Overpriced - Low ball offer or just avoid?

qrx

Is it a good idea to avoid over priced property or is it perfectly acceptable to make an offer of what I feel it is worth. This would be an educated estimate based on properties in the same area and the price the house had previously been listed.

I reckon the property is worth €60K less than the asking price. It's a big difference and an offer 60K under the asking is likely to insult. But then again I personally find the asking price a bit greedy so I'm thinking, go view it and give them my offer and the reasons why with a like it or lump it attitude.

I'm not getting attached to any properties I'm looking at so I'm quite happy to walk away.

The other half thinks it's just over priced and also out of our budget so we should just avoid it.

Ian_80

Lets be honest....it depends how eager they are too sell...and with the way things look like they are going, if they can hold off selling, they wont lose out financially. Obv. depending where it is, kind of property etc.

I was selling a property recently enough, wasn't in any rush and it allowed me to play hard ball.......

sober_joe

qrx wrote: »

Is it a good idea to avoid over priced property or is it perfectly acceptable to make an offer of what I feel it is worth. This would be an educated estimate based on properties in the same area and the price the house had previously been listed.

I reckon the property is worth €60K less than the asking price. It's a big difference and an offer 60K under the asking is likely to insult. But then again I personally find the asking price a bit greedy so I'm thinking, go view it and give them my offer and the reasons why with a like it or lump it attitude.

I'm not getting attached to any properties I'm looking at so I'm quite happy to walk away.

The other half thinks it's just over priced and also out of our budget so we should just avoid it.

depends on the market in the area you are looking , unless the property is over a half a million euro in dublin , an offer 60 k below is too much as that market is hot

Schrodingercat

It costs you nothing to bid, make your bid, and leave it there. It may be refused but it will anchor the sellers and they may get a bit more realistic. If they don't get another bid for a few months they may start thinking about your bid, and if you are still looking they may come back to you.

When I was looking at houses I used to ignore the asking price. I looked at one house and offered 150k beneath asking, there was only 1 other person at the viewing. The estate agent looked at me like I had 10 heads, but they dropped the asking by 120,000 a few days later and the following week they had 20 or 30 people viewing. (The house eventually went for something in between the 2 valuations).


It takes a lot to insult an estate agent. Don't even worry about that.

sober_joe

Schrodingercat wrote: »

It costs you nothing to bid, make your bid, and leave it there. It may be refused but it will anchor the sellers and they may get a bit more realistic. If they don't get another bid for a few months they may start thinking about your bid, and if you are still looking they may come back to you.

When I was looking at houses I used to ignore the asking price. I looked at one house and offered 150k beneath asking, there was only 1 other person at the viewing. The estate agent looked at me like I had 10 heads, but they dropped the asking by 120,000 a few days later and the following week they had 20 or 30 people viewing. (The house eventually went for something in between the 2 valuations).


It takes a lot to insult an estate agent. Don't even worry about that.

when was that ?

2011 , unless the house is for sale around dublin 4 and the asking price is over a million , i doubt a 120 k below asking price is taken very seriously

Schrodingercat

2012, just as the market was turning. It was a ridiculous asking price. My bid was refused, but they had no other interest. It got the vendors to be a bit more realistic, and they dropped the asking price by 120,000. (I bid 150 below), and then they got a load of interest.

I bid 15,000 above asking on another house (that had a bid of the asking price) because the asking was ridiculously low. I knew it would go a lot higher and didn't want to waste time going up in 2's and 3's. It ended up going 60 above asking.

It meant I was bidding against 2 less people when I bought the house I eventually got.

If the OP offers what they think its worth, and nobody else thinks its worth more after a few months the vendors may start to take it a bit more seriously. Make the offer, nothing to lose, and keep looking for other houses. Who cares if it isn't taken seriously. The estate agent won't mind, at least they have a bid.

Its either a vendor with unrealistic expectations or a vendor who doesnt actually want to sell (they exist!).

Make your realistic offer and give them a few days to think it over and to respond. If they come back with a counter offer, maybe you can talk; if they outright reject you, then move on, it will only be a waste of your time to continue.

qrx

Thanks for all the advice.

We decided to leave it be. But then I got a myHome email alert yesterday...they dropped the price by 70K :eek:

Bon chance.

Not in Dublin obviously.

CruelCoin

qrx wrote: »

I reckon the property is worth €60K less than the asking price. It's a big difference and an offer 60K under the asking is likely to insult. But then again I personally find the asking price a bit greedy so I'm thinking, go view it and give them my offer and the reasons why with a like it or lump it attitude.

Greed has nothing to do with it.

They're simply trying to get the most they can for it, as would anyone else.

If the going rate is say 200k, and you offer 140k because "i think they're greedy", then yeah, you can expect to be told to hop it.

No harm in trying though, miracles happen.