Should we accept offer/sell?

L

LBB

Guest
Folks,
We have recently put up our house for sale at 800k, which we would see as competitive (estate agent had advised 880k and its approx 30% down on 18months ago). We've had an offer of 680k but would have expected more. Should we hold out for more, let buyer go if he won't offer more, or take the money and run?

Just wondering now are we mad to sell in the current market - which some people have suggested. We're not under any pressure to move, although we've wanted to like to live in a different area for quite some time. Obviously, we will get the benefit of reduced price there.

But...should we hold off for more...not move and wait another couple of years when market recovers?
Any thoughts/advice?
 

It's a dangerous game to play futures on your primary residence. I would be very careful doing so. Have you looked into what you might be able to borrow if you do sell? I would definitely get AIP from a bank (or banks), and go house hunting to see what kind of money you will need to trade up. If the figures add up it's less risky - you are buying and selling in the same market etc, so if you find somewhere you really like and can afford to move there and you have a reliable income then it is worth considering.

I sold and bought myself a couple of months ago, bought a house for about 75% more than the house I sold but it is a house for life, its a home not an investment. We figured that we loved it, could afford it, and (as confucius says) the only thing you get trying to pick the bottom is a smelly finger.
 
Simplistic view:

Sell now, less profit but more bargains as property prices have fallen.

Sell when market recovers, more profit but less bargains as prices have recovered.

Net gain could be zero.

Timing the market is impossible, I would agree with previous poster. It's your family home not an investment, think long and hard about it.
 
Whomever you decide to sell to, make sure they are are a cash buyer or have signed contracts on their own house. Do not take your house off the market for an offer from someone who still has a house to sell, it's a waste of time. I'd try and get a few more quid out of the buyer (if you don't haggle the buyer will think they could have got it for less!). Can you rent then until you find your other house.
 
How much did you pay for the house?

How much is your new home?
 
Just a word of caution.

If you do decide to accept 680 the buyer might think that they should have offered less and may do !

So if you are willing to accept 680 you would be advised not to show your hand just yet. If they are serious about buying your house they will be open to more negotiations...
 
Everybody is still 'expecting more'. In the current climate I would take the money, you could rent for a while, nothing wrong with that and then find your ideal home in the location you want - a perfectly valid reason for selling. I don't see anything wrong with treating the purchase of a home as a monetary transactions, for most people it's the most expensive item they will ever purchase.
 
I think expecting more is often foolish in the current market but again that depends on the actual offer. Some buyers seem to think that you are lucky to have an offer so just take it but in real terms you need to weigh up the costs of your next move and see does it make sense overall, if not sit tight.
 

Of course it is a monetary transaction??!! The point is that you are buying a home, not just an investment. Obviously people should be prudent in the borrowing and decision making re when to move, when to sell etc. There's little doubt that prices will continue to fall (who knows how much) but sensible people are still making purchases when they find their ideal home and can afford it. Particularly if buying and selling in the same market. Of course it's the most money they are ever going to spend, and indeed borrow.
 
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