Hi Guys! I need your help in understanding the quoted sell price. If a house is quoted as "suites buyers over $265K", does it mean that the offer has be to in access of $265K? Does it mean offer of less than $265K will automatically be knocked down? On the other hand if it is quoted as "price $260K – $275K". Does it mean that my offer has to be in access of $260K to have a reasonable prospect of success?
Regards
SharifNope. You can place a bid whatever you like. It is just an agent's trick trying to lure the buyer to bid higher.
There is no LAW to prevent you to bid lower.Thanks. If a bid lower than the price range, is there still a chance of succeeding?
Sharif
My property said offers above $335,000
I got it for $295,000.Start low.
In my opinion:
The number can be massively understated OR overstated.. go check out the property and compare with what similar properties in the area have actually sold for (not the silly numbers they stick on the adverts).I just got a place (fingers crossed) for 20% more than the figure on the flier, but I knew that figure was way too low, I have also been to places in the same area where the figure on the flier was easily 40 to 60K too high and the agent appeared amenable to much lower offers once I mentioned the 3 or 4 similar properties that sold for lower prices.
There is always a chance of succeeding. This is a buyer market.
Find out why the property is sold for etc…..?
But please do some due diligence prior to offer.
CheersDonald
Thanks for all the advice. It really helps.
Sharif
Almost everyone on this site will eventually be a Buyer and a Seller and no matter how smart you all think you are the simple fact of human nature will prevail. As a Buyer you will think that you are paying too much and as a Seller you will think that you are selling too cheap.
Don't blame the Agents for the price of the property as it is almost always set by the Seller. (read above) Similarly Agents have learnt not to believe what the Buyer says as they are invariably trying to nick the property.
Donald is correct, it is a Buyers market at present, however this does not necessarily equate to Sellers accepting ridiculous offers. Do your research and offer a fair price. Remember what goes around comes aroud.
Jon Chown wrote:Almost everyone on this site will eventually be a Buyer and a Seller and no matter how smart you all think you are the simple fact of human nature will prevail. As a Buyer you will think that you are paying too much and as a Seller you will think that you are selling too cheap.Don't blame the Agents for the price of the property as it is almost always set by the Seller. (read above) Similarly Agents have learnt not to believe what the Buyer says as they are invariably trying to nick the property.
Donald is correct, it is a Buyers market at present, however this does not necessarily equate to Sellers accepting ridiculous offers. Do your research and offer a fair price. Remember what goes around comes aroud.
Fair enough.
So why then isn't every property simply valued by a registered and qualified valuer, based on recent comparable sales, and then advertised at the highest price the owner can realistically expect, based on the comparables, and wait for the offers?
All the different price ranges, terms such as "offers above" are basically to entice the buyers who can't afford to buy the house to make an enquiry, the agent then works on them to get the price up, and use the low offers to get the sellers to lower the selling price.
L.A Aussie wrote:So why then isn't every property simply valued by a registered and qualified valuer, based on recent comparable sales, and then advertised at the highest price the owner can realistically expect, based on the comparables, and wait for the offers?Because vendors are rarely 'realistic'
L.A Aussie wrote:All the different price ranges, terms such as "offers above" are basically to entice the buyers who can't afford to buy the house to make an enquiry, the agent then works on them to get the price up, and use the low offers to get the sellers to lower the selling price.It covers an agents backside when they start to get lowballs.
It makes a vendor feel happier becasue they think there's a chance they're going to get the top price.
Maybe an agent has no idea what its going to sell for.
In a sellers market it can be a useful sale tactic. Not so much in a buyers market.sasharif wrote:Hi Guys! I need your help in understanding the quoted sell price. If a house is quoted as "suites buyers over $265K", does it mean that the offer has be to in access of $265K? Does it mean offer of less than $265K will automatically be knocked down? On the other hand if it is quoted as "price $260K – $275K". Does it mean that my offer has to be in access of $260K to have a reasonable prospect of success?As said before it doesnt mean anything.
What do you think its worth?
Start making offers of 10% under what you think its worth.
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