Rubbish. They should offer what they think the property is worth, if the current owner doesn't want to accept it then that's that.
Based on the fact they previously accepted a lower offer to get a fast settlement indicates that time is more important than the amount of money.
If a similar property sold around the same time for a lot less then that indicates the original price was higher than their previous offer.
People need to stop offering high values because that's what they think they need to offer and start offering what they think a property is actually worth to them.
They did.
It wasn’t accepted but now the advice is to go lower than their prior bids.
Trying now to rebase a bid around a comp when OP has already gone higher is nuts. The vendor is clear about what they are willing to pay.
People on this sub need to stop suggesting stupid lowball tactics that are ultimatums not negotiations.
OP offered 515K and was unsuccessful.
Then OP says there are two versions of what the offer in front of them was, one slightly lower, one at 525K.
Even if that blurriness is dismissed,what do you think a Vendor in a good sellers market is going to think of OP coming in 20K lower than their last (unsuccessful) offer?
Putting a short deadline on a significantly lower offer (again suggested by multiple people) makes even less sense.
OP should ever move on elsewhere, or put in an offer similar to their initial actual bids. Else just wasting time.
The seller is in a weaker position now, though.
It's a stale listing and people will have noticed a sale fell through and be more reluctant.
Well worth coming in lower than before!
Who cares. Offer less for the fuck around. The best offer is statistically the first at the first open home. The longer a property doesn't sell the lower the price usually. Offering more now is retarded especially when a comparable sale in the same time frame in the same complex is less. How to not overpay 101
But ultimatums can be a useful negotiation tactic.
OP can offer lower since the vendor’s previous buyer fell through. The old FAFO has come back to bite them.
That irrelevant. You talk about negotiating but think not offering what you think the vendor wants is a waste of time. If the vendor has options it only wastes 5 minutes of the real estate agents time if the vendor doesn't have options then you get it at the market price.
I don't know any real estate agent for who 5 minutes of their time is worth $20k+ of my money.
Are you suggesting that because you offered a particular amount 6 weeks ago and was rejected for a lower offer with short settlement that you have no right to offer a different amount later on despite the market price obviously dropping?
And YES starting with a lowball is a negotiation tactic, they are still allowed to counter offer.
Offering well above what you think a property is worth isn't negotiation, it's the stupidity that has led to much of the stupid prices rises over the last 20+ years.
You should re-read OPs story. It isn’t clear the offer was lower, both from OPs confusion about the “slightly shorter settlement” plus the later agent claiming it was higher.
Your last paragraph makes it clear though your position is based on unhappiness about housing prices being higher, rather than looking to give the OP specific advice.
He stated the agent told him it was lower but had a shorter period.
And no, offering more money that you think something is worth is stupid and bad advice.
Prices for all things are set at the margins. In an auction it's only the margin between last 2 people bidding that sets the price. If it hasn't met the reserve the vendor is the top price as they are the top bidder effectively.
The fact you think that going on offering higher prices just to secure the property is good advice shows your clueless about negotiating.
I bought my first house for $295k after they turned an offer of $360k down 3 months before. The market had cooled and now property wasn't selling.
I could have afforded to pay $400k but it wasn't worth that. If I followed your stupid advice I would have offered $360k because that's the best offer they had got previously.
Just stupid advice.
So you still missed the bit about OP being confused by being gazumped by a supposedly smaller offer with a very similar settlement - but then the agent claimed later the offer was higher (which to a rational person makes sense.)
Clearly offering more than you think something is worth is stupid
Going back as under bidder on your own recent offer is very unlikely to work, that is the actual poor advice.
But given you still haven’t even read the initial background properly I’m not surprised you haven’t comprehended what I’ve said.
I did read it. I just don't get the same version of things you do.
You assume the agent told him the offer was higher after having lied to him about it being lower previously.
Which makes more sense?
Lying by Telling him his offer was rejected by a lower offer with a shorter settlement when the agent has nothing to gain from the deception.
OR
Lying about the offer being higher when the offer had fallen through when he had the potential to get a higher price if OP fell for it.
Somehow you think you're the more rational person because you think the change In story when the agent has suddenly got to try and sell is the one that is truthful and makes sense.
A rational person knows a real estate agent will tell you anything to get a higher price if they think they can.
I comprehended what you said and it's stupid advice based on poor logic. Previous offers made are irrelevant, situation has changed.
You don't seem to understand what a negotiation is.
You offer a low price they counter offer, you rIse yours they come down etc... that's negotiation.
A low ball price as you call it is perfectly normal and fine.
Offering the same price you previously offered when they clearly accepted a lower offer previously is dumb.
Not lowering your bid after time has passed and the market has cooled is also dumb.
The agent was lying once the accepted offer fell through. He thought the low offer would be the one that got the apartment, so he wasn’t real concerned. When it fell through, he knew he screwed up. So, now he is trying to cover himself and telling OP the offer they accepted was higher, hoping he will bid in the 525 range. It was a breach of contract for him to tell the buyer what someone else’s bid was. Now, OP can offer lower and stands a good chance of getting the apartment at a much better price. If the seller finds out, there can be legal repercussions for the agent and the broker.
You obviously don’t have much experience buying property.
The level of stupidity in this thread is beyond belief.
If OP actually wants the unit then they will negotiate.
Putting in an “embarrassing” offer having already bid against themselves at a much higher level for the same property is nuts.
But this thread makes it easy to understand why a lot of people make bad financial decisions and are unsuccessful career wise. All emotion, no thinking.
Just recognise the market has come back & although predictions are a 5% rise next year, interest rates are on hold & every month while they remain high, more are forced to sell & over the next 12 months this will accelerate.
That’s a bit so what.
Sure, some people will be forced to sell by affordability, but there are a lot of buyers out there, especially with the rental market so tight, and many people (rightly or not) are scared they won’t be able to afford a house house if they don’t get in now.
I'd be offering 477, because the other apartment sold for 476.
But also fuck the agent.
If there's a way to contact the owner directly with the offer that would be better... agent is playing games by not telling you they accepted another offer.
Yep, the OP needs to be much firmer. The market is flat. They are being used as a backup. I'd be going in pretty low. The seller will be wanting to move the unit and the agent will be wanting their commission
Absolutely this, you gave him a higher amount, they went with another but on a lower bid, now the consequences for that is a lower bid by you with a brief time period. The balls in his court
Why so high?
Why did the other unit sell at $476000? Is it the same as yours? Because if it is why are you thinking of offering $30000+ more?
Units are the easiest to value because you have direct market comparison.
mine is 4 floors up so slightly a better view, otherwise the same 2b1b1c. i feel that this is uncommonly low for the building, core logic value is 520k for my unit. and usually sold for 500\~540k in last 2 years
All the cards are in your hand. Offer $488 K — tell the Agent it is your Lucky number, and you have finance and are ready to go. Be Patient and remember prices for flats in high rise buildings are going down, down, down… and plenty more where this one came from. And perhaps put a deadline of 7 days on your offer…cos there is another flat just around the corner...
Unit prices spiked in 2018/2019 but since fucked off south and barely recovered to the same point. So many units bought 5 years ago are selling at a loss.
Anything with real land value Yes. A flat in a multi rise huge building tends to cost more money to repair and update the older it gets, and does go up in value proportionate to the tiny portion of the small footprint of land it stands on. But very slowly, unless driven up in price by overzealous, panicking buyers who don’t know how to keep their cards to themselves and the value of their hard earned money.
The typical ballpark is 10k per level, though obviously this number can be higher or lower.
I wouldn't be surprised if the other offers the RE mentioned were all fake ploys to try to get you to raise your price.
Maybe you don't want to annoy the RE or owner and stick to $515k which isn't an unreasonable price for 4 floors up, or you may want to try a lower offer, up to you, given the RE shot themselves in the foot, and you already "know" they accept $515k, making it easier for you to offer a lower amount.
In some (all?) states it's illegal for a real estate agent to lie about the existence of other offers. I'm not saying they don't do it, but if they ever get caught out on it then they could get into big trouble. Most of the time the agent will suggest "strong interest" from other parties because that's not technically a lie.
Mate I KNOW some REs make shit up. Some people I know told me that their RE made up a bid when they were selling their properties to induce higher bids - they weren't going to sell below a certain price, and their RE deliberately made up some bids to get the buyer over the seller's price line.
Did you inspect the one downstairs? Might have some differences maybe?
Aircon, renovations, the positions of windows (north facing usually is more sought after)
i did inspect that one, exactly the same but the level. also this one was still owner-occupied if that's a thing. The aircon was installed but mine is not
I had an agent string me along like this for a week. We offered over 900k on a house. The realtor said they just wanted one more open house but would probably take our offer. So we went to one more open house as well and found our dream home. They ended up selling for 875 after several weeks on the market. Think long and hard. You hold the cards right now.
Same thing happened with me. Asked them what they wanted. 920k. Offered it. They strung us along for a week. Went looking at other houses. Found another one we liked that was 100k cheaper. We bought it. Agent called me to see if i was still interested 3 weeks later. Was a good laugh. They ended up selling it 2 months later for 865k.
Love hearing these stories.
Similar here. Offered 825 on a property we liked and thought that a very fair price. Seemed like they were going to accept but wanted one more open home.
Umm-ed and ahh-ed and magically an offer of 860 came along at the open home, did we want to *match* it because the vendors liked the sound of us. We said take the $860k and run as we thought that was overpriced.
2 weeks later the agent came tail between legs and begged us to give our initial offer again as it had all fallen through apparently. We'd cooled a bit on the location so said no thanks. 2 months later it sold for 825.
The house we did end up buying initially had an offer at $850k, but the vendor took so long to respond the buyers moved on. We offered 810k with a 24hr deadline. That passed so I told the agent we were about to make an offer on another property and his vendor was going to miss out again (she hadn't responded to him at all), that kicked her into gear and the agent sent through a sales advice at 9.30pm to close the deal.
Corelogic has the value at 840, and all comparables are in that range, so we got a good deal because vendors/agents had played games and lost.
I did a similar thing. Open house, REA was aggressive with 3 parties, we made a verbal offer. Had Buyers remorse, rescinded in writing within 24 hours. House sat for three weeks on market, we kept looking. Came back 3 weeks later and offered 15k less (within our budget).
REA was nasty AF, but we pressed them to pass along the offer to the owner within 3 days or we’d walk. Worked out for us in the end.
When you make an offer like that, how long is it generally good for? If you offer what they’re asking and then go buy something else can they say that you said you’d buy theirs already? I know it’s all verbal, but is there a general time period for these kinds of things?
Question is how badly do you want /like the apartment? How would you feel if they rejected your 507k?
Personally I would not go above 515k because they've been messing around with you, stringing you along, and it sounds like they're being dishonest about other offers.
If you're willing to walk, then just offer the 507k (your original offer) with short expiry time, but be prepared they might reject you because they know you've offered higher previously. If they reject, walk for good and look for someone who's actually willing to sell rather than play stupid games.
If you really really do love the apartment, offer the 515k as being your best and final offer to match your previous, but I'd still resist any attempt to make you go higher since clearly they have no other buyer right now.
i quite liked the apt, ive been too many inspections and that one was the only one I wanted to try. but I understand this might be overpriced for the current market. i don't want to pay too much and also don't want to piss them off
Don’t have an emotional attachment to people that don’t have one to you. It shows you have great empathy and aware of your own presentation of yourself to others. But don’t let that be an attribute you feel you need to show in the purchase of one of the biggest things you’ll purchase in your life.
This. In the long run what’s more important, you teaching an agent a lesson now or buying the home you want and spending many happy years there. You have the information the owners are happy to take your original offer and longer settlement and you are first in line to get it if you want. Don’t stoop to their level of playing games to save a small amount of money and risk dragging this on a loosing out (unless you have reservations about wanting the home now).
Forget the shitty management of the agent, buy your home and celebrate!
I would put a new offer in, in writing, same settlement that you previously wanted before and give them a short timeframe, like 48 hours. If they ask for an extension for another viewing, I’d say no. Be willing to walk away.
I’d make a lower offer than you did before, some people suggesting a low offer due to the other unit. You need to decide how badly you want it and what you’re willing to pay (how good is the view). At this stage I wouldn’t counter if they come back. Maybe I’d ask them to give a figure but I wouldn’t raise my own offer.
This. Agents will game you. Just dont play.
The other offer may not have got finance if bank valuation came in below offer (a bigger risk in apartments). Which it might have if the other sale price was that low.
They WILL try back and forward cos they KNOW you can pay more now. Vendor likely to dig their heels in but IF your offer is best they NOW get they will take it eventually.
But your best weapon in this game is fully being prepared to walk.
Put the address in https://www.propertyvalue.com.au/
Sometimes under offer are listed as a sale price there.
Stand your ground and definitely do not offer more. You know they were willing to accept 515k, you can't give a cent more.
I made an offer on my current home that was rejected because they had another potential buyer on foot. They came back a month later and wanted to take up the offer, I dropped it 10% and they accepted.
Seems to me that you are in the box seat now, offer less.
It all doesn't matter now what the other offer was, or what your previous offers were. You are no longer interested in $515, if they don't want your new offer then you'll look elsewhere and they can keep searching. All these backroom shady deals seem to constantly come down to agents wanting to squeeze as much as they can using deception.
Even if you offer them the same amount or higher, they will string you along, ask for more money, ask for money earlier than what you can offer, and lie through their teeth with what ever questions you have. Never met a single decent REA. Just offer what you can if you really want the place then let your solicitors do the rest
I won't comment on offer strategies but IMO take emotion out of it. It's not about "haha fuck around and find out". It's about how much you want the property and do you care if you miss it.
You gotta gauge over the phone with the agent what the other offers are (if any) - and call bullshit if required.
If you think you're in the mix, and you have your finance ready, offer a shorter settlement period which would likely be attractive for them but now offer a price below your initial price that you're comfortable with.
Say that your new offer expires 12pm tomorrow (Friday).
Put the pressure back on them.
I say 12pm because they will be thinking whether to hold out to the weekend inspections for any new prospects or accept your quick settlement offer.
If things don't go away, walk away.
Your agent will then scramble to any other parties to counter 😉 or likely persuade the owner to accept it or counter because he's likely not gonna want to hold another inspection on Sat.
The fact that they have come back to you means you have some leverage.
A few things:
Do NOT worry about upsetting the seller or the agent. It's not your job to worry about their feelings.
Any previous offers or price discussions are off the table.
Offer them a choice - a slightly higher price (perhaps 507) with a longer settlement, or a lower price with a shorter settlement (perhaps 497). That way you change the discussion from purely price and tie the price to the terms. If they really need a short settlement then they can pay for it in a lower sale price.
Remember: you can walk away and buy any one of thousands of apartments, they only have the one chance to get it right.
Good luck and keep us updated!
This is actually great for you, use it to your advantage.
Their behaviour tells you they need a quick sale and time is important.
offer 495k and a short settlement
Was the $476k unit an equivalent one to the one you are interested in? Maybe, it is smaller, or not as well placed, less bedrooms, etc.
I would offer the slightly lower amount, don't be surprised if they don't accept it though because they think you will pay more
its the same 2b1b1c, same size and layout. just mine is 4 floors up so that's why I went for this unit even though I knew 476 one was also in the market for the lower range.
I'd say you've got an offer in on another property that's been verbally accepted. Offer your original lower offer and indicate that you need them to accept in 24 hours or you'll be signing the contract with the other offer on (insert date). F*ck them!
Offer what you think it’s worth, lower it if you think you should. (based on the sales of the other unit)
You’re at an advantage now considering the agent and vendor lost time due to the other deal falling through.
Just another thing though is, how much do you love this place? Think about how much you’re willing to fight for it. If you are able to move on, just remember that spring is coming up soon and there would usually be more choices on the market then.
It’s business. Don’t take it personally.
If you still want the property, then make an offer you think is good for you, knowing that you could lose the property to another buyer.
This is so odd to me. You are talking about a rounding error in cost.
Also, more importantly, you should never lose a deal on settlement periods.
Are you negotiating to get a deal done or to win some arbitrary settlement date or 5k that you won’t remember in 3 weeks?
Seriously. This is why people make messes buying houses. Get it done.
How bad do you want it? Some buildings for the right apartment I'd go all in. Others... if the place isn't somewhere you could imagine yourself living in for a very substantial amount of time then I'd still make an offer but definitely drop it if you don't mind missing out. I'd probably aim for an offer at $490k because they screwed you around, they'd probably bite at $502k if you went to negotiations.
You hold all the cards.
Vendor is holding a unit that is getting stale, with a sale/listing history that is likely to put off other potential buyers who will assume something is wrong with the property.
Make it easy for them to quickly accept your offer. Make it reasonable - they’ll know what all the previous offers are and the REA should advise them of competing properties - so go as low as you think is reasonable. Offer 48 hours to accept. Tell them with the way things have been handled so far you don’t want to hear counteroffer, just a straight no or a signed contract for you to accept.
We pulled out once during the cooling off period (had some bad accounting advice at the time). 3 months later the property was still there, and we’d sorted out our accounts, so put in another offer $25k less than our original, but offered to waive the cooling off period in case they were scared we’d pull out again. That got the deal over the line.
You need to stick with your price and now is the opportunity to offer the same or below recent sale in that apartment so If it was me then I only offer $470k
Offer what you think it's worth, even if that's less than your original offer. Give them a time limit, and walk away if they say they want more. You'll find another place if you don't get it
I have a friend that is a real estate agent, he’s really good at it. If I watched him put an egg in a box, then asked what was in the box? I think he would have a very hard time telling me about he egg.
He a great guy friendly, comes across as full of fun but I wouldn’t trust him to tell me it straight ever.
With the above scenario all you really know is that they lead you on for a bit and then rejected the offer.
It doesn’t sound like you are sure your last offer was reasonable to pay as another similar property just sold for $476 while your offer was $515.
If it were me and I wanted to continue to try and purchase the property I would go and secure finance first and then re offer much closer to the recent sale value of similar properties.
You can always go up if you like but negotiations early go down.
Make offers subject to favourable surveys and finances as the other offer may have fallen though due to a survey showing expensive remedial work, flooding or a new roof for the apartments costing the home owners vast amounts in the near future.
Your offer of $515k was at that time and your terms which was accepted, then sidelined by another offer without the REA even having the guts to call you and say "by the way..."
I would offer $495k and see what they say (as per other suggestions).
You've got another recent sale in what would be a more desirable floor (to some - higher, less street noise, view), this is generally higher not lower than the unit you are considering.
If finance fell over for the other party, then it's sending you a signal - it's overpriced. The valuer will come back with the most recent sales as the comparable at $478, so your finance will fail too.
Put a lower offer back on the table, same settlement date (assuming that you can meet the shorter timeframe) and a Sunday afternoon deadline. Be prepared to walk away.
The situation has changed since you gave your original offer. Search what the expectation for the next interest rate decision is (spoiler: rate rise expected).
You should factor that before offering anything higher. $495K today is going to cost you a similar amount to $507K if everything went forward as usual a month ago. That's a hyperbole, but the gist is the same. And similarly, the cost for the current owner holding it is going up assuming they have a mortgage.
Sounds like they are pressing to sell and settle sooner from what you’ve said. I would use that to your advantage and offer $500k with the shortest settlement period that your bank can confirm. I think any less than $500k their pride will be activated. Don’t believe a word that the agent says. You can also request they put the other offer in writing.
It really depends how much you want it. Don't get caught up in ego games or hurt feelings like people on here are suggesting. Your new home is more important
There’s something wrong with the building that caused the other buyer to walk away and that they thought you’d figure out in the long settlement. Ask for the minutes of the last strata meeting, Google the address in the minutes of the last few council meetings, look up listing at your state administrative tribunal… something is fishy.
Don’t buy an apartment where you are hit with mega strata fees that keep going up - you may as well pay rent! I have a lovely 3x2 house, low maintenance, close to transport and in a beautiful area - come buy my house 😃
**DID THE** other apartment sell for less because that owner was nervous about something that might come out about the construction or integrity of the building? With all the dramas around building standards of apartment blocks, if it's a new-ish one you might want to dig a bit deeper into this.
Also - this might be a chance to check if the body corporate is involved in anything that you may not be aware of. Are they currently planning to hit all owners and tenants with a charge for works needed on the building? Are they in litigation with anyone, and there's a risk of legal fees or costs coming back to the apartment owners? This kind of stuff.
Maybe they played you anyway you look at it, lowball them, but but a very short low conditional offer in and say the other place is amazing but price comparison this is not as amazing however the monies you’ll save without go on hobby holiday wedding, so take it or leave it
Why Real Estate agents are even a thing leaves my mind boggling. This is the age of the internet, global databases, instant payments from a device. Why on earth do we need these vultures.
Offer 480k take it or leave it ... 😎
Most agents are wanting to move property at any price ATM. Property values are falling and another few interest rate rises are just around the corner...
The agent just wants to get the deal done. Same token, you’ve got the leverage of the owners have plans to move. I’d offer lower and just say it is the new price and leave it on the table for a week. If you really want you can go up but given they accepted a lower price I’m sure they’ll be open particularly if you can reduce the settlement term. Be like it’s 488 but 4 week settlement now.
I'm not an expert but I'm not sure it is legal for them to accept another offer after accepting yours. Check your local laws and if this the case, make a much lower (eg 495 as below) and inform them you will report them if they don't accept.
Report the agent for dishonesty, I never talk to a realestate agent more than I have to in person.
my sister in-law is an agent and she tells stories that make the hair on your neck stand up. Most are the worst human beings alive. they never face any repercussions unless it's serious crime, even then.
One story she had a girl she worked with stole info from rentals "100 points of ID" She pulled large loans, but then it got sinister profiling Tennant's homes, she handed this over to her methed out shotgun weilding bf for home invasions 😳 that agent got probation, "claimed DV" bf got 10 to 15, but she got banned for 5 years! licence got returned and they're employed as an agent again, still a crack head in a suit.
I get them to follow up any necessary in person conversation with an email. get them strait after anything that raises your eye brow. Let them go for a bit so they think your silly, feed it into chatgpt, figure out what laws they broke then get AI to lay down the laws dot pointed in an email, what departments you'll report to. Most either double down on their self destruction or become ball gobbling level helpful.
1. Ask your Pre approval letter from bank.
2. Apply for full loan from bank or broker so that it will shorten the settlement period.
More you be prepared and ready there is high likely your offer will be accepted.
Unfortunately, market is tough these days and you will find real estate agents are making most of it.
You negotiate if another unit sold for 476, assuming the same layout and size.
I would only start at 490k. Even possibly less, it matters not what you offered last time. What matters is how keen they are to sell and if any other buyers are about.
It really hinges on the market, the property, and how keen the vendors are to sell. If they accepted a lower offer, then u already know what they will accept. Your only risk is other buyers, just make sure you chase up the REA if he stops responding, it means there is another buyer around.
Loss aversion for the vendors - Humans hate losing things more then winning things. The vendors have just lost a deal they thought was in the bag.
Offer what ever you want, vendors will be more likely to take a worse offer now to avoid their ‘loss’.
Uhhh just low ball them? The vendor already has the other purchasers deposit in their pocket. They are anywhere from 25-50k ahead in their sale.
Offer them 490k and a short settlement(3-4weeks)
Oh shit yeah forgot about that.. would still stick to the same strategy either way.. the ball is in OP court. My biggest rule of thumb is to always be ready to walk. If OP really wants it, just negotiate..
I feel the agent will push for your price either way. The agent doesn’t want to spend more time on a drawn out campaign. They would definitely prefer to spend the time on new listings and easier sales. The vendor is also out of pocket in terms of time and possibly interest and opportunity cost. (Obviously this is dependant on what they actually plan to do with the money )
In the U.S. buyers have their own agents who only work for their client. It's too bad you don't have your own agent to see the truth about the $476k unit.
Don't let them bully you, go in much lower than your original offer, tell them finance secured and offer is valid for 24hrs, then be prepared to walk away, likely they will leave it to the last minute or ignore but there are plenty of apartments on the market and many more coming with the increase in state taxes on investment properties
Offer 495, time limit on your offer (2 days). If they walk away then they can try for more.
If you really really really want it and it ticks all your boxes, you could offer 508, same settlement. Essentially saying sure, I’ll ‘play ball’ but this is as high as I’m going.
Good luck.
low ball them to hell, with whatever terms you feel like and they have 48hrs to accept or decline only, no counters, accept offer only as you're offering on a new property after a second inspection which is superior in every way
Just because you can afford 515k doesn't mean you have to pay it, especially if the unit isn't worth it. You don't owe them more money because you don't want to make it weird. They made it weird! These pricks actively fucked you around. They played their hand and they lost. Now you play yours.
Did you sign anything stating your offer was value for x period?
If they can fuck you around with offers you can too. Offer $495k for being fucked around. And if they balk at it you say "no worries, ill keep looking. Have a nice day" and hang up.
That was my offer BEFORE you fucked me around, accepting then rescinding. Probably on the basis of a fake offer. Since then we had a terrible CPI announcement and fixed rate mortgages are up 25-30 points. They should have accepted the price before our borrowing costs (and those of every other buyer) jumped.
I've bought three properties in the last few years where I've withdrawn my offer and then offered *less* because the agent pissed me about.
I got all three properties.
If I make an offer and they then turn around and say "Well we actually want 100k more" then they should have advertised it at that. So I pulled my offer then offered 50k less. Refused to negotiate. Take it or leave it but at midnight tonight I'm withdrawing this one too.
Play stupid games, win stupid prizes.
It did help that the agent had mentioned that they were desperate to sell as they'd already had to pay for not completing on their next house....
The REA has represented that there was an offer for $525k, ask to see that offer as it must be in writing to represent that position. If they cannot produce the offer then it would be likely that they are engaging in misleading and deceptive conduct.
99% the seller is an overseas investor and they've been smashed by the land tax. Whatever apartments were selling for last year is irrelevant, if the tax office values it around $500K the investor owes them $20K by the end of the month. If you offer a shorter settlement you should be able to lower your offer to under $500K.
Go in at $465k and tell them your situation has changed.
Insist the agent presents it, also mention your have been looking around and have book marked another apartment to go for if this doesn’t go through. Look up another apartment and be ready with info to play the game. Agents play you, you must play them.
Also there is a reason why the other offer fell over, probably because they had to get the apartment valued and the bank valuer saw the other property has just sold for $476K.
The vendor will be sweating now and the agent will be using that sale price to prepare his vendor for lower than they want or expect.
Fuck them, offer 495, the offer expires in 48hrs with whatever terms you need. If they say no walk away.
This is the art of negotiation.
Also walk away.. after you fuck them.
Maintain eye contact
Spit in his mouth.
Spit on that thang.
Hawk Tuah
Off topic, but your profile picture just drove me mad for 30 or so seconds. Well played
Same here!
Always be prepared to walk
[удалено]
Rubbish. They should offer what they think the property is worth, if the current owner doesn't want to accept it then that's that. Based on the fact they previously accepted a lower offer to get a fast settlement indicates that time is more important than the amount of money. If a similar property sold around the same time for a lot less then that indicates the original price was higher than their previous offer. People need to stop offering high values because that's what they think they need to offer and start offering what they think a property is actually worth to them.
They did. It wasn’t accepted but now the advice is to go lower than their prior bids. Trying now to rebase a bid around a comp when OP has already gone higher is nuts. The vendor is clear about what they are willing to pay. People on this sub need to stop suggesting stupid lowball tactics that are ultimatums not negotiations.
It's not low-ball, the vendor/agent's actions just revealed that OP's initial offer is the highball.
OP offered 515K and was unsuccessful. Then OP says there are two versions of what the offer in front of them was, one slightly lower, one at 525K. Even if that blurriness is dismissed,what do you think a Vendor in a good sellers market is going to think of OP coming in 20K lower than their last (unsuccessful) offer? Putting a short deadline on a significantly lower offer (again suggested by multiple people) makes even less sense. OP should ever move on elsewhere, or put in an offer similar to their initial actual bids. Else just wasting time.
The seller is in a weaker position now, though. It's a stale listing and people will have noticed a sale fell through and be more reluctant. Well worth coming in lower than before!
That's it. The knife cuts both ways, bucko.
Who cares. Offer less for the fuck around. The best offer is statistically the first at the first open home. The longer a property doesn't sell the lower the price usually. Offering more now is retarded especially when a comparable sale in the same time frame in the same complex is less. How to not overpay 101
But ultimatums can be a useful negotiation tactic. OP can offer lower since the vendor’s previous buyer fell through. The old FAFO has come back to bite them.
Only if the vendor has to sell.
That irrelevant. You talk about negotiating but think not offering what you think the vendor wants is a waste of time. If the vendor has options it only wastes 5 minutes of the real estate agents time if the vendor doesn't have options then you get it at the market price. I don't know any real estate agent for who 5 minutes of their time is worth $20k+ of my money.
They were complaining about the long settlement and now you think they're suddenly not desperate for a fast sale?
Are you suggesting that because you offered a particular amount 6 weeks ago and was rejected for a lower offer with short settlement that you have no right to offer a different amount later on despite the market price obviously dropping? And YES starting with a lowball is a negotiation tactic, they are still allowed to counter offer. Offering well above what you think a property is worth isn't negotiation, it's the stupidity that has led to much of the stupid prices rises over the last 20+ years.
You should re-read OPs story. It isn’t clear the offer was lower, both from OPs confusion about the “slightly shorter settlement” plus the later agent claiming it was higher. Your last paragraph makes it clear though your position is based on unhappiness about housing prices being higher, rather than looking to give the OP specific advice.
He stated the agent told him it was lower but had a shorter period. And no, offering more money that you think something is worth is stupid and bad advice. Prices for all things are set at the margins. In an auction it's only the margin between last 2 people bidding that sets the price. If it hasn't met the reserve the vendor is the top price as they are the top bidder effectively. The fact you think that going on offering higher prices just to secure the property is good advice shows your clueless about negotiating. I bought my first house for $295k after they turned an offer of $360k down 3 months before. The market had cooled and now property wasn't selling. I could have afforded to pay $400k but it wasn't worth that. If I followed your stupid advice I would have offered $360k because that's the best offer they had got previously. Just stupid advice.
So you still missed the bit about OP being confused by being gazumped by a supposedly smaller offer with a very similar settlement - but then the agent claimed later the offer was higher (which to a rational person makes sense.) Clearly offering more than you think something is worth is stupid Going back as under bidder on your own recent offer is very unlikely to work, that is the actual poor advice. But given you still haven’t even read the initial background properly I’m not surprised you haven’t comprehended what I’ve said.
I did read it. I just don't get the same version of things you do. You assume the agent told him the offer was higher after having lied to him about it being lower previously. Which makes more sense? Lying by Telling him his offer was rejected by a lower offer with a shorter settlement when the agent has nothing to gain from the deception. OR Lying about the offer being higher when the offer had fallen through when he had the potential to get a higher price if OP fell for it. Somehow you think you're the more rational person because you think the change In story when the agent has suddenly got to try and sell is the one that is truthful and makes sense. A rational person knows a real estate agent will tell you anything to get a higher price if they think they can. I comprehended what you said and it's stupid advice based on poor logic. Previous offers made are irrelevant, situation has changed. You don't seem to understand what a negotiation is. You offer a low price they counter offer, you rIse yours they come down etc... that's negotiation. A low ball price as you call it is perfectly normal and fine. Offering the same price you previously offered when they clearly accepted a lower offer previously is dumb. Not lowering your bid after time has passed and the market has cooled is also dumb.
The agent was lying once the accepted offer fell through. He thought the low offer would be the one that got the apartment, so he wasn’t real concerned. When it fell through, he knew he screwed up. So, now he is trying to cover himself and telling OP the offer they accepted was higher, hoping he will bid in the 525 range. It was a breach of contract for him to tell the buyer what someone else’s bid was. Now, OP can offer lower and stands a good chance of getting the apartment at a much better price. If the seller finds out, there can be legal repercussions for the agent and the broker. You obviously don’t have much experience buying property.
If you're not embarrassed by your first offer... its too high.... do you know nothing.....
The level of stupidity in this thread is beyond belief. If OP actually wants the unit then they will negotiate. Putting in an “embarrassing” offer having already bid against themselves at a much higher level for the same property is nuts. But this thread makes it easy to understand why a lot of people make bad financial decisions and are unsuccessful career wise. All emotion, no thinking.
>The level of stupidity in this thread is beyond belief. Wow! You became self-aware incredibly quickly...
Just recognise the market has come back & although predictions are a 5% rise next year, interest rates are on hold & every month while they remain high, more are forced to sell & over the next 12 months this will accelerate.
That’s a bit so what. Sure, some people will be forced to sell by affordability, but there are a lot of buyers out there, especially with the rental market so tight, and many people (rightly or not) are scared they won’t be able to afford a house house if they don’t get in now.
Interest rates aren't high. Yes they are higher than the lows of recent years but they are probably around where they need to be long term.
Exactly this. Never worry about agent's feelings, they don't have any.
They're not humans, they can't.
I'd be offering 477, because the other apartment sold for 476. But also fuck the agent. If there's a way to contact the owner directly with the offer that would be better... agent is playing games by not telling you they accepted another offer.
Sun Su entered the chat.
Sun Tahzoo!
After 48 hours, it goes down to 490k for the next 24 hours, then 5k every 24 hours after that.
495K and your finance is good to go, I'd just walk if they don't accept.
Yep, the OP needs to be much firmer. The market is flat. They are being used as a backup. I'd be going in pretty low. The seller will be wanting to move the unit and the agent will be wanting their commission
They also seem to need the money asap if they are taking a hit of 5 or 10k to get it done a few weeks early
Ding, ding, ding, we have a winner. They really need to unload the property, but not necessarily the money.
Absolutely this, you gave him a higher amount, they went with another but on a lower bid, now the consequences for that is a lower bid by you with a brief time period. The balls in his court
Then offer $476k. 🤣
Even 495 is generous.
This
I agree your ball park
This ⬆️⬆️⬆️
This, also just get a Corelogic report from your mortgage broker. Should give you a good idea of what's a reasonable offer.
its 520K on the corelogic
Yup - give them the blowtorch
Absolutely, the owner fucked around, now they find out.
This is the way.
Why so high? Why did the other unit sell at $476000? Is it the same as yours? Because if it is why are you thinking of offering $30000+ more? Units are the easiest to value because you have direct market comparison.
mine is 4 floors up so slightly a better view, otherwise the same 2b1b1c. i feel that this is uncommonly low for the building, core logic value is 520k for my unit. and usually sold for 500\~540k in last 2 years
All the cards are in your hand. Offer $488 K — tell the Agent it is your Lucky number, and you have finance and are ready to go. Be Patient and remember prices for flats in high rise buildings are going down, down, down… and plenty more where this one came from. And perhaps put a deadline of 7 days on your offer…cos there is another flat just around the corner...
Really? Unit prices are going down? I was under the impression *all* property prices in Aus were still heading north?
Unit prices spiked in 2018/2019 but since fucked off south and barely recovered to the same point. So many units bought 5 years ago are selling at a loss.
Anything with real land value Yes. A flat in a multi rise huge building tends to cost more money to repair and update the older it gets, and does go up in value proportionate to the tiny portion of the small footprint of land it stands on. But very slowly, unless driven up in price by overzealous, panicking buyers who don’t know how to keep their cards to themselves and the value of their hard earned money.
The typical ballpark is 10k per level, though obviously this number can be higher or lower. I wouldn't be surprised if the other offers the RE mentioned were all fake ploys to try to get you to raise your price. Maybe you don't want to annoy the RE or owner and stick to $515k which isn't an unreasonable price for 4 floors up, or you may want to try a lower offer, up to you, given the RE shot themselves in the foot, and you already "know" they accept $515k, making it easier for you to offer a lower amount.
In some (all?) states it's illegal for a real estate agent to lie about the existence of other offers. I'm not saying they don't do it, but if they ever get caught out on it then they could get into big trouble. Most of the time the agent will suggest "strong interest" from other parties because that's not technically a lie.
Mate I KNOW some REs make shit up. Some people I know told me that their RE made up a bid when they were selling their properties to induce higher bids - they weren't going to sell below a certain price, and their RE deliberately made up some bids to get the buyer over the seller's price line.
I have seen this happen first hand, twice.
Lots of units are selling lower. Especially if it's a new build and you'll be the 2nd owner
Did you inspect the one downstairs? Might have some differences maybe? Aircon, renovations, the positions of windows (north facing usually is more sought after)
i did inspect that one, exactly the same but the level. also this one was still owner-occupied if that's a thing. The aircon was installed but mine is not
Totally agree !!
I had an agent string me along like this for a week. We offered over 900k on a house. The realtor said they just wanted one more open house but would probably take our offer. So we went to one more open house as well and found our dream home. They ended up selling for 875 after several weeks on the market. Think long and hard. You hold the cards right now.
Same thing happened with me. Asked them what they wanted. 920k. Offered it. They strung us along for a week. Went looking at other houses. Found another one we liked that was 100k cheaper. We bought it. Agent called me to see if i was still interested 3 weeks later. Was a good laugh. They ended up selling it 2 months later for 865k. Love hearing these stories.
It's not the agent. The agent doesn't want any more viewings, he wants to get the sale done and move on. It's reluctant vendors.
The agent was the vendors daughter. She cost her parents 55k.
Hahahahahaha ok. Agents tell vendors they can get more all the time. Never take the first offer etc
OK, it's not ALWAYs the agent. I know cases where the vendor has just refused to listen to the agent and insisted they could get more. Many cases.
Oh yeah some vendors are so unrealistic. But real estate agents get business by sprouting off “I can sell your property for a premium” bullshit
Do they?
my experience with cars and a single home i sold was first offer is the best offer.
Similar here. Offered 825 on a property we liked and thought that a very fair price. Seemed like they were going to accept but wanted one more open home. Umm-ed and ahh-ed and magically an offer of 860 came along at the open home, did we want to *match* it because the vendors liked the sound of us. We said take the $860k and run as we thought that was overpriced. 2 weeks later the agent came tail between legs and begged us to give our initial offer again as it had all fallen through apparently. We'd cooled a bit on the location so said no thanks. 2 months later it sold for 825. The house we did end up buying initially had an offer at $850k, but the vendor took so long to respond the buyers moved on. We offered 810k with a 24hr deadline. That passed so I told the agent we were about to make an offer on another property and his vendor was going to miss out again (she hadn't responded to him at all), that kicked her into gear and the agent sent through a sales advice at 9.30pm to close the deal. Corelogic has the value at 840, and all comparables are in that range, so we got a good deal because vendors/agents had played games and lost.
I did a similar thing. Open house, REA was aggressive with 3 parties, we made a verbal offer. Had Buyers remorse, rescinded in writing within 24 hours. House sat for three weeks on market, we kept looking. Came back 3 weeks later and offered 15k less (within our budget). REA was nasty AF, but we pressed them to pass along the offer to the owner within 3 days or we’d walk. Worked out for us in the end.
When you make an offer like that, how long is it generally good for? If you offer what they’re asking and then go buy something else can they say that you said you’d buy theirs already? I know it’s all verbal, but is there a general time period for these kinds of things?
Time period is fuck em.
I love a story like this!
Question is how badly do you want /like the apartment? How would you feel if they rejected your 507k? Personally I would not go above 515k because they've been messing around with you, stringing you along, and it sounds like they're being dishonest about other offers. If you're willing to walk, then just offer the 507k (your original offer) with short expiry time, but be prepared they might reject you because they know you've offered higher previously. If they reject, walk for good and look for someone who's actually willing to sell rather than play stupid games. If you really really do love the apartment, offer the 515k as being your best and final offer to match your previous, but I'd still resist any attempt to make you go higher since clearly they have no other buyer right now.
i quite liked the apt, ive been too many inspections and that one was the only one I wanted to try. but I understand this might be overpriced for the current market. i don't want to pay too much and also don't want to piss them off
Don’t worry about pissing them off. They have tried to fuck you over already. Don’t kiss their ass for it and overpay.
Don’t have an emotional attachment to people that don’t have one to you. It shows you have great empathy and aware of your own presentation of yourself to others. But don’t let that be an attribute you feel you need to show in the purchase of one of the biggest things you’ll purchase in your life.
This sentiment is so well put. Sometimes a little less concern about what someone else might be thinking can go a long way.
This. In the long run what’s more important, you teaching an agent a lesson now or buying the home you want and spending many happy years there. You have the information the owners are happy to take your original offer and longer settlement and you are first in line to get it if you want. Don’t stoop to their level of playing games to save a small amount of money and risk dragging this on a loosing out (unless you have reservations about wanting the home now). Forget the shitty management of the agent, buy your home and celebrate!
You put what you want and you tell the agent that it is not up to him/her to decide. That's for owner to decide.
You have a strong point to negotiate here.
I would put a new offer in, in writing, same settlement that you previously wanted before and give them a short timeframe, like 48 hours. If they ask for an extension for another viewing, I’d say no. Be willing to walk away. I’d make a lower offer than you did before, some people suggesting a low offer due to the other unit. You need to decide how badly you want it and what you’re willing to pay (how good is the view). At this stage I wouldn’t counter if they come back. Maybe I’d ask them to give a figure but I wouldn’t raise my own offer.
This. Agents will game you. Just dont play. The other offer may not have got finance if bank valuation came in below offer (a bigger risk in apartments). Which it might have if the other sale price was that low. They WILL try back and forward cos they KNOW you can pay more now. Vendor likely to dig their heels in but IF your offer is best they NOW get they will take it eventually. But your best weapon in this game is fully being prepared to walk.
Put the address in https://www.propertyvalue.com.au/ Sometimes under offer are listed as a sale price there. Stand your ground and definitely do not offer more. You know they were willing to accept 515k, you can't give a cent more.
thank you, unfortunately its not up here but I will check this again in case they update
You should put in an offer you feel good about. Or don't if there isn't one.
I made an offer on my current home that was rejected because they had another potential buyer on foot. They came back a month later and wanted to take up the offer, I dropped it 10% and they accepted. Seems to me that you are in the box seat now, offer less.
It all doesn't matter now what the other offer was, or what your previous offers were. You are no longer interested in $515, if they don't want your new offer then you'll look elsewhere and they can keep searching. All these backroom shady deals seem to constantly come down to agents wanting to squeeze as much as they can using deception.
Fuck the slimy agent. Your terms, your timeframe. If you don’t get it move on. Don’t get emotionally attached.
Even if you offer them the same amount or higher, they will string you along, ask for more money, ask for money earlier than what you can offer, and lie through their teeth with what ever questions you have. Never met a single decent REA. Just offer what you can if you really want the place then let your solicitors do the rest
I won't comment on offer strategies but IMO take emotion out of it. It's not about "haha fuck around and find out". It's about how much you want the property and do you care if you miss it.
You gotta gauge over the phone with the agent what the other offers are (if any) - and call bullshit if required. If you think you're in the mix, and you have your finance ready, offer a shorter settlement period which would likely be attractive for them but now offer a price below your initial price that you're comfortable with. Say that your new offer expires 12pm tomorrow (Friday). Put the pressure back on them. I say 12pm because they will be thinking whether to hold out to the weekend inspections for any new prospects or accept your quick settlement offer. If things don't go away, walk away. Your agent will then scramble to any other parties to counter 😉 or likely persuade the owner to accept it or counter because he's likely not gonna want to hold another inspection on Sat. The fact that they have come back to you means you have some leverage.
I walk from the deal, there is more out there
A few things: Do NOT worry about upsetting the seller or the agent. It's not your job to worry about their feelings. Any previous offers or price discussions are off the table. Offer them a choice - a slightly higher price (perhaps 507) with a longer settlement, or a lower price with a shorter settlement (perhaps 497). That way you change the discussion from purely price and tie the price to the terms. If they really need a short settlement then they can pay for it in a lower sale price. Remember: you can walk away and buy any one of thousands of apartments, they only have the one chance to get it right. Good luck and keep us updated!
500 max. 48 hour expiry.
This is actually great for you, use it to your advantage. Their behaviour tells you they need a quick sale and time is important. offer 495k and a short settlement
Was the $476k unit an equivalent one to the one you are interested in? Maybe, it is smaller, or not as well placed, less bedrooms, etc. I would offer the slightly lower amount, don't be surprised if they don't accept it though because they think you will pay more
its the same 2b1b1c, same size and layout. just mine is 4 floors up so that's why I went for this unit even though I knew 476 one was also in the market for the lower range.
OP is your offer conditional on finance?
Tell then you discovered you couldn't secure the loan hence why your offer is reduced
Or tell them your offer is lower because that’s the cost of playing games, keep playing and I drop it further.
This agent is playing you like a piano Find a different apartment to buy if they will not accept what you are prepared to pay for it.
I'd say you've got an offer in on another property that's been verbally accepted. Offer your original lower offer and indicate that you need them to accept in 24 hours or you'll be signing the contract with the other offer on (insert date). F*ck them!
Offer what you think it’s worth, lower it if you think you should. (based on the sales of the other unit) You’re at an advantage now considering the agent and vendor lost time due to the other deal falling through. Just another thing though is, how much do you love this place? Think about how much you’re willing to fight for it. If you are able to move on, just remember that spring is coming up soon and there would usually be more choices on the market then.
It’s business. Don’t take it personally. If you still want the property, then make an offer you think is good for you, knowing that you could lose the property to another buyer.
This is so odd to me. You are talking about a rounding error in cost. Also, more importantly, you should never lose a deal on settlement periods. Are you negotiating to get a deal done or to win some arbitrary settlement date or 5k that you won’t remember in 3 weeks? Seriously. This is why people make messes buying houses. Get it done.
Fuck his dad
$495k max
How bad do you want it? Some buildings for the right apartment I'd go all in. Others... if the place isn't somewhere you could imagine yourself living in for a very substantial amount of time then I'd still make an offer but definitely drop it if you don't mind missing out. I'd probably aim for an offer at $490k because they screwed you around, they'd probably bite at $502k if you went to negotiations.
You hold all the cards. Vendor is holding a unit that is getting stale, with a sale/listing history that is likely to put off other potential buyers who will assume something is wrong with the property. Make it easy for them to quickly accept your offer. Make it reasonable - they’ll know what all the previous offers are and the REA should advise them of competing properties - so go as low as you think is reasonable. Offer 48 hours to accept. Tell them with the way things have been handled so far you don’t want to hear counteroffer, just a straight no or a signed contract for you to accept.
Move on, there are plenty of other apartments.... These are all cookie cutting concrete boxes....
Its worth what the market (you) is prepared to pay. Id stay low, owner is prob getting frustrated at this point
We pulled out once during the cooling off period (had some bad accounting advice at the time). 3 months later the property was still there, and we’d sorted out our accounts, so put in another offer $25k less than our original, but offered to waive the cooling off period in case they were scared we’d pull out again. That got the deal over the line.
I would offer less and bump that agent. There is a comp for way less.
You need to stick with your price and now is the opportunity to offer the same or below recent sale in that apartment so If it was me then I only offer $470k
Offer what you think it's worth, even if that's less than your original offer. Give them a time limit, and walk away if they say they want more. You'll find another place if you don't get it
I have a friend that is a real estate agent, he’s really good at it. If I watched him put an egg in a box, then asked what was in the box? I think he would have a very hard time telling me about he egg. He a great guy friendly, comes across as full of fun but I wouldn’t trust him to tell me it straight ever. With the above scenario all you really know is that they lead you on for a bit and then rejected the offer. It doesn’t sound like you are sure your last offer was reasonable to pay as another similar property just sold for $476 while your offer was $515. If it were me and I wanted to continue to try and purchase the property I would go and secure finance first and then re offer much closer to the recent sale value of similar properties. You can always go up if you like but negotiations early go down. Make offers subject to favourable surveys and finances as the other offer may have fallen though due to a survey showing expensive remedial work, flooding or a new roof for the apartments costing the home owners vast amounts in the near future.
Your offer of $515k was at that time and your terms which was accepted, then sidelined by another offer without the REA even having the guts to call you and say "by the way..." I would offer $495k and see what they say (as per other suggestions).
You've got another recent sale in what would be a more desirable floor (to some - higher, less street noise, view), this is generally higher not lower than the unit you are considering. If finance fell over for the other party, then it's sending you a signal - it's overpriced. The valuer will come back with the most recent sales as the comparable at $478, so your finance will fail too. Put a lower offer back on the table, same settlement date (assuming that you can meet the shorter timeframe) and a Sunday afternoon deadline. Be prepared to walk away.
Offer what you want, they will accept what they want. If you both agree you have a deal otherwise move on.
If the comp is $476 why would you offer 500k?
Hit them with a lower offer, and insist that the agent presents it. Email him to ensure there’s a trail of your offer.
Was the other unit that was sold for 476k similar to this one you are buying? Look you have the upper hand now, offer below 500k.
The situation has changed since you gave your original offer. Search what the expectation for the next interest rate decision is (spoiler: rate rise expected). You should factor that before offering anything higher. $495K today is going to cost you a similar amount to $507K if everything went forward as usual a month ago. That's a hyperbole, but the gist is the same. And similarly, the cost for the current owner holding it is going up assuming they have a mortgage.
I would offer them less. What do you lose? They already said no.
Sounds like they are pressing to sell and settle sooner from what you’ve said. I would use that to your advantage and offer $500k with the shortest settlement period that your bank can confirm. I think any less than $500k their pride will be activated. Don’t believe a word that the agent says. You can also request they put the other offer in writing.
It really depends how much you want it. Don't get caught up in ego games or hurt feelings like people on here are suggesting. Your new home is more important
There’s something wrong with the building that caused the other buyer to walk away and that they thought you’d figure out in the long settlement. Ask for the minutes of the last strata meeting, Google the address in the minutes of the last few council meetings, look up listing at your state administrative tribunal… something is fishy.
$465k offer
Don’t buy an apartment where you are hit with mega strata fees that keep going up - you may as well pay rent! I have a lovely 3x2 house, low maintenance, close to transport and in a beautiful area - come buy my house 😃
**DID THE** other apartment sell for less because that owner was nervous about something that might come out about the construction or integrity of the building? With all the dramas around building standards of apartment blocks, if it's a new-ish one you might want to dig a bit deeper into this. Also - this might be a chance to check if the body corporate is involved in anything that you may not be aware of. Are they currently planning to hit all owners and tenants with a charge for works needed on the building? Are they in litigation with anyone, and there's a risk of legal fees or costs coming back to the apartment owners? This kind of stuff.
Maybe they played you anyway you look at it, lowball them, but but a very short low conditional offer in and say the other place is amazing but price comparison this is not as amazing however the monies you’ll save without go on hobby holiday wedding, so take it or leave it
Why Real Estate agents are even a thing leaves my mind boggling. This is the age of the internet, global databases, instant payments from a device. Why on earth do we need these vultures.
Look elsewhere, their loss.
Offer 480k take it or leave it ... 😎 Most agents are wanting to move property at any price ATM. Property values are falling and another few interest rate rises are just around the corner...
Keep us posted OP!
The agent just wants to get the deal done. Same token, you’ve got the leverage of the owners have plans to move. I’d offer lower and just say it is the new price and leave it on the table for a week. If you really want you can go up but given they accepted a lower price I’m sure they’ll be open particularly if you can reduce the settlement term. Be like it’s 488 but 4 week settlement now.
I'm not an expert but I'm not sure it is legal for them to accept another offer after accepting yours. Check your local laws and if this the case, make a much lower (eg 495 as below) and inform them you will report them if they don't accept.
Fuck them agents
Keep in mind “the cost of missing out”. Don’t base it on emotions.
Report the agent for dishonesty, I never talk to a realestate agent more than I have to in person. my sister in-law is an agent and she tells stories that make the hair on your neck stand up. Most are the worst human beings alive. they never face any repercussions unless it's serious crime, even then. One story she had a girl she worked with stole info from rentals "100 points of ID" She pulled large loans, but then it got sinister profiling Tennant's homes, she handed this over to her methed out shotgun weilding bf for home invasions 😳 that agent got probation, "claimed DV" bf got 10 to 15, but she got banned for 5 years! licence got returned and they're employed as an agent again, still a crack head in a suit. I get them to follow up any necessary in person conversation with an email. get them strait after anything that raises your eye brow. Let them go for a bit so they think your silly, feed it into chatgpt, figure out what laws they broke then get AI to lay down the laws dot pointed in an email, what departments you'll report to. Most either double down on their self destruction or become ball gobbling level helpful.
Offer 476k lol
1. Ask your Pre approval letter from bank. 2. Apply for full loan from bank or broker so that it will shorten the settlement period. More you be prepared and ready there is high likely your offer will be accepted. Unfortunately, market is tough these days and you will find real estate agents are making most of it.
If the units sell for 470k then only offer that much..don't join the emotional bidding that is driving prices up
Fuckem find another place - however - just remember on ur next try , time kills deals. U have the stnd 6 week settlement? Or was urs longer?
But something else. I wouldn’t trust the seller nor the owner
Who was the agent and which agency was this?
A counter offer negates the original offer.
Tell em $490 is your final offer.
You negotiate if another unit sold for 476, assuming the same layout and size. I would only start at 490k. Even possibly less, it matters not what you offered last time. What matters is how keen they are to sell and if any other buyers are about. It really hinges on the market, the property, and how keen the vendors are to sell. If they accepted a lower offer, then u already know what they will accept. Your only risk is other buyers, just make sure you chase up the REA if he stops responding, it means there is another buyer around.
Loss aversion for the vendors - Humans hate losing things more then winning things. The vendors have just lost a deal they thought was in the bag. Offer what ever you want, vendors will be more likely to take a worse offer now to avoid their ‘loss’.
Sounds like they have been messing with you. They sound confused, unprofessional and greedy. Don't get into their way :(
You have no power because you are desperate.
Absolutely call their bluff offer 500.
Offer $480k & give them 24hrs to accept or you are walking.
Uhhh just low ball them? The vendor already has the other purchasers deposit in their pocket. They are anywhere from 25-50k ahead in their sale. Offer them 490k and a short settlement(3-4weeks)
Unlikely, a subject to finance clause would have saved the failed buyers deposit
Oh shit yeah forgot about that.. would still stick to the same strategy either way.. the ball is in OP court. My biggest rule of thumb is to always be ready to walk. If OP really wants it, just negotiate.. I feel the agent will push for your price either way. The agent doesn’t want to spend more time on a drawn out campaign. They would definitely prefer to spend the time on new listings and easier sales. The vendor is also out of pocket in terms of time and possibly interest and opportunity cost. (Obviously this is dependant on what they actually plan to do with the money )
yep, ball in definantly on his court . He has all the power right now. it's an ideal situation to get a bargain
In the U.S. buyers have their own agents who only work for their client. It's too bad you don't have your own agent to see the truth about the $476k unit.
Buyers agents exist here but they also cost a fair amount to get so many don’t use them
Don't let them bully you, go in much lower than your original offer, tell them finance secured and offer is valid for 24hrs, then be prepared to walk away, likely they will leave it to the last minute or ignore but there are plenty of apartments on the market and many more coming with the increase in state taxes on investment properties
Offer 495, time limit on your offer (2 days). If they walk away then they can try for more. If you really really really want it and it ticks all your boxes, you could offer 508, same settlement. Essentially saying sure, I’ll ‘play ball’ but this is as high as I’m going. Good luck.
low ball them to hell, with whatever terms you feel like and they have 48hrs to accept or decline only, no counters, accept offer only as you're offering on a new property after a second inspection which is superior in every way
Punish them!
Just because you can afford 515k doesn't mean you have to pay it, especially if the unit isn't worth it. You don't owe them more money because you don't want to make it weird. They made it weird! These pricks actively fucked you around. They played their hand and they lost. Now you play yours.
Did you sign anything stating your offer was value for x period? If they can fuck you around with offers you can too. Offer $495k for being fucked around. And if they balk at it you say "no worries, ill keep looking. Have a nice day" and hang up.
That was my offer BEFORE you fucked me around, accepting then rescinding. Probably on the basis of a fake offer. Since then we had a terrible CPI announcement and fixed rate mortgages are up 25-30 points. They should have accepted the price before our borrowing costs (and those of every other buyer) jumped.
I've bought three properties in the last few years where I've withdrawn my offer and then offered *less* because the agent pissed me about. I got all three properties. If I make an offer and they then turn around and say "Well we actually want 100k more" then they should have advertised it at that. So I pulled my offer then offered 50k less. Refused to negotiate. Take it or leave it but at midnight tonight I'm withdrawing this one too. Play stupid games, win stupid prizes. It did help that the agent had mentioned that they were desperate to sell as they'd already had to pay for not completing on their next house....
The REA has represented that there was an offer for $525k, ask to see that offer as it must be in writing to represent that position. If they cannot produce the offer then it would be likely that they are engaging in misleading and deceptive conduct.
These sellers need to learn the hard way that the first offer is the best offer. Offer 477 final offer
Offer what you can and think it's worth with your requirements on a 24hr period
99% the seller is an overseas investor and they've been smashed by the land tax. Whatever apartments were selling for last year is irrelevant, if the tax office values it around $500K the investor owes them $20K by the end of the month. If you offer a shorter settlement you should be able to lower your offer to under $500K.
Go in at $465k and tell them your situation has changed. Insist the agent presents it, also mention your have been looking around and have book marked another apartment to go for if this doesn’t go through. Look up another apartment and be ready with info to play the game. Agents play you, you must play them. Also there is a reason why the other offer fell over, probably because they had to get the apartment valued and the bank valuer saw the other property has just sold for $476K. The vendor will be sweating now and the agent will be using that sale price to prepare his vendor for lower than they want or expect.
Don't forget these weasels are going to be your landlord and REA. Offer the lower amount as weasel tax.
They’re buying an apartment, this is the sellers party OP is dealing with
I think offer the same or less unless it’s the perfect place and you must have it.