House buying advice.

[Ezekiel 25:17]

Two close friends are looking to buy there first house but are complete novices when it comes to putting in offers etc for houses. They're looking for somewhere affordable to get them going and have seen two properties in the same street (Rufford Street, Bootle), one is on at 85k and one at 90. Now what they're wondering is basically what kind of offer should they make and what research can they do to help make the right offer. They're not well off and would like to get the house for a good price, any advice will be passed on and greatly appreciated, reps and shit.

[lifetime fan]

Not in Liverpool granted but the cunts here are asking sellers to drop their prices by as much as £15k (of course they'll help you out by dropping their fees) on a 2 bed semi,

 

I'd wait 6 months before buying anything to see which way everything goes mate.

[Ezekiel 25:17]

Does that not mean it's a great time to buy then ?? I don't think they can wait as they have a child aswell to consider.

[Jim MM]

I'm not familiar with the Liverpool property market either but it can't hurt to haggle a bit, go in 5-10k below the asking price. The sellers will know they're interested and if they have a better offer the estate agent will give them a chance to better it.

[Code]

Does that not mean it's a great time to buy then ?? I don't think they can wait as they have a child aswell to consider.

 

If they are looking for a place they want to stay for a while I`d say its a great time to buy, the value will always go up in the long run from an historical perspective.

[lifetime fan]

If they are looking for a place they want to stay for a while I`d say its a great time to buy, the value will always go up in the long run from an historical perspective.

 

If it's afforable and a long tern investment I'd agree.

 

I'm guessing it's a happy couple wanting a decent house to live in till they can afford their own.

 

Snobbery doesn't pay brikies,m plumberts, electricians etc

[INTORRESTING]

Things are tough. Check out nethouseprices.co.uk to see what has shifted lately and go in with a very low offer at first. Maybe get someone to do the negotiating for them as the agents will quickly talk them into paying more and jump on any lack of confidence etc

 

I would suggest trying it on. Now is never a great time to buy as it is when the market picks up and really starts moving towards Easter but you may catch someone desperate who has had the property on the market for a while.

 

The best time to buy is in the winter especially probates where the beneficiaries want their money before Christmas. Also interest rates are due to go up so some people with mortgages will be forced to shift and fast so timing is very important.

 

It's all well and good saying historically things may go up but the future is quite bleak and the prices can quite easily continue to go down

[Tom R]

Whatever they get the house at, they need to get their mortgage sorted yesterday as I reckon interest rates will go up next month or the next by at least a half percent.

 

If you get a mortgage today then the lender will generally hold it live for six months.

 

As for what to bid, just bid what they think it's worth! A house is only worth what someone will pay for it. Work out what the monthly payments are at 75k, 80k etc and just say to yourself "would I be happy paying that to live here?"

That's the best measure of what a house is worth.

 

People who buy houses should be the people who dictatate what the house prices are, not estate agents.

We have it all fucked up in this country. In many countries it's just a blind auction and people just bid what they think it's worth. That's exactly how it should be IMO.

[JagSquared]

Im in the process of buying a place and my advice is to go as low as possible with the offer. Now please note i know fuck all about this so this isnt gospel but what i did.

 

I went 13k under the asking price which has been accepted. If you do go low make sure you state why your offer is so low accentuate your positives such as, cash buyer (if so can i have some money for my advice?) not being in a chain, mortgage already approved and willing to work at vendors timescales.

 

If work needs to be done state it as a reason "kitchen needs new units etc" if you can get a rough qoute that will be helpful to your cause.

 

Once an offer has beenaccepted get a survey done and use it to renegotiate if it comes up with anything. Get electric and boiler certificates.

 

Look at upmystreet.com for info on the area and get a good solicitor.

 

Now some estate agent will tell you the above is bollocks so listen to them.

[Anny Road]

Don't fall in love with any one particular property. It will make you spend more. Be prepared to walk away and on to the next one.

Our strategy was to set a budget and then go look at places 10% or so above the that. We offered on average 10 - 15% below the asking price because we could guarantee a quick sale with no chain. After about six or seven offers we got one and were delighted with it.

That was when the property market was booming, now it is very much the buyer who has the upper hand. If you can deal privately and save the seller estate agents fees but always use a decent solicitor.

[Indian Red]

Help them build one like a proper friend would. Get woo to design the loo.

[Elmyn Noos]

On that range of house price I would start at £15k below the asking the asking price. The thing with buying a house is that the buyer is absolute king. You can comfortably afford to piss them off with a shit offer, and they aren't a position to hold it against you for future bids. They will almost certainly reject your first offer, so go back offering a little more - a couple of grand at most, and make it clear you are really stretching your budget to offer even this much.

 

If you have the funds in place, are ready to move in, and you are clearly first time buyers, you are in a very strong position.

 

Also, once the price is agreed, make it conditional on the property being immediately and completely removed from the market - ie. For Sale sign comes down, it's removed from the estate agents office, and it's taken off all the websites. When I said this to the estate agent selling the house I live in now, they were reticent for obvious reasons, but I said it was a deal-breaker if they didn't, and so they did.

[SlugTrail]

They Shouldn't worry too much about interest rate going up just yet. fixed rate mortgages are very high at the moment anyway, so it will be much of a muchness. the best thing to do is what INTORRESTING suggested, reasearch the street and the surrounding streets. other sites ase :- Rightmove, up my street.

 

when bidding, unless they have competition, bid very low to start, not insulting low (as this may get their back up) but for £85k i would suggest £74.5k, and for 90k 77.5k

 

also try to use obscure amounts (second offer of £76750), as when upping you bids in round thousands it is easier to tell if the buyer can go higher.

 

Tell them to set the limit they are prepared to pay beforehand and communcate this to the agent then make sure you keep reiterating it to them as they will try to convince you to pay "that little bit extra to get the place you want", and to also take a parent along when having viewings. ask them to point out anything that may be a problem (real problems not made up ones) this can also be used as a bargaining tool.

[RedinSweden]

Good tips from the Noosmeister there.

 

What are interest rates like for mortgages in England?

[SlugTrail]

Good tips from the Noosmeister there.

 

What are interest rates like for mortgages in England?

 

it depends on the size of the deposit, but for a 25% deposit you will still be looking between 4.75 - 5%

[Anny Road]

We just got ours redone at 4.5% for the next 5 years. We were on 3.8 but they are going to go up.

[RedinSweden]

A bit more than here. Ours is on about 3.5% at the moment.

[Elmyn Noos]

A bit more than here. Ours is on about 3.5% at the moment.

 

3.5%? Really? Do you have any more facts pertaining to the current rates of financial services products in Sweden, you interesting bastard?

[Code]

A bit more than here. Ours is on about 3.5% at the moment.

 

Mine is 3,15%, the loan has to be more than 2mill NOK and it cant be more than 80% of the house value to get that rate.

[manwiththestick]

We're putting ours on the market shortly in the hope of moving into something bigger. We are putting it up for 10k less than what the other propeties nearby are up for in the hope of getting a bit of interest. Not looking forward to it tbh.

[RedinSweden]

3.5%? Really? Do you have any more facts pertaining to the current rates of financial services products in Sweden, you interesting bastard?

 

I get 2.6% on my savings account at the moment.

[RedinSweden]

Noos! I made a mistake. the half of the mortgage that is fixed for 3 years is 3.35% and the other half which is variable is currently 2.85%.

[INTORRESTING]

P.s Do not pay non refundable deposits to have the property taken off the market or anything like that.

[Elmyn Noos]

Noos! I made a mistake. the half of the mortgage that is fixed for 3 years is 3.35% and the other half which is variable is currently 2.85%.

 

Thanks for letting me know. I'd have felt a right twat regaling my friends down the pub with my new found knowledge of swedish interest rates only to have someone point out that I was slightly off with my figures.

[Anny Road]

We should organise a dinner party where we can all get together and discuss our interest rates and car leasing plans. Proper middle class and stuff. I'll bring the Pinot. What a hoot it will be.