Buying a house 2014, need advice. Overpriced??

NeoSD5

My sister thinking in buying a house,

House is 10 years old

4 beds 3 baths 130sq metres, semidetached.
Price 140.000. in small town

The thing is she is buying a house first time, and she doesn't know if the price that offered is not overpriced.

What sort of first offer is deemed reasonable acceptable and not derisory??

House is located close to work, which is big advantage, and its the only house in this village with 130sq meters.

We are dealing with the owner, shes got offered 135k and said wouldn't go less, and then we asked more, after 2 days she said 130k and that is the maximum and wouldnt even think to go less.

Can you give advice, is this good offer?? And she doesn't leave any furniture too. We nearly agreed on with 130k, but now thinking its too much.

What you think lads, can ye give advice, thanks

GavMan

No one can possibly answer this without knowing where the house is and what kind of condition it is in

Maphisto

This is almost impossible to answer without knowing where it is, condition etc, Gavman said, but aside from the market a house is only ever worth what you would be prepared to pay for it. Houses close to work don't come up every day.

The other issue is personal is your sister buying this with a bview to living there for the next 20 or 30 years or will she want to sell and move in 2 or 3? In the first case the market doesn't matter. In the second it is almost everything.

I wish you well.

Mrs OBumble

Also, what's the employment market like, or within reasonable commute of, the small town. If it's got a diverse base of employers and a good number of jobs overall, this bodes well for the longer term value of the area.

NeoSD5

Maphisto wrote: »

This is almost impossible to answer without knowing where it is, condition etc, Gavman said, but aside from the market a house is only ever worth what you would be prepared to pay for it. Houses close to work don't come up every day.

The other issue is personal is your sister buying this with a bview to living there for the next 20 or 30 years or will she want to sell and move in 2 or 3? In the first case the market doesn't matter. In the second it is almost everything.

I wish you well.

Condition is good, Id say she is going to live there for next 10 years and possibly put it on rent. The only reason she is scared risking and ask to go lower then 130k, as the owner maybe refuse and there are no more houses like this and in this condition within this town.

NeoSD5

Mrs OBumble wrote: »

Also, what's the employment market like, or within reasonable commute of, the small town. If it's got a diverse base of employers and a good number of jobs overall, this bodes well for the longer term value of the area.

There are jobs around, 5-15 minutes drive to jobs

Maphisto

NeoSD5 wrote: »

Condition is good, Id say she is going to live there for next 10 years and possibly put it on rent. The only reason she is scared risk and go lower then 130k as thw owner maybe refuse and there are no more houses like this and in this condition within this town.

In her shoes I'd buy it. If I really wanted it I'd pay the 130K. If, if I wanted to play hardball (and these days I don't most often) I'd offer 122K and say that all the bank will lend or, the bank doesn't think it worth more than or whatever. I'd then spend the next few days sick to the stomach waiting for the call. If the seller knocks you back I'd say I'll go back to the bank or Uncle Pat will lend us 6K, but then bear in mind you're diddling around for 2K and you might lose it in the meantime.

I have a feeling I've been no help at all

metroburgers

Does depend on actual town, if you're happy to divulge!

RedPandaDan

NeoSD5 wrote: »

Condition is good, Id say she is going to live there for next 10 years and possibly put it on rent. The only reason she is scared risking and ask to go lower then 130k, as the owner maybe refuse and there are no more houses like this and in this condition within this town.

If he refuses to accept the offer, then you can try a few weeks later at a price closer to the asking price.

There is little risk in placing a cheeky lowball offer to get things started.

Idbatterim

depends on what the comparables (if there are any in the local) also check the PPR... Also depends on the owners circumstances... There are a lot of variables...

Idbatterim

If he refuses to accept the offer, then you can try a few weeks later at a price closer to the asking price.

There is little risk in placing a cheeky lowball offer to get things started.

except it selling the in the mean time OR another person coming along and genuinely driving the price up if a bidding war ensues..

Maphisto

RedPandaDan wrote: »

If he refuses to accept the offer, then you can try a few weeks later at a price closer to the asking price.

There is little risk in placing a cheeky lowball offer to get things started.

You're right there is nothing wrong and lets face it very few people would actually refuse to accept further offers from you just because you low-balled.

But, and this is a big suppose, but supposing the house is actually under-priced. We know its close to work, that there are other employment opportunities nearby and we know that there are no similar properties in the town.

Without seeing or knowing the property we are all finger in the air.

RedPandaDan

Maphisto wrote: »

But, and this is a big suppose, but supposing the house is actually under-priced. We know its close to work, that there are other employment opportunities nearby and we know that there are no similar properties in the town.

Without seeing or knowing the property we are all finger in the air.

Very true.