Offering Below The Asking Price On A 3-Bed Detached House In London
So…
You’ve found a 3-bed detached house in London that you’re interested in making your next home!
First of all, congratulations…!
When should you offer below the asking price?
Firstly, how long has the 3-bed house been on the market for?
You can usually see this clearly on the online portals…
If a 3-bed detached house has been on the market for 3 months or longer then that suggests that it is simply overpriced in the current market…
Please do remember that the seller can ask whatever they want for their property - it doesn't mean that that is what the property is worth.
A property is only worth what a buyer is willing to pay for it (if it is acceptable to the seller!)…
Secondly, is it a buyer’s market?
What I mean by this is: are there more properties for sale than there are people looking to buy…?
“Please do remember that the seller can ask whatever they want for their property - it doesn't mean that that is what the property is worth.”
If there are 20 of the same kind of property in Harrow-on-the-Hill for sale (say, a 3-bedroom detached house) and there are only 6 buyers in the market for such a property, then it is a market that favours a buyer…
From the point of view of a seller, if their 3-bed house is one of many, then it may run the risk of not selling quickly…
Thirdly, does the detached 3-bed house need renovating?
If it does, work out the rough cost of the work that needs to be done.
As a basic example, if the detached house has 3 bathrooms and a kitchen, you may want to renovate all 3 bathrooms and install a new kitchen.
If this is the case, then take that off the asking price when you make your offer and make it clear why you are offering below the asking price.
If you have fallen in love with it and don’t want anyone else to buy it, it may be worth paying closer to the asking price or indeed at or even over the asking price if it is going to be your forever home…
If it is one of many (of the same kind of property!) then be honest with the estate agent and explain your position.
Take your time, do your research and work out what you think is a fair price for the 3-bed detached property…