[holland]

Hi,

Could anyone ( or lots of you!!!) give me an idea about what is the norm with regards to putting an offer in on a house?? How many thousand under do you go??? I know there won't be a definate amount....but I don't want to get ripped off or offend!!

Thanks in advance

J and G x

[benandclare]

We offered 4% under the asking price.

And got it :D :D

Oh and dont forget to ask for discount or their best price when out shopping,it's amazing how much they'll come down ;)

[Jo Jo]

I have no idea what the norm is, but when I bought my house, my first offer was 90% of the asking price. The vendor rejected that offer (which I expected, to be honest) but said he would accept 94% of the asking price, which is what I ended up paying.

[holland]

I need to go and find an online calculator!!!!!!!!!!!!!

Thanks xx

Anyone else????????????

[holland]

How quick did you buy?

[Jo Jo]

I bought before I was even living here - I came over on holiday last Christmas, and made the offer on the house then, and we completed in early March.

[holland]

oooooooooo...I thought we we're being a bit quick!!! he he he!

[sizzlingbadger]

Depends on the area you're buying tbh. Some Welly properties were going for over 100k of the asking price ! But now with the market changing you can try and put an offer under the asking price. It's not really the norm here as it is in the UK, most of the time you have price by negotiation or buyer budget over and offers are expected over that price.

We bought our second house at tender, well over the RV (rating valuation for rates) which is on the low side anyway. I had studied this area for a good year if not more and knew roughly how much to put in and what the property is worth. Lucky for us we were the lowest and cleanest tender and ended up getting it, we knew the property was worth a whole lot more but they wanted a reasonably quick sale :D

The first property we bought we didn't know the area at all and you have to watch certain agents don't talk you in to offering more, after all if you're new to an area you won't have much of a clue. We found this after lots of open homes and spending time studying property guides. So glad we didn't go for the first home we really liked, there was a reason it was $100k less than the house across the road - it never got the sun ! ! ! Only found this out by driving to the property at different times of the day :o

[holland]

Good advice sizzlingbadger...have been looking at properties all afternoon on internet...I have to say the estate agents are very friendly over here!! I have just had a phonecall at 7.30pm about a property we viewed...seem very professional...although I am aware they are also doing their jobs and trying to sell us houses!

Got a second viewing later in the week and we are viewing 4 tomorrow...we'll just have to wait and see.

Seem to be weighing up compromises, we like the idea of living on a hill ( in Hawkes Bay...Bluff/Hospital) but then we would have to sacrifice on flat garden (obviously) but have stunning views...or we have viewed one one level with a swimming pool, immaculate and large inside and out, but its all overlooked by other houses!!!

Decisions, decisions...........

[sizzlingbadger]

We kept a checklist in the end this time around, as we often forgot what we were really looking for, a LSB. Saw some stunning houses but not enough land if we had moved to one of those we would have ended up moving on very shortly after moving in.

Keep going back to your mental lists of things, if one of the houses is overlooked on all sides it'll probably begin to feel like a fish bowl. We had a rental in the UK like that, never again as we always felt someone was watching us. If you don't have kids then a flat garden is such a worry, those sea views are to die for on Bluff hill :nice1

It is hard compromising on things, in the end this house is smaller than what we wanted, in a different town although 10 minutes away from schools, friends and kindy BUT the plus points for us out weighed those. Have to say I'm still getting used to not being in the same town as I'm used to and finding it very hard, if I could move tomorrow I would go as I'm not as settled as my husband. Maybe as we start to put our own stamp on the place it'll slowly feel like a family home.

Good Luck with it all. I'm just waiting for my real estate salespersons licence so know just how pushy the salespeople are and have to be. No fixed wage and commission only pay on completion of sales. No wonder they ring you at all times of the day :D

[Angelonthemove]

It's true what they say Location Location Location, we waited and found a house on a hill with fantastic views and no neighbours looking in. House is smaller than I wanted but its great when I have to hoover!

Yesterday was so quiet up here because it was a bank holiday that I felt like the world had stopped and we had not been told. All day sunshine to boot. 15 mins from Welly CBD.

We spent 6 months going to open homes and yes we kept to our wish lists. Having spent 12 months in Shadow Villa I was sick of moving my deck chair to get into the only bit of sunshine there was and it dissapeared completely at 4pm!!

Good luck in finding your dream home and local advise to me was go up in $200 a time not $1000 like the UK.

[incredible hulse]

We found that when there was a price stated (not that common) that the expectation was to offer over this; they use the BBO, BEO terms. We had this with the house we ended up buying but still offered 110k less than the price advertised (much to our agent's horror).

We haggled for a few weeks and in the end got it 60k less than the BEO. My advice would be take your time and don't worry about upsetting the vendor or the real estate agent - they come across as nice but at the end of the day are working for the vendor and are more than willing to try and fleece you if they think they can.

With the market as it currently is I wouldn't buy anything at the asking price unless it had been reduced already.

[holland]

Thanks as always for sharing!

Im am all housed out, we have viewed 5 today and appt with mortgage advisor.....and I dread to think how many hours research on the internet!

J x

[markw55]

I think incredible hulse is absolutely right.

We are looking at houses in Wellington right now and it is clear that agents are not expecting to realise the asking price.

Its always up to you how much to offer but you might find that agents are reluctant to present to offer if you go too down to far. But their job is always to present the offer regardless.

Lots of Kiwis don't like bargaining, but then there are some who thrive on it.

I would always start at about 5- 10% lower than asking price, maybe a lot more if the price is too high - and see what the vendor comes back with. This gives you an idea as to how far they are willing to drop. Don't let the agents push you around!!

Also, I find it is always worth knowing what the vendor paid for the place and what other houses nearby have been selling for. You can find this out at:
www.qv.co.nz for about $40.

(edit for typo)

[femke]

Hi Jade,
Just a few more tips, check out how long the house has been up for sale, don't be fooled by agents saying its just come on the market, its quite common (in Hawkes Bay anyway) that people jump from one agent to another if for some reason the house is not selling, the new agent then lists the house as a new listing. Houses are definitely not selling as quick, it seems its more a buyers market, but saying that there will always be certain houses that will be snapped up, at the asking price as soon as they enter the market. Location is definitely one factor, the hill is a popular place, i have a friend living on hospital hill, she loves it. Parking can be a factor as the streets are narrow, a lot of the houses don't have much parking place, so if they own more than 1 car they tend to park on the street. I am sure you already have done this but try driving past the houses you like best at different times of the day. As someone has already said don't be rushed into anything, take your time, its easy to buy a house here but when you come to sell again its a costly business most realestate agents charge 4% commision:wah




I have got my salespersons license, still debating what to do with it:laugh


Good luck with the househunting,
Moira