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At what level should I make an Offer?

16 October 2017

As a buyer you are in a powerful position, both in terms of the effect your buying decision will have on your own life, and on that of the person from whom you buy.

If a property were some form of commodity like petrol or milk, then you would simply buy the cheapest stock available. However, buying a home is much less mercenary, and emotions run high.

Up until a few years ago, homebuyers have become used to the idea of making a “starting offer” below the asking price and quite naturally market activity levels will often dictate whether lower offers will be successful or not. But it might be worth considering a few aspects of the implications of making a low offer.

Firstly, what does a low offer say about you to the vendor? That you don’t have the money and that any subsequent increase might stretch you beyond your ability to complete the purchase? Does it suggest that you don’t really like their home, risking offence? Does it suggest that you are just testing your luck? A low offer can often start the whole buyer/vendor relationship off on the wrong foot.

And what if your low offer is accepted? Will the vendors experience regret and continue to market the property hoping to find a higher price with someone else? The chances of such a buyer being found are often quite high as people usually want a property that someone else wants. In fact, we receive similar levels of interest and enquiries about properties which are already “under offer” as those that are For Sale!

Ultimately, it’s about commitment. An offer at, or close to, a realistic asking price tells the vendor that you are committed to the property. In return, the vendor is likely to demonstrate a level of commitment to you that will result in a successful purchase.

You’re buying a home, so is it worth losing your dream property for the sake of getting (and possibly losing) some sort of “deal”? Most properties sell for about the “right” price – all you have to be is the “right” buyer!

Dean Caldon

Managing Director

Grace & Rose Estate Agents

If you are looking to move home in the near future, or need any advice with regard to selling your property, please don’t hesitate to call 01277 623010 or email me direct on dean@graceandrose.co.uk or click to see our latest Testimonials and more advice in our Blogs

2020-04-24T16:06:07+01:00