Sellers will often sell for less to a buyer who can proceed quickly with a lower risk of pulling out, so:
- Make your buying position as secure as possible by climbing as far up this list as you can:
- 1. Cash buyer
- 2. First-time buyer with a mortgage in principle
- 3. Chain buyer who is under offer
- 4. Chain buyer who is listed but not under offer
- 5. Chain buyer who is not listed or a first-time buyer without a mortgage in principle
- Show you're serious and ready to proceed by being prepared to share your mortgage in principle, your solicitor's details and a screenshot showing proof of funds.
Determine what you think is a fair value for the property
- Use a Nested Buying Report to understand when the property was first listed and what has happened to it since. A correctly priced property typically goes under offer within 4-8 weeks so if it has been longer a lower offer may be appropriate.
- Find examples of similar local properties that have sold recently to benchmark what this one might sell for. Your Buying Agent can find this for you in a Buying Report Plus.
- Ask the agent why they’ve valued it at this price - they might have lots of evidence that it’s valued accurately or might hint that they think it’s priced too high.
What the owner is willing to accept is just as important as what the property is worth, so understand the seller's situation before making your first offer. Ask the agent:
- Why is the owner selling? And have they found their onward property? If so, they may be more likely to accept an offer.
- How many offers have they received? If there are no competing offers you can take more time and start by offering less. If there are some serious offers on the table and you’re under time pressure, use our “High demand property” strategy.
Making a great offer isn't just about the price:
- Make your offer by email (here's the perfect template) so you can't give away anything to the agent over the phone. Include details of your solicitor, proof of funds and/or mortgage in principle, and make it clear that you can proceed quickly.
- If there are few competing offers start by offering a significant discount on the asking price. Buyers often offer 5-10% below asking price with their opening offer.
- It's very unlikely your first offer will be accepted. If so, ask for a counter-offer or an indication of how far away you are, so that you know whether it's worth proceeding with negotiations or not.
- Know your max offer. Make your second offer higher by 1/4 of the difference between your first offer and your max offer. Add another 1/8 for your third offer. If required, add 1/8 or 1/16 for subsequent offers. If possible, each time they reject, say that you need to go away and think about if you want to make another bid or not. Take 48+ hours between each offer and be clear that each offer is the most you can afford and your final offer. Do not exceed your max offer!
Your Nested Buying Agent can save you tens of thousands
If you’re selling with Nested, you’ll have a professional Buying Agent by your side. They can value the property, put together a bespoke negotiation strategy and can even negotiate for you, often saving you tens of thousands! Find out more.