How much to offer? Will I be cheeky?

TheCityManager

Im looking at a house that is to be my 'final resting place'...ie Im gonna settle here for good

Two years for sale, started out at 600k, now 350k, two months at lower price..no viewers exceot me..

Near city, near services, 4 bed with garage, area seems good..will need about 50k to bring to modern standard to my liking...

I'm thinking of offering 275k...would that be too cheeky?

Theboinkmaster

TheCityManager wrote: »

Im looking at a house that is to be my 'final resting place'...ie Im gonna settle here for good

Two years for sale, started out at 600k, now 350k, two months at lower price..no viewers exceot me..

Near city, near services, 4 bed with garage, area seems good..will need about 50k to bring to modern standard to my liking...

I'm thinking of offering 275k...would that be too cheeky?

I wouldn't give a flying fucck about being "cheekly". Decide what it's real value is and offer that. €275k could still actually be too high. Also what it was asking 2 years ago at €600k is entirely irrelevant. Also what the asking price has dropped by is too.

Discern it's annual rental from daft (approx) - say it's €1,500 per month:

annual rent €18,000

x14

€252,000

so assuming that is the current rent for that market I'd offer €200k. And I would hope i'd be on at least €60-70k pa to afford this mortgage so correct salary mutiples would apply.

EA could scoff at an offer of €200k but don't let that bother you - we'll see whose laughing in 3 years when the asking price for the same property is €250k.

Best of luck!

ps IMO property has a huge amount still to fall - the 14 mutiplier has proven to be a good rough guide as to the REAL value (ie operating in a normal economy) and has been calculated from worldwide value trends over the past 100 years.

Think to yourself - if the asking price has dropped €250k in the past 2 years what's to stop it from dropping another €150k over the next 2? Absolutely nothing.

TheCityManager

Theboinkmaster wrote: »

I wouldn't give a flying fucck about being "cheekly". Decide what it's real value is and offer that. €275k could still actually be too high. Also what it was asking 2 years ago at €600k is entirely irrelevant. Also what the asking price has dropped by is too.

Discern it's annual rental from daft (approx) - say it's €1,500 per month:

annual rent €18,000

x14

€252,000

so assuming that is the current rent for that market I'd offer €200k. And I would hope i'd be on at least €60-70k pa to afford this mortgage so correct salary mutiples would apply.

EA could scoff at an offer of €200k but don't let that bother you - we'll see whose laughing in 3 years when the asking price for the same property is €250k.

Best of luck!

ps IMO property has a huge amount still to fall - the 14 mutiplier has proven to be a good rough guide as to the REAL value (ie operating in a normal economy) and has been calculated from worldwide value trends over the past 100 years.

Think to yourself - if the asking price has dropped €250k in the past 2 years what's to stop it from dropping another €150k over the next 2? Absolutely nothing.

I agree with your thinking...I've been a long time observer of the property market and have bought and sold a few over the years..
I sold my last in Oct 2006..just before crash and have been waiting ever since...Im a cash buyer ..no mortgage required ..

I actually value property at about 220k (this is MY OWN valuation of what its actually worth..) maybe I will just offer that :-)

Theboinkmaster

TheCityManager wrote: »

I agree with your thinking...I've been a long time observer of the property market and have bought and sold a few over the years..
I sold my last in Oct 2006..just before crash and have been waiting ever since...Im a cash buyer ..no mortgage required ..

I actually value property at about 220k (this is MY OWN valuation of what its actually worth..) maybe I will just offer that :-)

Sound about right - I assume your accounting for having to put €50k into it.

It's that's your valuation then make the offer and sit back and wait. If refused just wait it out. Especially given you're a cash buyer - imagine if you paid €300k now and if dropped €100k in 2 years, ouch!

Best of luck with it - i imagine the EA will act all shocked and apalled at your offer and give you the usualy spin. Just ignore him and wait it out.

Tracy Jacks

Is the house in Fairview by any chance?

TheCityManager

Tracy Jacks wrote: »

Is the house in Fairview by any chance?

Yes !!!

Tracy Jacks

Haha that's gas I knew the house you were talking about by the description. I went to view it a few weeks ago. I would definitely make a low offer, it's been for sale for 2 years at this stage. It's a grand house, I just wasn't sold on the location and I wondered if there would be a problem with flooding from Richmond Road.

TheCityManager

Tracy Jacks wrote: »

Haha that's gas I knew the house you were talking about by the description. I went to view it a few weeks ago. I would definitely make a low offer, it's been for sale for 2 years at this stage. It's a grand house, I just wasn't sold on the location and I wondered if there would be a problem with flooding from Richmond Road.

Hiya ..EA said there had been no viewers ...

Im not 100% mad on location..a friend of mine mentioned the flooding possibility today so Im gonna check that out tomorrow with the council..

What turned you off??? if I may ask ?

ricman

Its a buyers market ,any realistic price is ok,get a solicitor .Make the offer after enquiring re risk of flooding.
see here http://homepage.eircom.net/~pdb/FRA/TrafCalm.html
says fairview ,melville avenue, fairview strand junction Floods
flooding joes shop to the jeweller.
ALL the experts ay property has ten/20 per cent drop ahead.
More new schemes will be put on market at cost price, ie 130k 1bed apartments.
people buy homes to live in ,near shops, services, near city centre .You just cannot rental calculation to every home.
i know someone moved out of area x, there was just too much petty crime, they didnt feel comfortable there.

mathie

A house is only worth what the highest bidder is willing to pay

Think of the three D's.
Debt, Death, Divorce.
They will ensure that a house has to be sold.
And if there's only one offer on the table then you're laughing.

Do you know why they're selling OP?

TheCityManager

mathie wrote: »

A house is only worth what the highest bidder is willing to pay

Think of the three D's.
Debt, Death, Divorce.
They will ensure that a house has to be sold.
And if there's only one offer on the table then you're laughing.

Do you know why they're selling OP?

Been for sale for over two years so hard to figure out ..........

hobochris

I've herd in a few places that the first offer should always be almost insulting to the seller.

if they are looking for 300k offer them 180k ...

Zamboni

If its requires substantial work for modernisation I'd hazard a wild guess at an executor sale. Gift.
The family members will more than likely be looking for cold hard cash.
Go in really low. Stick an expiry on your offer too.

TheCityManager

Zamboni wrote: »

If its requires substantial work for modernisation I'd hazard a wild guess at an executor sale. Gift.
The family members will more than likely be looking for cold hard cash.
Go in really low. Stick an expiry on your offer too.

TBH I'm concerned about two matters at the mo..

1. Risk of flooding...checking this out with council..
2. half built apartment development almost across road and almost completed apartment directly behind.........need to ascertain what plans are for these sites?


Then I can offer

I do like the house though ....

Zamboni

TheCityManager wrote: »

TBH I'm concerned about two matters at the mo..

1. Risk of flooding...checking this out with council..
2. half built apartment development almost across road and almost completed apartment directly behind.........need to ascertain what plans are for these sites?


Then I can offer

I do like the house though ....

There has not been flooding in that area since Bertie got the structural changes put in along the wall on the Tolka several years ago. You're probably safe enough.

Theboinkmaster

Zamboni wrote: »

If its requires substantial work for modernisation I'd hazard a wild guess at an executor sale. Gift.
The family members will more than likely be looking for cold hard cash.
Go in really low. Stick an expiry on your offer too.

That's a good idea IMO - tell them you're offer is €220k today and drops by €10k per week...and stick to it

Tracy Jacks

It's an executor sale. As far as I could make it the family put it up for sale 2 years ago and obviously were not been happy with the offers and then rented it and have now put it back up for sale.

The apartment block behind the house didn't bother me because it seemed that the garden wasn'y actually overlooked by the apartments. The half finished apartment block outside was more of a concern as it seemed you could have an eye sore for the foreseeable future and then the inconvenience of a building site when the market eventually picks up. My concern was to do with safety - didn't like the barbed wire over the wall of the back garden and the flooding from Richmond Road.

Otherwise, it seems like a great house - a 4 bed semi D with a garden and garage so close to town. Best of luck with it if you do offer!

TheCityManager

Tracy Jacks wrote: »

It's an executor sale. As far as I could make it the family put it up for sale 2 years ago and obviously were not been happy with the offers and then rented it and have now put it back up for sale.

The apartment block behind the house didn't bother me because it seemed that the garden wasn'y actually overlooked by the apartments. The half finished apartment block outside was more of a concern as it seemed you could have an eye sore for the foreseeable future and then the inconvenience of a building site when the market eventually picks up. My concern was to do with safety - didn't like the barbed wire over the wall of the back garden and the flooding from Richmond Road.

Otherwise, it seems like a great house - a 4 bed semi D with a garden and garage so close to town. Best of luck with it if you do offer!

ta for that !

Yeah security is an issue..we have 16 and 22 year old girls so need to consider their safety..

Barbed wire is a weird one !!

D3PO

TheCityManager wrote: »

I agree with your thinking...I've been a long time observer of the property market and have bought and sold a few over the years..
I sold my last in Oct 2006..just before crash and have been waiting ever since...Im a cash buyer ..no mortgage required ..

I actually value property at about 220k (this is MY OWN valuation of what its actually worth..) maybe I will just offer that :-)

Hmm very interesting. So in the past 4 months you have bought and then resold a property according to your posting in the asking versus offers thread.

If your going to come on a webforum and lie dont forget to cover your tracks :rolleyes::rolleyes: