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Original poster

Feeling sick about amount we offered for house... is changing the offer unwise? (Scotland)

53 replies

geezahoose · 31/05/2021 07:56

We live in a 'hot spot' area where property has been selling for substantially over the home report valuation over the last year.

Last week we had an offer accepted on a house locally - we offered 20% over the home report/survey valuation. We were able to do this because our buyer offered 25% over for our property. I think we offered so much out of a combination of desperation and frustration about missing out on previous properties after we'd offered what we thought was a 'realistic' price...

However, I am now feeling sick about this. It's an insane amount of money (we'll have none left over) and it'll make the house we are buying the 'most expensive' one in the (council/ex-council) neighbourhood. (Annoyingly, if the property we offered on had been one of the privately built ones on the next road over, our offer would be less insane compared to recent sales.)

Is it worth asking our solicitor about reducing our offer by about 5k (this would only be around 3%)? We could say that we are willing to pay the original price if need be but were wondering if the sellers would accept that slight reduction? I know this is bad form & there's a risk of them bolting, but it's making me so incredibly stressed.

Again, we only just had the offer accepted last week so it's still early stages - I wouldn't want to reduce the offer at the last minute.

Any words of wisdom? I feel so stupid!

OP posts:

Bluecheck679 · 31/05/2021 08:16

Unless something has changed with any surveys etc I wouldn't. 3% is such a small amount, I wouldn't risk the ill feelings this may cause. We bought our house 6 years ago and at the time I felt a bit like you at the price we'd paid for it. 6 years on it is valued at much higher than we paid for it. If you're planning to stay in it for a long time and you love the house the price is right for you.

LadyBugg · 31/05/2021 08:27

I wouldn't. Stick to what you've offered if you want the house, or pull out if you've paid too much and you feel too uncomfortable.

We sold our last house for a similar amount and if the seller had come back and tried to reduce by £5k we would have put it straight back on the market. £5k at these margins is significant.

I am hearing stories every day at the moment of people who offered 20% to 25% over home report value, coming behind 8 or so higher offers at closing dates. You've probably paid what you had to, to buy in the current market.

Grumpycatsmum · 31/05/2021 08:28

If you won the bids at closing date then no. You'd be better just pulling out. If you had an offer accepted without it going to closing the possibly. But think you'd need to give a reason and accept the seller might pull out.
The question I've asked myself is if I could y
afford to lose the amount of money I have "overpaid" if I dont get it back when I sell. Might be worth considering.

Poorlykitten · 31/05/2021 08:30

I wouldn’t. Your choices are to stick with it or pull out if you are uncomfortable with the price.

milinhas · 31/05/2021 08:32

If you say you’ll still pay the original price there is no way the vendor is going to accept £5k less just to be nice. Unfortunately the market is tough right now.

Sally872 · 31/05/2021 08:35

Houses are selling so quickly. I wouldn't pull out if I wanted the house. If I was the seller I would say no and look for another buyer immediately.

Do you plan to stay in this house for a long time? If so I wouldn't worry about the overpayment. If you plan to sell within 5 years it doesn't seem sensible to pay so much over the home report.

CharlieBrown65 · 31/05/2021 08:42

I don't have much advice but felt like I should say that we did the same. We ended up offering 10% over asking price for our current house. We could do this due to a higher offer on ours/the house was at the lower end of our budget so we had a bit of wiggle room. I stressed so much of it but then realised that this is a house we will be having kids in and staying in for many many years. We're spending £10,000 on moving this time round so we'll be saving that as we wont have to move again in the future. That made me feel better!

dudsville · 31/05/2021 08:43

Your reason for offering a reduced cost is only because you feel sick about it. Uou can withdraw the offer if you can't bear it, but it's not on to say that with hindsight you'd now like to pay less.

charliebrown59 · 31/05/2021 08:47

I expect the vendor may put it back on the market if you try that - both times we've bought, we've been uncomfortable, winners curse is a constant feature of winning a bid. It's been ok in the end house price growth wise.

We got cold feet as we were exchanging just after the Brexit referendum happened and top of budget, huge mortgage etc and our solicitor was extremely unimpressed with the idea of renegotiating the deal, and we didn't, even under those circumstances when some people were reporting prices to fall substantially (they didn't).

It's normal to have fears and feel overwhelmed. Unless you've got fears about it being trapped in a house you don't really like, probably best to proceed.

Ariela · 31/05/2021 08:47

Wait and see what your survey uncovers, I'd go for full structural survey regardless, and if there's things need doing, work out the cost and it's feasible to negotiate on the basis there's stuff doing. Likewise if your buyers drops their price. But I wouldn't do a 'buyers regret' reduction now - they'll only pop it back on the market, and if the house ticks all your boxes and you were happy to pay extra then go for it..

thirstyformore · 31/05/2021 08:51

If a buyer did this to me I'd simply re market the property as I'd think this would be an indication of further attempts at reduction in the price. For £5k it's not worth unsettling the process so much

HoldontoOneMoreDay · 31/05/2021 08:58

Do you feel comfortable saying where you are? Things have not calmed down one iota in our area. If you do this you'll likely lose the house (the vendor will definitely remarket) and then you'll end up having to pay even more. Some parts of Scotland are mental right now.

MiddleParking · 31/05/2021 09:03

Yeah you can’t do that unfortunately, and you’ll probably have to make the same kind of offer to move elsewhere anyway. Do you love the house, are you excited about moving?

Bluntness100 · 31/05/2021 09:09

Wow. Just pull out. Save everyone the pointless discussion.

Scarify · 31/05/2021 09:14

I still feel queasy when I think about how much we paid over the HR, but rationally I would rather we had this house than missed out, and we offered what we felt we had too to secure it. So no, if I could go back and re offer and risk losing out, I wouldn't.

5k over the time of a mortgage is really nothing.

Yellow85 · 31/05/2021 09:40

I agree with PPs, I suspect the sellers will just go back to market. As you will have had the home report up front, I don’t think there’s much chance of any negotiation now. Would you be able to get a similar house for less? I’d imagine in the current market you’d end up paying what you’ve offered anyway?

Myphone · 31/05/2021 09:49

The seller is unlikely to do you a favour of reducing the offer, especially if it’s in a hotspot area. You could pull out, having already sold, then miss out on several future sealed bids on houses. If you are ok with taking that gamble, pull out immediately so you aren’t messing with the buyers chain.

Ariela · 31/05/2021 09:52

Just noticed you're in Scotland, not sure how that affects things legally

MrsBobDylan · 31/05/2021 10:42

You offered what you can afford to secure the property. Your buyers offered 25% more on the property you are selling which should surely bridge a large chunk of the gap?

Either pull out or accept you needed to over offer to secure the house you wanted.

Chemenger · 31/05/2021 11:17

Was there a closing date? Do you know how many offers went in? What if the next highest offer was 2% lower than yours - any sane vendor would be offering it to them if you reneged on your offer (actually I might be tempted to go with the next highest offer anyway since I would suspect that you would try and drop again).

user1487194234 · 31/05/2021 11:33

Your solicitor would probably have to withdraw from acting for you
If I was the seller’s solicitor I would advise them not to deal with you any further as you can’t be trusted

zafferana · 31/05/2021 11:56

Do you want the house?

Are you prepared to risk losing it and going back to the drawing board?

If you don't mind walking away, then go for it. If you really want the house, suck up the £5k to get it.

Someoneonlyyouknow · 31/05/2021 11:56

You will still be at the Missives stage where you are agreeing what is included in the sale. If all white goods, curtains, some furniture, hot tub, dog etc would you be happier with the price? If you have to do work immediately you may be able to justify reduction, now that you have priced it. If you simply can't afford it you should withdraw (solicitor won't love you but meh). If it's concerns that you have paid more than recent sales prices are rising in many areas and your house may be 'better'

JellyBabiesFan · 31/05/2021 12:14

If you were my buyer I would consider you unreliable and remarket the house. Withdraw offer or complete.

Silhillian · 31/05/2021 12:18

If you still want the house, you risk jeopardising the sale by doing this.

However... I think many people have got carried away with this market and will be repenting at leisure for the prices they’ve paid. If you can afford to postpone a move until the market has calmed, I would do that instead.

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