House sale - offer/negotiation torture!!

[Strawberrycornetto]

Our house has been on the market for 4 weeks. We had an offer yesterday which was about 10% below the asking price (about 80k off). The agent said to be that the people knew that it was too low but it was an opening offer and they were hoping to find some middle ground.

We rejected the offer. They haven't come back with anything at all, or said that they won't go higher, just silence.

Do you think this is a tactic? How likely is it that the opening bid was also a final bid? Surely, if that was the case they would say so wouldn't they and try to push us down. I hate all this, am rubbish at negotiating. Have I blown it? How long before we assume that they won't come back at all?

Don't panic. A lot of people do this. They are trying to scare you into reconsidering. Plenty of buyers do this and most will usually be back within a week or so (unless your house if overpriced).

Try not to worry too much. If you haven't heard from your agent within a week, ask them to contact the viewers and let them know that while you were not willing to reduce your price that drastically, you are willing to negotiate a reasonable price.

Good luck!

Erm, I can't believe any buyer would say to the agent "We know this is too low" when making an offer. Think your agent was putting a rose tinted pic on things maybe?

However your agent may be right about their intentions nonetheless. It's only been a day. The buyers may be waiting to make their next move - they won't want to seem too desperate by coming back the very next day with a higher offer.

I'd wait till Friday, then if nothing more from them, go back with a counter offer.

Is it really too low ? I would expect to take between 10 and 15% off the asking price right now.
How does it compare with others that sold around 2007 ?

Its hard to compare because there isn't much around of a similar size. Its 80 off the asking price and the agents said we should expect to get between 30 and 40 below what they recommended marketing it for. If it was 20k higher we would have thought very very hard about accepting it. So I guess its the absolute lowest price we would consider, but in 4 weeks we've had 7 viewings and 2 second viewings, so I don't think we need to be too desperate. The people who offered have accepted an offer at the asking price.

Will wait to see what happens. Would it be reasonable for us to go back with a figure on a counter bid or is this just not done? (Never sold for less than the askinng price before!)

I'd leave it then, the agent needs to be a bit more circumspect though, if he's saying to you they said this is too low then why is he wasting his time picking up the phone and telling you about it.
If it was me I would tell the agent that for the next month at least only offers over £740k need be put to us and if people come in lower than that then he should say there and then the vendor will not entertain that figure come back with another one.
I think a lot of agents are also used to selling at asking prices, a bit like a furniture shop, the price you see is the one you pay, negotiating is all a bit new to them

MillyMollyMoo - the EA is bound by law to tell the vendors of all offers made to them, no matter how laughable. They can say that an offer won't be acceptable but if the prospective buyer insists on a particular offer they have to pass it on to the seller.

Strawberry - I'd hang fire for another 24 hours. They've probably been watching too many episodes of Relocation, Relocation.

Spiralqueen , definitely right. I am waiting for Phil to ring our agent from the local pub!!

I wouldn't go back with a figure on a counter bid, I don't think that's really how it's done (not an expert!).

I'd just wait for them to make another offer.

Housemoving is stressful and difficult for everyonne - they have to really want your house in order to tolerate the difficulties ahead and if they really want it, they will offer more.

They probably have room to increase unless it was their final and they stated that.We have just sold and our buyers said one and only offer and it was good and we took it.

That's what I think Noddy. If they are serious, they didn't say it was a final offer so I would expect them to go up. I think we will be unlucky if they only put in one offer, didn't say so and walk away. If that's the case, I don't think they really liked the house in the first place.

Such a miserable process though!!

If you'e happy to do a deal, go back with a counter offer. It will generate momentum and they will know you are serious. You can potentially push them up to what you want to sell for.

We tried to buy a house a few weeks ago. All the estate agent kept saying is that the vendor will only consider asking price. After three tries, we gave up and offered on another house which was accepted (yay!).

Still heard nothing. [very stressed face] I assume that means they aren't going to come back. Am gutted. I reckon they were about 3% below the lowest figure we could really accept which isn't much when you are talking about such big sums. We are ultimately planning to give up my salary so we can't really afford to accept less than its worth.

Is there any hope they will still come back with an offer? Not knowing is horrible, I am thinking they put in an offer on something else.

If it happens again or if they ome back with a counter offer, I would tell the agent that the lowest you are prepared to go is 'x'. BUT make sure 'x' is a bit more than you real lowest price. IFYSWIM?

Often on Location, Location this happens, the sellers says the def lowest is 'x' but still goes a little lower. They think they've got a bargain and 'won' and you get the price - well lowest acceptable offer- you want.

Sometimes when quoting for work, people put on a bit more so that that they can knock some off.....

We have bought a property, we offered X which we felt would be rejected as first offers usually are and vendors came back saying if we offered Y they would take it off the market.

We did agree to pay Y as it was less than the asking price but about right for the property's real worth compared to other similar properties.

I think counteroffers are good because it gives them an idea of where you are looking, £80k is a lot of scope to try to guess where you may accept an offer. For all they know they may have to increase their offer by £70K or by £10k, they have no idea unless you guide them. I think it is a better solution than them guessing.

They may be viewing other properties or sitting down and doing some number crunching. Our buyers took 3 days to come back to us with another offer. It was nerve wracking. We completed last week!

Have to agree its a really odd thing for the agent to say.

Go back to the agent and ask him/her to clarify.

Have you found a place you want? (I would guess not, given your thread of yesterday) but, still, is there any urgency?

We have found a place we want - the other house we looked at initialy which is still on the market.

I thought it was an odd thing for the agent to say too, I think he was speculating but he made it sound at the time like the vendors had said that.

If we go back with a realistic figure, do we have to expect them to knock some more off it?

If we go back with a realistic figure, do we have to expect them to knock some more off it?

They will almost certainly try so add just a little bit to your 'minimum'. Then you can take some off to get to the figure you think is reasonable.

Your agent is on your side. You pay him, he is entirely there to represent your interests.

Tell him your absolute bottom line. Get him to negotiate the best possible price above that.

This is what he earns his huuuugggge fee for!

Too right bbh. Why does it never feel like that?

Well they came up to our absolute minimum so we accepted. Am pleased and just hoping we can get the one we have offered on. I will have no nails left and be completely grey by the time this is over!!