Help! What to offer for house?

collymc23

I am going to view a 5 bed house soon.The asking price is 170,000.It is a very decent price 1 house in the same estate was sold for 200,000 last year.
Now i know i offer less but what do people think would be a good offer that could secure the house please be realistic...thanks

syklops

How much money have you got?

Duckjob

Without knowing anything about the house (other than it's a 5 bed), it's impossible to gauge what a reasonable offer might be. Can you post a link?

collymc23

money isnt an issue...and i dont want to post a link..it is worth 170,000 or very close to that, have been looking the last 3 years in my home town so have a fairly good idea of prices and market trends.have done a history price check and it was sold for 240,000 3 years ago. But my problem is i dont want to offer something silly if they are asking for 170,000

juan.kerr

105k

indiewindy

at least 10% below current asking prices would be a good rule of thumb, over course the lower the better for you mortgagewise:), take a look at what our friends over on www.thepropertypin.com are saying about the market

Senna

collymc23 wrote: »

..it is worth 170,000 or very close to that

If its worth the asking price why hasn't it already sold, EA's and vendors know what ever price this list it at they will be getting offers around 20-10% lower. Also it was sold 3 years ago for 240k, was that the asking price or do you know for a fact that was the selling price?
Without even know the area its impossible for anyone to give advice, but a quick look at daft.ie show that not one house for sale in my area is worth the asking price.

collymc23

Senna wrote: »

If its worth the asking price why hasn't it already sold, EA's and vendors know what ever price this list it at they will be getting offers around 20-10% lower. Also it was sold 3 years ago for 240k, was that the asking price or do you know for a fact that was the selling price?
Without even know the area its impossible for anyone to give advice, but a quick look at daft.ie show that not one house for sale in my area is worth the asking price.

Its new to the market only up since before xmas..240k was selling price from EA but to be honest who can believe them at this moment in time..will be viewing it soon so will report back and post the link then.

Senna

collymc23 wrote: »

Its new to the market only up since before xmas..240k was selling price from EA but to be honest who can believe them at this moment in time..will be viewing it soon so will report back and post the link then.

well 240k is a load of bollox. He probably worked out 30% drop over 3 years and just pulled the figure 240k out based on the 170k its currently priced at.

If this exact house was bought by the current owner 3 years ago, it may mean they are in difficulty with the mortgage and are forced to sell. This can be bad for you as a they may not be able to sell for less than the capital owing on the mortgage. Of course this is just conjecture.

zulfikarMD

collymc23 wrote: »

money isnt an issue...and i dont want to post a link..it is worth 170,000 or very close to that, have been looking the last 3 years in my home town so have a fairly good idea of prices and market trends.have done a history price check and it was sold for 240,000 3 years ago. But my problem is i dont want to offer something silly if they are asking for 170,000

if this house goes on rent how much yield is expected p.a? lets say, if rent is 750 euro pm for this/same house in that locality then annual yield is 9000 euros. This implies property which can yield 7% return p.a (approx 9000 euro rent) should be priced around 130k.

(1,30,000 * 7) / 100 = 9100.

Forget about Asking price for now i think.

zac8

collymc23 wrote: »

have done a history price check and it was sold for 240,000 3 years ago

If you mean you checked the price history on one of the price watch websites then you only know it was asking 240k 3 years ago, not what it sold for. If that's the case then it could have sold for well under 200k back then. But it's all a bit pointless speculating without a link.

whippet

collymc23 wrote: »

I am going to view a 5 bed house soon.The asking price is 170,000.It is a very decent price 1 house in the same estate was sold for 200,000 last year.
Now i know i offer less but what do people think would be a good offer that could secure the house please be realistic...thanks

collymc23 .. so going by the information you have given us i'd say offer:

€170,000.

What I am basing that one is:


Positives
+ nice good sized garden
+ fairly new interior
+ good sized kitchen

but on the negative

- Area / locality wouldn't be the greatest
- BER cert isn't that great
- small bedrooms
- 5th bedroom isn't really a bed room .. too small
- no utility room
- no garage.


..... actually .. what I really mean to say ... how long is a piece of string? you have given us nothing whatsoever to offer advice on.

Asking prices present or historical are meaningless .. actual sales prices are what matter along with a multitude of other things.

Based on the information you have provided nobody here can remotely give you any worthwhile valuation.

Ritchi

If you really want the house, offer what you think it's worth, assuming you can afford that. You could run the risk of not getting the house otherwise. If you're not that bothered about it, offer 20-30% less and see what they say.

the_syco

Offer €170,000, and see how you get on, but if you look like you're in love with the house, be prepared for phantom bidders....

Diddler1977

the_syco wrote: »

Offer €170,000, and see how you get on, but if you look like you're in love with the house, be prepared for phantom bidders....

Why would you offer the asking price in a buyer's market?

Don't offer anything over 120,000 at first. You can always increase your offer.

Always leave yourself some negotiating room.

the_syco

Diddler1977 wrote: »

Why would you offer the asking price in a buyer's market?

Did I say phantom bidders? I meant LOTS of phantom bidders. Personally, I'd low-ball the seller, but the buyer seems intent on offering too much money for the house I'm thinking they have family close by, and will pretty much offer anything the EA asks for, which is the worst mindset to buy a house in!