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House Buying Satrategy Question In The Current Climate

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Mods- if it's in the wrong section can you leave it for 24h to get some exposure and replies please?

A mate and young family have put in 3 offers on an overpriced house and have come up to 90% of asking.

It's in an area which historically hasn't done much in recessions or exploded in value in booms (comparatively) so it's more stable than your average city centre ghetto.

The offers were rejected with the sellers wanting to sit it out and see if they get a higher price.

What would the HPC massive recommend as a course of action with the focus on getting this house as a long-term family place.

All I can think of is getting some mates to go view and lowball offer to make their offer look good.

Cheers,

Joe

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Mods- if it's in the wrong section can you leave it for 24h to get some exposure and replies please?

A mate and young family have put in 3 offers on an overpriced house and have come up to 90% of asking.

It's in an area which historically hasn't done much in recessions or exploded in value in booms (comparatively) so it's more stable than your average city centre ghetto.

The offers were rejected with the sellers wanting to sit it out and see if they get a higher price.

What would the HPC massive recommend as a course of action with the focus on getting this house as a long-term family place.

All I can think of is getting some mates to go view and lowball offer to make their offer look good.

Cheers,

Joe

With ZIRP the vendor can potentially wait for ever until he finds an willing s*cker.

Find another house or agree to overpay.

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Withdraw the offer. Send a thank you card to vendor saying thanks for saving them a fortune by not letting them overpay for his house.

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Withdraw the offer. Send a thank you card to vendor saying thanks for saving them a fortune by not letting them overpay for his house.

:D snag is they do actually want to buy it and wouldn't overstretch themselves at all from what I can gather.

What the sellers did was base their valuation on what the highest most recent price was for that type of house in the town, and that was maybe 1.5miles away over the other side of town as well.

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Mods- if it's in the wrong section can you leave it for 24h to get some exposure and replies please?

A mate and young family have put in 3 offers on an overpriced house and have come up to 90% of asking.

It's in an area which historically hasn't done much in recessions or exploded in value in booms (comparatively) so it's more stable than your average city centre ghetto.

The offers were rejected with the sellers wanting to sit it out and see if they get a higher price.

What would the HPC massive recommend as a course of action with the focus on getting this house as a long-term family place.

All I can think of is getting some mates to go view and lowball offer to make their offer look good.

Cheers,

Joe

Keep upping the offers until they accept.

If you snooze you lose.

Edited by barry

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Mods- if it's in the wrong section can you leave it for 24h to get some exposure and replies please?

A mate and young family have put in 3 offers on an overpriced house and have come up to 90% of asking.

It's in an area which historically hasn't done much in recessions or exploded in value in booms (comparatively) so it's more stable than your average city centre ghetto.

The offers were rejected with the sellers wanting to sit it out and see if they get a higher price.

What would the HPC massive recommend as a course of action with the focus on getting this house as a long-term family place.

All I can think of is getting some mates to go view and lowball offer to make their offer look good.

Cheers,

Joe

Is there a particular reason they have to move right now (other than 'wanting to?')?

If it's instant gratification they are after then they should go ahead, and feel crap about it later when prices have dropped 5% or more before they even complete.

Any more info? House type/area/price? It's a cheap house in a cheap area any losses may be pretty low so they might as well say baaaaa and join the queue for the shearing shed.

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Wouldn't bother getting mates to put in low offers-seller will just see that as interest and will make them more confident if anything. Boils down to whether your mate needs to buy more than they need to sell but if they must have THAT house and the vendor doesn't need to sell, then they'll pay even more over the odds than they would do by buying now anyway.

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It's in Epping in Essex and is on for just over 400k. It's a 3 bed place. It's a lot for what it is, but it is bang in bling-bling new money Essex. Not sure of the sellers need to sell but they don't need to buy right now at all.

So a war of attrition then? Maybe asking the EA every week and dangling the commission carrot in front of them would help the EA to get motivated and get them to accept their offer?

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Get Phil and Krusty on the case and give us a laugh.

Seriously. I would advise your mate to wait now and do this. When I bought my first house in 1996 the seller was holding out for more and I told him my offer and then every saturday for 6 months I popped in the EAs office and said offer still stands. Eventually the seller went to the house he wanted to buy and told them that they had to reduce and so on. I later learnt that the sellers wife was giving him a lot of grief because she could not move to her new house and we got a deal all along the chain.

Took six months but I got the price.

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What would the HPC massive recommend as a course of action with the focus on getting this house as a long-term family place.

Lucky seller to have a buyer like them. Seller has them by the balls.

If you (or your friends/family) are happy to acknowledge that then the points I have to make have already been posted. Find another place, offer more money, walk away.

Maybe the buyers hinted too much that really realy really must have this house. Seller sniffs a sucker and its time to milkey milkey.

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Mods- if it's in the wrong section can you leave it for 24h to get some exposure and replies please?

A mate and young family have put in 3 offers on an overpriced house and have come up to 90% of asking.

It's in an area which historically hasn't done much in recessions or exploded in value in booms (comparatively) so it's more stable than your average city centre ghetto.

The offers were rejected with the sellers wanting to sit it out and see if they get a higher price.

What would the HPC massive recommend as a course of action with the focus on getting this house as a long-term family place.

All I can think of is getting some mates to go view and lowball offer to make their offer look good.

Cheers,

Joe

I'm in a very similar situation. The house i'm looking at has been on the market since March. I put in a reasonable offer (15% below asking) and was outbid by some plum. 3 months later, the plum pulls out because of "problems with mortgage financing". I did the honourable thing and submitted a new offer (slightly higher - this ime only 10% below asking). Got outbid again by another plum. Few weeks later 2nd plum pulls out because of "mortgage problems". I reminded the EA that my offer still stands and politely reassured her that I have an AIP in place and that we won't have any trouble with finance.

The EA spent a considerable time trying to convince the vendor that my offer was reasonable, and that they should take it (I actually felt sorry for the EA at one point!). But vendor's wife wants to hold out for full asking price.

Some people are just greedy..............

Saw the asking reduced by 5% on Rightmove today ..... might have to give the EA another ring.

If I was you, get an AIP in place, and make yourself look as attractive a buyer as possible. Keep reminding the EA of that. Then wait.

If noone else shows interest, sooner or later they are gonna snap - especially if the negative sentiment keeps up in the media.

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I'm in a very similar situation. The house i'm looking at has been on the market since March. I put in a reasonable offer (15% below asking) and was outbid by some plum. 3 months later, the plum pulls out because of "problems with mortgage financing". I did the honourable thing and submitted a new offer (slightly higher - this ime only 10% below asking). Got outbid again by another plum. Few weeks later 2nd plum pulls out because of "mortgage problems". I reminded the EA that my offer still stands and politely reassured her that I have an AIP in place and that we won't have any trouble with finance.

The EA spent a considerable time trying to convince the vendor that my offer was reasonable, and that they should take it (I actually felt sorry for the EA at one point!). But vendor's wife wants to hold out for full asking price.

Some people are just greedy..............

Saw the asking reduced by 5% on Rightmove today ..... might have to give the EA another ring.

If I was you, get an AIP in place, and make yourself look as attractive a buyer as possible. Keep reminding the EA of that. Then wait.

If noone else shows interest, sooner or later they are gonna snap - especially if the negative sentiment keeps up in the media.

They have the AIP so I guess that's the thing. Lean on the EA and dangle the carrot.

They're almost guaranteed to be greedy sellers as that's sadly what people are like in this part of the world.

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It's in Epping in Essex and is on for just over 400k. It's a 3 bed place. It's a lot for what it is, but it is bang in bling-bling new money Essex. Not sure of the sellers need to sell but they don't need to buy right now at all.

So a war of attrition then? Maybe asking the EA every week and dangling the commission carrot in front of them would help the EA to get motivated and get them to accept their offer?

£400k for 3 beds? In Essex?

Give them a slap around the head. It's not friendly house price advice they need it's a shrink.

A 10% fall (very likely, very soon) is £40k. How long does it take to save that amount (let alone pay it off with interest?)

Why on earth do they want to buy NOW? Do they have the requisite £80k cash deposit burning a hole in their bank account?

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£400k for 3 beds? In Essex?

Give them a slap around the head. It's not friendly house price advice they need it's a shrink.

A 10% fall (very likely, very soon) is £40k. How long does it take to save that amount (let alone pay it off with interest?)

Why on earth do they want to buy NOW? Do they have the requisite £80k cash deposit burning a hole in their bank account?

Epping is pricey - however I've seen nice detached houses in Epping/Epping Green for sale at 300K.....back in the good old days - 2008. They will come again - its just playing a waiting game.

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They're almost guaranteed to be greedy sellers as that's sadly what people are like in this part of the world.

Not being funny Joe, but their strategy has already hit the skids.

First rule of getting a good value house.. don't fall in love with it!! If the EA can see they are keen, are funded and by the sound of it desperate, why should he recommend that the seller drop his price?

The only thing I can think of is ask the EA if you can view some other properties.. tell him you are not that impressed but are looking the next day at some with another agent, a shame because you really liked the first house but it is just ever so slightly higher than you can afford.. too bad the owner couldn't meet you half way...

He might just think sh1t, I'm about to lose a sale.. speak to the owner and put pressure on them to lower their price by 10%... after all it is a tough market and they might not get another offer as good as this one for quite some time......

It may back fire and some one else will offer full price. Or they might get the 10%. Or they might not.

Best of luck :)

Edited by libspero

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Is it their own or a lenders 'money' are they making the offer with?

If the latter then a lenders valuation could well render the offer pointless.

It is a sordid game, all of it.

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  • 149 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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