I know, having been a lurker here for a long time, that it’s a crazy time to buy, but a house has just come to the market that I wouldn’t like to miss out on. (only a handful of these, and the last one to come to the market was a few years ago) It’s asking price is at least 25% less than the achieved price of the last one to sell, and it seems too good to be true. (a lot of house for the money)
If you feel that the asking price is good value, would you still offer 15 - 20% less? Or would you offer at all? This would be my family home, not just bricks and mortar.
I hear what you’re saying, and hadn’t considered buying this year until this one came up. Problem is I can’t see any more of these up in the next few years and it’s ideal. I reckon if I let it go it’ll go very fast at the current asking price.
That does’nt make it good value or a bargain. It may mean some other sucker has bought into negative equity (or they have bought a good value home)
no easy answer, although it sounds like you like the gaff, so maybe go for it. Buying a house is such large financial outlay that at the end of the day, it becomes an emotionally driven purchase and you go on your gut feeling.
Only (GOOD) investors see a house as a purely mechanical transaction
This is the price range at which “region” really makes a big difference. It’s quite possible that they might end up accepting 100k under, but of course it entirely depends on the vendor, and without the proper provision of price information by EAs we’ll probably never know.
If it really is an unique house, then perhaps it will make or even exceed the asking - I’ve seen this happen on two occasions in the last few months. On the other hand, it might not be as unique as you think. I’ve seen a house go on sale on roads “where houses do not come to the market often” (quoting the agent), only for a few of the neighbours to do the same shortly afterwards - either because they hope to get the same price, or they become worried that now is the time to sell up.
Obviously if you are intent on buying now and are in a position to do so, at least bargain aggressively as others have suggested. It’s possible that the vendor won’t want to drag the sale out over the quiet summer months, particularly if there is a “quiet” autumn to follow. Best of luck with whatever you decide.
If you can afford it.
If you don’t/won’t care if the price drops by 100K or more in the next year.
If you know you won’t need to sell up any time soon.
If you can handle interest rates going up by a percent or two.
Then buy it. Use whatever negotiating strategy you like.
Personally, if I could rent it for less in the current market I would, but everyone has different priorities. I’d encourage anyone to buy if they find the house they want, at a price they can live and have fully thought things through.
Called the EA for another viewing today, and the gaff is SALE AGREED! I viewed it last week, having gone to view another house and was told by the EA that this was coming to the market and would I like a look. Had a look, told him on leaving that I wanted a brochure, and assumed he would be in touch if there was any movement.
Apparently the next day another party viewed, offered over the ask with a 7 day turnaround on contracts, paid a deposit and hey presto, gaff sold!!
I expressed my disappointment at the lack of opportunity to jump in, but the client apparently liked the terms and accepted the offer.
So, dilemma over, thanks for the advice. Seems the crash hasn’t reached some parts!
Unfortunate that this one didn’t work out for you, although you may look back with relief in a few years. If you’re still interested you could tell the EA to contact you if the sale falls through, which happens quite frequently in the current market. Also don’t be surprised if a quick sale prompts a neighbour to put their house on the market.
Amazing thing is wasn’t given a chance to offer! Wouldn’t like that agent to be representing me, all it would have taken was a phone call to discover my interest, and my ability to move equally as fast.
From what I have seen of agents in the same general area, there are plenty of arrogant individuals in the business who still operate as though it was 2006 and are pretty flippant with prospective buyers. I suppose in certain areas the reality is just taking a little longer to sink in.
I agree, he said the client was happy, but he should have called all parties before putting the offer to the vendor. 20 mins of his time perhaps…?
When I sold, that is exactly what my agent did, and achieved well over the ask for me, through a couple of days of phone calls. Sale agreed was achieved in a week from going to market, and not at the height of the bubble.
That’s what I call earning your commission. IMHO EA’s today just want to achieve sales, they don’t care what their commission is.
Sorry, was going to edit it to add something else, but got distracted
You’ll probably hear from the agent during the summer, trying to offer you a property that’s been on the market and nothing remotely like what you’re looking for. I’m afraid that’s the kind of service you come to expect from some agents who have become complacent over the last few years, even after the dramatic change in the market.