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philipm

Second Offer, How To Know If It's Real?

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I'm in the nice position that I've found a property I'm willing to make an offer on. I called the estate agent and there are "another couple interested, who have already sold their property and who want to view today".

Now I have no idea if this is true or not. Let's think forward. If I make an offer this afternoon and then a second offer appears on the table, how do I know if it's real? I don't want to have to up my offer if they're bluffing!

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If you have made an offer, I think you can ask to see the offer book. They do not have to reveal the name. I am not sure if I am correct and perhaps some of the other posters can comment.

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I'm in the nice position that I've found a property I'm willing to make an offer on. I called the estate agent and there are "another couple interested, who have already sold their property and who want to view today".

Now I have no idea if this is true or not. Let's think forward. If I make an offer this afternoon and then a second offer appears on the table, how do I know if it's real? I don't want to have to up my offer if they're bluffing!

that couple may be interested in 30 properties

who knows

don't be too quick to make an offer

not really worth bluffing on a viewing....viewings mean very little especially now

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I'm not really sure but I thought I read somewhere* that shill bidding up to the asking price is allowed. Not sure if it applies outside the auction room though...

* Actually it was a thread on the main board about 2 female friends who bid against each other on a property in an auction.

I too would be interested in how you can determine if the EA is taking bids from the wall in order to drive up the property price.

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First thing, make sure a offer has been made and its not just an "interested viewer". Seeing the offer book wont prove anything, even if the EA WAS bluffing, he'd be smart enough to put in an entry. And most bluffing doesn't come from the EA (especially at the moment!), it comes from the vendor. Its like a big game of poker, and like poker you just have to trust your instincts on smelling a bluff. My advice - there is only one thing to do, ring the EA and tell them that your current offer is the last one they will get and its only valid until Friday 4pm, if you haven't heard anything by then call them and withdraw your offer (don't enter in to a discussion, dont back down, just withdraw, and possibly make an anon call on Monday to see it has been withdrawn).

Remember, buyers have the power at the moment, so turn a possible bluff against you in to a bluff against them. And if it turns out there was a higher offer and you lose out - so what, there will be hundreds of similar properties out there and the last thing you want to do is get in to a bidding war!!! Personally I think all offers people make at the moment should be timebound, it makes the seller sweat, especially if the house has been sitting for ages - it might be their only chance for months, and they wont want to blow it.

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My advice - there is only one thing to do, ring the EA and tell them that your current offer is the last one they will get and its only valid until Friday 4pm, if you haven't heard anything by then call them and withdraw your offer (don't enter in to a discussion, dont back down, just withdraw, and possibly make an anon call on Monday to see it has been withdrawn)

If I were the vendor and this was the approach of the purchaser I wouldn't except the offer, even if it was at asking price, these kind of purchasers never complete.

Besides if a purchaser took this approach, I would make sure the house had something wrong with it by the time he moved in. :ph34r:

What goes around comes around.

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Personally I think all offers people make at the moment should be timebound, it makes the seller sweat, especially if the house has been sitting for ages - it might be their only chance for months, and they wont want to blow it.

thats great advice

reckon I'll do that next time I make an offer

on the other point got badly drawn out on a couple a few months back

didn't up my offer on one despite being bid over.....kept me informed trying to tempt me up

supossedly the sale was agreed,

I withdrew

but still for sale on PN

don't want it anymore haha

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If I were the vendor and this was the approach of the purchaser I wouldn't except the offer, even if it was at asking price, these kind of purchasers never complete.

Besides if a purchaser took this approach, I would make sure the house had something wrong with it by the time he moved in. :ph34r:

What goes around comes around.

why is it wrong to ask for a prompt yes or no?

I'd want a quick answer since I'd be offering a quick sale

also if you damage the property after survey is done

you are liable to put it right and can be sued

same if you remove fixtures etc that have been agreed on

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I was thinking about putting a time limit of a week or 2 on any future offers I make. I think this is perfectly reasonable, it gives the vendor more than enough time to make up their mind and stops things being dragged out.

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If I were the vendor and this was the approach of the purchaser I wouldn't except the offer, even if it was at asking price, these kind of purchasers never complete.

Besides if a purchaser took this approach, I would make sure the house had something wrong with it by the time he moved in. :ph34r:

What goes around comes around.

Don't see what is wrong with this approach - we did it once because the vendor was p*ssing us about and we needed an answer. We had made two reasonable offers and had them rejected, so we upped it to our limit for one time only. We were the ones who wanted to complete, the vendor wanted to hold on and see if they could get a better offer. The EA didn't seem to want to sell us the house either. As it is, the vendor withdrew from the market and our offer will be the highest they will ever receive for the property. :rolleyes:

Edited by shipbuilder

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I have put a time constraint on every single offer I have ever made on a property. I always put the offer in writing and give brief details of how I calculated the price and any benefits I offer (no chain, approved finance, cash buyer, whatever it might be). It's also good to select an uneven price as this helps to support that you've really thought about it/calculated it. Also think about perception of prices and levels. 118,500 sounds much less than 121,500. So put the first level in under an even ten/hundred then when they want you to up it, it costs little to nudge it over a barrier.

I have also won a house where I wasn't the highest bidder, but offered the most secure deal.

I've seen a few houses which have fallen through and viewed one such place on Saturday. The seller was at wits end having had 4 offers fall through in 9 months. He was now open to offers some 20% less than the level the original offers were coming in at.

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Don't see what is wrong with this approach - we did it once because the vendor was p*ssing us about and we needed an answer. We had made two reasonable offers and had them rejected, so we upped it to our limit for one time only. We were the ones who wanted to complete, the vendor wanted to hold on and see if they could get a better offer. The EA didn't seem to want to sell us the house either. As it is, the vendor withdrew from the market and our offer will be the highest they will ever receive for the property. :rolleyes:

I don't either if it's done in a reasonable manner, however the post I replied to seemed a bit take it or leave it I don't care if I get the house.

I have a back ground in sales (real sales not the easy sit on your ass and wait for a bid kind) I have found over the years when people talk about "this is my offer and thats it take it or leave it" you generally find they will pull out of the deal at the drop of a hat. I would never sell to one of these people. I certainly wouldn't mark the property sale agreed until a contract had been signed.

I sold my home in 2001 believe it or not I took £500.00 less than an offer I had from an arrogant ***** with cash. At the time I told the EA to let him think I was considering his offer while in the meantime I had sale agreed to the other party.

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I sold my home in 2001 believe it or not I took £500.00 less than an offer I had from an arrogant ***** with cash. At the time I told the EA to let him think I was considering his offer while in the meantime I had sale agreed to the other party.

I think thats fair enough

I'd take my money and walk if a vendor was being arrogant with me

theres no point in being nasty or condecending on either side

its not necessary

though some EAs have seemed to take pleasure in rubbing buyers noses in the brown stuff

time they learnt some humility

but thats a diferent bucket of threads

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It's a buyers' market. If they don't accept your low offer, walk away and wait for the next property you like - there will be plenty of others and probably for less money too (as time passes).

Don't let the estate agents try to play you.

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It's a buyers' market. If they don't accept your low offer, walk away and wait for the next property you like - there will be plenty of others and probably for less money too (as time passes).

Don't let the estate agents try to play you.

Sage advice. But it's the first house SWMBO likes. Will she be convinced?!?

It's now a full 24 hours since the offer went in. No news yet (I'll sit tight and not chase). Does suggest that it's not an instant no (21% less than DCV, 38% less than asking price) , therefore under consideration, so not too far off the mark...

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Sage advice. But it's the first house SWMBO likes. Will she be convinced?!?

It's now a full 24 hours since the offer went in. No news yet (I'll sit tight and not chase). Does suggest that it's not an instant no (21% less than DCV, 38% less than asking price) , therefore under consideration, so not too far off the mark...

Sounds a fair offer in the current climate, but would be uncommon for them to accept such a stretch. I echo the others buyer advice, if you want to have true buyer power you have to be prepared to walk away. If there is competition for properties then maybe you don't want to be buying now. If you (or OH) want a particular property now, then you will pay more and get less for your money.

When I first bought in 1990 there where not many buyers and we decided before we would not enter a bidding war, however we did raise our bid once and still got outbid again 3% above asking price, so we walked away. The other couple got the offer accepted but a week later the EA phoned and said it had fallen through as the others could not get funding. We had seen them so thought it was a genuine. I knew the seller was a bank following repo, and had been vacant for 1 year so I then offered about 7% below asking price. The EA laughed and said she thought they wouldn't accept, but she phoned back within 1 hour and confirmed acceptance.

I suspect a similar thing is happening now, people maybe making offers but suddenly finding they can't get the funds. I don't know how many EAs are checking buyer ability to pay, but fundamentally it is not in their nature as they want more bids. Worst case they fall back to the 2nd bidder. So don't play their game, make your own rules and stick to them.

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I suspect a similar thing is happening now, people maybe making offers but suddenly finding they can't get the funds. I don't know how many EAs are checking buyer ability to pay, but fundamentally it is not in their nature as they want more bids. Worst case they fall back to the 2nd bidder. So don't play their game, make your own rules and stick to them.

judging by the amount thats gone from sale agreed back to for sale on PN

I'd say youre well on the ball there

even after a couple of months the bank valuers are probably going under the offer price

and denying mortgages

that and buyers pulling out as they get a sense of 'hey we can get better value than this'

they may have spent a bit on fees / survey etc but it might seem like a small sacrifice against a few months price drops

I can't imagine that there are many 'chains' left

most vendors will have no interest in 'subject to sale' offers now

I haven't talked to an EA for a while now and it might be a couple of months before I do

(if something extraordinary comes up for a viewing) but I expect their attitude to cash buyers to have improved

I don't expect any condecending smugness or rudeness to offers I make which will be 30-40% under asking

...but we'll see

(21% less than DCV, 38% less than asking price)

good luck with that

do you know the % under peak price youre offering

I assume DCV is rateable value, haven't seen it put like this before

Edited by mr slump

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judging by the amount thats gone from sale agreed back to for sale on PN

I'd say youre well on the ball there

even after a couple of months the bank valuers are probably going under the offer price

and denying mortgages

that and buyers pulling out as they get a sense of 'hey we can get better value than this'

they may have spent a bit on fees / survey etc but it might seem like a small sacrifice against a few months price drops

I can't imagine that there are many 'chains' left

most vendors will have no interest in 'subject to sale' offers now

I haven't talked to an EA for a while now and it might be a couple of months before I do

(if something extraordinary comes up for a viewing) but I expect their attitude to cash buyers to have improved

I don't expect any condecending smugness or rudeness to offers I make which will be 30-40% under asking

...but we'll see

good luck with that

do you know the % under peak price youre offering

I assume DCV is rateable value, haven't seen it put like this before

My thoughts exactly with all the properties going back on the market. Helps soften up the vendors to lower bids from cash buyers too.

Hadn't thought about "subject to sale", but yes, I agree that these offers are close to meaningless in the current buyer short market.

DCV is Domestic Capital Value. I picked it up instead of RV as I mentioned it in the written offer, so wanted to get the exact term.

No idea how far under the peak I am offering. The house has only been on the market for a few months. I has been reduced once already, so the offer is 45% under the initial price.

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No idea how far under the peak I am offering. The house has only been on the market for a few months. I has been reduced once already, so the offer is 45% under the initial price.

cool

its probably more of a percentage under peak then

would be good to know the details but obviously keep that to yourself :ph34r:

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cool

its probably more of a percentage under peak then

would be good to know the details but obviously keep that to yourself :ph34r:

Mum's the word. :ph34r:

I'm happy to share the specifics as I'm used to England, where sold prices are all available online for free. However, as you'll understand, I'll wait for it to be accepted and complete first! B)

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I don't either if it's done in a reasonable manner, however the post I replied to seemed a bit take it or leave it I don't care if I get the house.

I have a back ground in sales (real sales not the easy sit on your ass and wait for a bid kind) I have found over the years when people talk about "this is my offer and thats it take it or leave it" you generally find they will pull out of the deal at the drop of a hat. I would never sell to one of these people. I certainly wouldn't mark the property sale agreed until a contract had been signed.

I sold my home in 2001 believe it or not I took £500.00 less than an offer I had from an arrogant ***** with cash. At the time I told the EA to let him think I was considering his offer while in the meantime I had sale agreed to the other party.

maybe you have not noticed ss but in the land of the credit crunched

the @sshole with cash is king!

rock on!

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  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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