Offer to purchase question

So the misses and I are looking for a house, Its not easy,

Every house we find online (privateproperty and property24) is sold.... according to the agents, but they have "this house" or "that house", then show us ****...

Now, through that pile of ****, we have found 2-3 that we like, but they dont deserve the full price, there are things that need to be fixed, Flashing on the roof, or a broken window here and there etc.

I see in the thread people say that you could offer 5-10% less than asking, However the agents always say that its a sellers market now and that the seller wont accept anything less than asking,

Is this true? has the market changed?
 
marbro said:
I see in the thread people say that you could offer 5-10% less than asking, However the agents always say that its a sellers market now and that the seller wont accept anything less than asking
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Very dependent on area and price. I know a few places in the area in which I'm looking that an offer gets accepted within 2 or 3 days of listing.

If it has been on the market for 1week + I would feel free to make an offer of more than 10% below, as if it's a seller's market and the house isn't moving then there's a price issue to start with.
 
RanzB said:
If it has been on the market for 1week + I would feel free to make an offer of more than 10% below, as if it's a seller's market and the house isn't moving then there's a price issue to start with.
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Makes alot of sense, never considered the time on the market
 
marbro said:
So the misses and I are looking for a house, Its not easy,

Every house we find online (privateproperty and property24) is sold.... according to the agents, but they have "this house" or "that house", then show us ****...

Now, through that pile of ****, we have found 2-3 that we like, but they dont deserve the full price, there are things that need to be fixed, Flashing on the roof, or a broken window here and there etc.

I see in the thread people say that you could offer 5-10% less than asking, However the agents always say that its a sellers market now and that the seller wont accept anything less than asking,

Is this true? has the market changed?
Click to expand...

As interest rates goes up ... it slowly becoming a sellers market !

But honestly, if you like something, you would offer more to get it ! (you can also see how long something is on the market ... showing the interest in the apartment or house).

Hope you find something nice !
 
marbro said:
So the misses and I are looking for a house, Its not easy,

Every house we find online (privateproperty and property24) is sold.... according to the agents, but they have "this house" or "that house", then show us ****...

Now, through that pile of ****, we have found 2-3 that we like, but they dont deserve the full price, there are things that need to be fixed, Flashing on the roof, or a broken window here and there etc.

I see in the thread people say that you could offer 5-10% less than asking, However the agents always say that its a sellers market now and that the seller wont accept anything less than asking,

Is this true? has the market changed?
Click to expand...

Remember agents get commission, the higher they can sell the house for the more they get. Also, they are appointed by the sellers, so they don't work for you - they work for the seller. The seller will always want more for their place.

Now it is also true that the agent geta nothing until a place is sold, so if it is priced too high then it won't sell and they will get nothing. So they are there to get a fair price and make sure the deal actually goes through, but if there's contention they will likely be on the seller's side (unless they are super unreasonable).

Yes a longer time on market is usually an indication that the seller is expecting too much.
 
marbro said:
So the misses and I are looking for a house, Its not easy,

Every house we find online (privateproperty and property24) is sold.... according to the agents, but they have "this house" or "that house", then show us ****...

Now, through that pile of ****, we have found 2-3 that we like, but they dont deserve the full price, there are things that need to be fixed, Flashing on the roof, or a broken window here and there etc.

I see in the thread people say that you could offer 5-10% less than asking, However the agents always say that its a sellers market now and that the seller wont accept anything less than asking,

Is this true? has the market changed?
Click to expand...

Which area are you looking at?
 
its in the westrand, specifically Randfuckyoursisterfontein.

grew up here, wife works in town, kids school here etc. makes more sense to just stay
 
marbro said:
So the misses and I are looking for a house, Its not easy,

Every house we find online (privateproperty and property24) is sold.... according to the agents, but they have "this house" or "that house", then show us ****...

Now, through that pile of ****, we have found 2-3 that we like, but they dont deserve the full price, there are things that need to be fixed, Flashing on the roof, or a broken window here and there etc.

I see in the thread people say that you could offer 5-10% less than asking, However the agents always say that its a sellers market now and that the seller wont accept anything less than asking,

Is this true? has the market changed?
Click to expand...
An agent acts for the seller, not the buyer.

Evaluate the home on its merits in comparison to others in the same / similar area. Take into account all of the economic factors. Be objective, and arrive at what you consider to be a fair offer for the place. Be a man, put it on paper and give it to the owner / agent.
They can accept or refuse. Sometimes they are emotionally attached, and will not accept a good offer. You have no control over that, all that you can do is move on.

Subjective homeowners have been known to refuse good offers, especially those that are presented within the first few weeks. They also have the inflated valuations and promises of the agents fresh in their minds. They end up selling at far less than these offers 6-12 months later. Not much that you can do about that, best to move on.
 
marbro said:
So the misses and I are looking for a house, Its not easy,

Every house we find online (privateproperty and property24) is sold.... according to the agents, but they have "this house" or "that house", then show us ****...

Now, through that pile of ****, we have found 2-3 that we like, but they dont deserve the full price, there are things that need to be fixed, Flashing on the roof, or a broken window here and there etc.

I see in the thread people say that you could offer 5-10% less than asking, However the agents always say that its a sellers market now and that the seller wont accept anything less than asking,

Is this true? has the market changed?
Click to expand...
All I can tell you is there are 0 for sale houses in our area for the last 2 odd years, the dont even list as there is a massive waiting list.

Obviously area dependent but this is the case here.
 
Snyper564 said:
All I can tell you is there are 0 for sale houses in our area for the last 2 odd years, the dont even list as there is a massive waiting list.

Obviously area dependent but this is the case here.
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Out of interest - which area is this? Didn't realize there was demand like this in certain areas.
 
Sold my house and spent a few weeks looking in Fairland, Berario, Boskruin, Sundowner, Northwold and even Olivedale.

One Saturday I went to view a place and asked the agent if she had anything else in the area. She had one that had come onto the market the day before.

I saw it, liked it, offered 5% less than the asking price, offer was accepted, deposit paid - all within 10 days.

AND it was R400k less than I was willing to pay.

Serendipity.
 
Aeryn23 said:
Out of interest - which area is this? Didn't realize there was demand like this in certain areas.
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Area in Centurion, recently completed mall nearby newly zoned schools etc really drive demand. My house value without any upgrades taken into consideration is already up 30/35% since purchase 6 odd years ago.

Please note I have done significant upgrades automated irrigation and 90-100%offgrid solar depending on use 28-32kw daily generation 20kw battery bank, 2 evac geysers etc not even taken into account in the above.
 
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Snyper564 said:
Area in Centurion, recently completed mall nearby newly zoned schools etc really drive demand. My house value without any upgrades taken into consideration is already up 30/35% since purchase 6 odd years ago
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Is that after inflation. 30/35% isn’t much over 6 years. Probably just 4/5% per annum.
 
Snyper564 said:
It's was 20 odd percent 2/3 years after purchase already
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The biggest secret is to buy low. :D
The next biggest secret is choice: modest homes appreciate well despite troubled times, there is always high demand for them.
The third biggest secret is to pay it off asap. I bought a modest property at the end of 2019, and I have paid 75% of the bond already.
 
Be sure to add the clause “ Subject to council stamped and approved houseplans to be supplied by the Seller”.
Also insist on the list of defects BEFORE signing the OTP.
 
marbro said:
why houseplans? @The Darkness
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Because if the seller built any illegal structures or did any unsigned off renovations these become your problem when trying to sell later. Be sure to make it the sellers obligation to provide these council stamped plans and have them checked against what you see on the ground when you get them. If the seller doesn’t have plans, this clause will save you having to pay for an architect to draw up new ones. I can’t stress enough how important this clause is for your purchase.
 
Also, take a ladder to the viewing and climb into the roof. You’ll be shocked at the things that you might have missed. Incorrect trussing, ancient geysers, structure issues etc. get in there, it’s a serious purchase. Look for cracks, leaks, water damage, rodent damage etc
 
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