it 'cheeky'- unless you plan on telling them their original asking price was 'obscene'!

They can only say no.

I think though from looking around and comparing - some houses are clearly priced more reasonably than others (and as a result I would be less silly with the offer)