Finding the right property is exciting and can be a little nerve-racking. Deciding on your offer price is a pivotal part of the buying process, and you can’t be blamed for being curious about other offers. After all, it could help you decide whether to increase yours.
Coming up, we’ll look at the rules around making offers, providing insights on how much to offer and what to do if there are already offers on the table.
For help with managing your finances ahead of your move, speak to our friends at Embrace Financial Services for free, no-obligation mortgage advice.
How do you decide how much to offer?
Knowing how to make an offer on a property is important, and so having the guidance of a good agent is extremely helpful.
When you have set your heart on the right property, you want everything to go as smoothly as possible. From researching similar properties to how the market is performing and how much interest there has been in the property, there is a lot for you to consider from your and the seller's situation.
Don’t be afraid to ask your agent whether they think your offer would be accepted. If it’s too low, they may be able to put you in touch with a financial advisor who could help you to find ways to increase your mortgage amount.
What are you entitled to know about other buyers’ offers?
Your agent is legally obliged to tell you about other offers on a property but not the amount; however, the seller can allow the agent to disclose the offer amounts.
So, if you are unsure of how much to offer, you could request to find out from the seller the other offer prices through your helpful agent.
What happens if there are several offers on the table?
Good homes get a lot of interest from buyers and this often leads to multiple offers being made. Your agent will inform all buyers of any offers, however not necessarily the amount.
Remember, don’t become disheartened if you do not make the highest offer. You may still stand a good chance of having your offer accepted if you are chain-free.
An agent may decide to switch the sale to sealed bids if there are numerous offers. For guidance on this, read our guide.
What does guide price mean?
If a property is listed with a guide price, then this will give a minimum numerical amount that the seller is ideally willing to accept.
The price must be an accurate reflection of the true value of the property. That said, you can make an offer below or above the guide price, so consulting with your agent is essential for helping you reach the right numbers.
Can you make an offer on a property that’s sold subject to contract?
As a buyer, you can make an offer on a property right up until the exchange of contracts. Sellers will often try to consider as many offers as possible. It’s worth remembering that you may be able to request that the property be taken off the market if your offer is accepted.
However, all is not lost if another offer is chosen ahead of yours. This is why it’s a good idea to keep in touch with your agent in case the sale falls through of another accepted offer.
Your agent will guide you home
You may not find out the exact offer amount from other buyers, but your agent will be able to guide you.
Bear in mind, your agent is legally required to provide you with an accurate description of the property and other important information, such as tenure and the council tax band. This, combined with their knowledge, experience, and skill, will keep you on the right path to a successful move.
Are you searching for your perfect home? Contact your local Ellis & Co agent today
