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shakenvac

Making An Offer...

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There's a house that has caught my attention in north london (i'd prefer to keep it keep it vague).

It's being sold by court order. I don't know the full story but i guess it's an inheritance & there's definitely more than one solicitors involved on the vendor side...sounds a bit messy.

Anyway, it's being promoted via an estate agent. Apparently lots of interest (nice area, good local schools etc). The house is a complete crock & looks as of it hasn't had anything spent on it for over 30 years or more!

The EA initially said that it would be going to sealed bids, but I've just had an update & it seems that one set of Solicitors have said "no way". therefore there's a possibility of it going to the usual highest offer via the EA.

It's on the estate agent's books circa £370k (don't laugh).

So then, what to offer?

Well obviously I've dived on nethouseprices for this street. There's not been a whole lot of sales there in this street as of late. The last one sold there was last summer & it went for £420k (I can't say exactly if this has been extended or not). Other houses going back in time (to 2001) seem to be in the £375k-£420k region.

If we are to believe that prices have fallen a little in North London, then similar houses will probably now go for £400k? I'm figuring that it'll take £60k to put this hovel rightright...therefore that should take the ballpark offer down to £340k.

But I want to build in a little bit of headroom as the market starts to fall, therefore I'm thinking oif offering £320k.

Any obvious flaws in my thinking?

I should say that this will be a cash purchase (no I'm not rich...that's my whole *life* savings...earned through a bit of graft/luck & over a long, LONG time!)...we have no place to sell (presently renting). Therefore there'll be no pesky banks/building societies hindering the sale.

In short we're perfect buyers. Should I be offering less because our "solid" credentials? For example offer £310k?

Will i be laughed out of town? I genuinely believe there is a lot of interest in the house...but I don't want to get caught up in a feeding frenzy.

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Will i be laughed out of town? I genuinely believe there is a lot of interest in the house...but I don't want to get caught up in a feeding frenzy.

I'd say offer what you're confortable with and don't get involved with sheeple getting carried away trying to outbid each other because they've 'fallen in love' with the hovel. There are many more (fish/houses/women) in the sea.

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Yeah, I think you should go in crica £300k - be slow with the purchase, and by the time you'll exchange it will be 2 months away. By that time you'll know where the market is going...

(although i'm not encouraging gazundering here)

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Even with those figures its 19% off. Why don't you go in with a penny less than 250k to reduce stamp duty! You have to start somewhere...

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It doesn't really matter if you're laughed at does it? I'd go with what you feel it is worth. You may well get outbid, but so what - if you put in your best price and someone pays more then good luck to them. I would also justify my bid - sold prices and market data that backs up your price.

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It doesn't really matter if you're laughed at does it? I'd go with what you feel it is worth. You may well get outbid, but so what - if you put in your best price and someone pays more then good luck to them. I would also justify my bid - sold prices and market data that backs up your price.

Well as its not sealed bids you can have as many attempts as you want. Start with a bid of £249,999 and increase it from there. You never know they may accept it (or hint what would be acceptable).

Of course you should sell your offer as much as possible, Cash can complete in x weeks....

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My belief is that I'll not have the luxury of being the sole person offering here.

Like I said this house is in prime school catchment areas, near parks, shops...ticks all the right boxes. I'd imagine there'll be a lot of interest (how come it's the "total wrecks" that attract more interest than already renovated? Thanks Sarah B!)

Annyway, I'll not be part of any bidding war. I'll probably not be offering the most...but hell, I can sew this deal up *extremely* quickly if that's what they're after!!!

Thanks for all the advice.

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  • 301 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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