Jump to content
House Price Crash Forum
Sign in to follow this  
pajd

Just Out Of Interest

Recommended Posts

Say a house was priced at £140,000. On the market for two months. Reduced by £10,000 last month. Couple interested are FTB. What should their offer be?

Share this post


Link to post
Share on other sites

Say a house was priced at £140,000. On the market for two months. Reduced by £10,000 last month. Couple interested are FTB. What should their offer be?

If its a goody?

Less 20% ;);)

Share this post


Link to post
Share on other sites

I dont think you can really generalise how much below an asking price that you should offer. To me, it depends on a few factors including how much you can comfortably afford, how much you want it, rateable value, prices of similar houses at peak (if known) etc etc.

If it helps any, here is the link to the rateable valuation -

My link

Bearing in mind, there are many houses for sale at the moment at or below their RV.

Share this post


Link to post
Share on other sites

I dont think you can really generalise how much below an asking price that you should offer. To me, it depends on a few factors including how much you can comfortably afford, how much you want it, rateable value, prices of similar houses at peak (if known) etc etc.

If it helps any, here is the link to the rateable valuation -

My link

Bearing in mind, there are many houses for sale at the moment at or below their RV.

Sorry, I don't think "what you can afford" has any bearing on the value of the house. I've got £2000 to spend on a car - can I have an Aston Martin?No.

I'd try them for £100,000.

Share this post


Link to post
Share on other sites

With prices in the west dropping 10% in Q2 alone I think waiting is good advice. 1.2x DCV is a pretty average asking price, but you are not going to get it for 20% below asking price, they need to wait for the price to be lowered again.

Share this post


Link to post
Share on other sites

Sorry, I don't think "what you can afford" has any bearing on the value of the house. I've got £2000 to spend on a car - can I have an Aston Martin?No.

I'd try them for £100,000.

Oh right, what you can afford has no bearing on buying a house and what you can offer then?

The OP asked "what should their offer be"? I said, it depends on a few things including "what you can comfortably afford". Surely this is a very relevant factor and consideration when making an offer??!!

Your analogy of the aston martin is a bit strange too - it kind of backs up the point i was trying to make. :huh:

Share this post


Link to post
Share on other sites

I'd try them for £100,000.

I know nothing about the OPs workmate, so for all i know, he could have zero deposit, minimum wage etc, in which case your suggstion of 100k would be a shade reckless..... hence the affordabilty point.

Share this post


Link to post
Share on other sites

From the one line of information you have given I have deduced the following...

They are very keen to sell, but the house has been price in such away as the asking price is not an out and out bargain.

If it were me I'd start at £100,000 and work my way up to £120,000.

Edited by gilf

Share this post


Link to post
Share on other sites

I know nothing about the OPs workmate, so for all i know, he could have zero deposit, minimum wage etc, in which case your suggstion of 100k would be a shade reckless..... hence the affordabilty point.

Well, he's the one looking at the £140,000 house so he's hardly on minimum wage, etc., in which case that suggestion is far from reckless.

"What you can afford" is what got us into this mess to begin with, since you can "afford" quite a lot if you can borrow eight times your salary. And if you can't afford it, it'll hardly have much bearing on the price. Unless you're the only prospective buyer.

Share this post


Link to post
Share on other sites

Well, he's the one looking at the £140,000 house so he's hardly on minimum wage, etc., in which case that suggestion is far from reckless.

"What you can afford" is what got us into this mess to begin with, since you can "afford" quite a lot if you can borrow eight times your salary. And if you can't afford it, it'll hardly have much bearing on the price. Unless you're the only prospective buyer.

I'm banging my head against a brick wall here. You clearly don't understand what i am trying to say. I'll try and make this as simple as possible. I stated in my first post of this thread that one of the important factors for me when making an offer on a house, is how much i can afford. Not what the bank will lend me, but how much i can afford. Go back and read my original post. In basic terms, have i got enough money in my bank, is my income large enough (in my eyes) to support a mortgage of this size etc etc. Please tell me what is wrong with this?

I really don't understand why you are arguing with me because it seems that we both think the same, but that you are being pedantic and taking my use of the word "afford", the same way as the property bulls have over the last few years.

Share this post


Link to post
Share on other sites

I'm banging my head against a brick wall here. You clearly don't understand what i am trying to say. I'll try and make this as simple as possible. I stated in my first post of this thread that one of the important factors for me when making an offer on a house, is how much i can afford. Not what the bank will lend me, but how much i can afford. Go back and read my original post. In basic terms, have i got enough money in my bank, is my income large enough (in my eyes) to support a mortgage of this size etc etc. Please tell me what is wrong with this?

I really don't understand why you are arguing with me because it seems that we both think the same, but that you are being pedantic and taking my use of the word "afford", the same way as the property bulls have over the last few years.

Aye, well, I'd start at 100.

Share this post


Link to post
Share on other sites

Ha ha! No hard feelings mate. :) After all that, if he can afford it :D i'd probably go around 100k myself.

Round here there are plenty of houses with faded For Sale signs that have been up for years. This intrigues me. Does anyone posting here know any of these people who refuse to accept that 2007 is a long time ago? I'd like to know what the rationale is. Waiting for an upturn? Prepared to hold on for the right price - in a recession? No hurry to sell - so why try?

Any thoughts?

Share this post


Link to post
Share on other sites

Round here there are plenty of houses with faded For Sale signs that have been up for years. This intrigues me. Does anyone posting here know any of these people who refuse to accept that 2007 is a long time ago? I'd like to know what the rationale is. Waiting for an upturn? Prepared to hold on for the right price - in a recession? No hurry to sell - so why try?

Any thoughts?

Denial ;)

Share this post


Link to post
Share on other sites

There are still plenty of people I talk to who are stuck in 2007. We are currently renting while we wait to buy. When I say to people we are in no hurry as prices are still falling, they look at me with that 'yea right' kind of look and say, "Och, I don't know, I think prices are rising again". Also, where I live, the type of house we want to buy - 4 bed detached - are sitting on the market unsold as the sellers are refusing to believe they aren't worth the price they are asking.

Share this post


Link to post
Share on other sites

So was 1690 :lol: :angry:

Yes - but they sold off all was beautiful, when the interest rates went down,

And they put up ugly semi dees in every little town,

When they finished one, they just went out and they built another score,

But it all went wrong when prices dropped

- and the Crash will run some more

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 145 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%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.