Situations when a lower bid is likely to be successful

June 20, 2016 by Brendan

Advice & Tips

Buying and selling a property is daunting for both the vendor and the buyer. The seller wants to achieve their asking price, while

the buyer worries about how much to bid without paying too much or losing the house. Sometimes there are scenarios which mean the seller will consider a lower bid than the asking price.

Sellers often place a property on the market at a slightly higher price, realising that a buyer may offer a bit less. If the house doesn’t sell immediately, buyers may wonder if the property is priced too high or if there is something wrong with it. A good survey will reveal any problems, and this allows you can negotiate a lower offer. If there are no offers at all, the seller may reduce the asking price to encourage buyers.

If there is a reason why the vendor needs to sell the property quickly, like being in a chain, a previous buyer dropping out or needing to relocate quickly, they may be more likely to accept a lower offer.
If a buyer has all their finances in order, with a mortgage approval in principle, and a deposit, a seller will generally accept their offer rather than accept someone who isn’t prepared, even if it’s a slightly lower offer.

There are many reasons why a seller may accept a slightly lower offer than the asking price, which a CeMAP qualified mortgage adviser will help a buyer to recognise.