Making 1st offer, while other exists. Time-limit it? Would it prevent me making further offers?

[dystopia]

I'm considering bidding on a property that an agent has told me has an offer by another party currently:
I'm considering offering under the sale price, for various reasons -

A) With my 1st offer, taking it that it will be under sale price -should I time limit any offer, what's considered standard? - or as there's another apparent offer, should I attach no time limit
B) One thing I'm very anxious to be clear on
If I put time-limit on the offer, does that convey to the agent/seller that I won't come back with ANY other offer if they don't accept THAT time-limited offer - thus they won't update me or give a chance after the expiry of my earlier offer?
OR
Would it simply be that it's seen as condition of that particular offer -and that I'm free to come back with other offers at later stage.

C)Agent simply said that there was an offer, never mentioned amount - is it something I can reasonably ask for, do agents provide to prospective bidders? OR do they never provide this, so keeping both bidders in dark even during mutiple bid situation?


Appreciate some clarity on above from those in the know.

 

[Meme80]

Hi Dystopia,

Putting a time limit on an offer is a risky strategy. It can go either way. If you put the time limit on and they accept then great it works out but if they dont accept then you run the risk of the EA and vendors not trustnig you from there on in. If the offer is rejected and you decide to put another offer on you will have lost alot of your bargaining power because of your earlier demands (boy who cried wolf type scenario!)

I would be against the time limit for afew reasons;
1. the fact that it is early in the negotiations. If in 2 weeks time you are still going back and forth in a bidding war then maybe start considering the option of a time limit
2. the fact that you are offering below asking price (you have every right to and this is probably the right strategy but the time limit may not work well for an under asking price offer)

My advice (and this only my advice if I personally was in your situation) would be to have patience. Base your bid on the offer already on the table and go from there and be prepared for afew weeks of negotations. Set your top limit and dont go over it.

Best of luck!

 

[dystopia]

Hi Memo - thanks for reply.

That leads to another question (I've totally new to this, I'm FTB)

I do not know other offer - when I rang to arrange another viewing she simply said "we can do another viewing...btw there is an offer by another party, will you be making an offer?" I replied it's possible after 2nd viewing.

Question:
Should agent have told me the offer amount? - Is it something that people ask for and agents give, prior to me having made any offer as yet?
OR
Does revealing offer amounts work on basis of they will tell you offer amounts once you make one offer yourself?

This is very relevant, as I don't know should I ask prior to making offer, or make an offer and then ask - I planned to ask her at the viewing for some details on other offer (are they FTB, part of chain) but didn't think it was seen as appropriate at any point to ask or be given the other offer's amount??

 

[Meme80]

As far as I am aware and from my own personal experience they are generally upfront with the other bid. If you ask how much the other bid is they will tell you. You can then decide how much above that to go or if its already over your limit to pull out. I dont think many EAs expect blind bids as they are out to drum up a bidding war ideally.

Phone the Estate Agent and tell them you are interested but need to know how much the other bidder has bid. Ask them if the other bidder is also a FTB, ahve they their finance in place, when was the bid put on, what was the reaction of the vendor to that bid etc

Ask them every question you can think of, they are generally up front with answers and the worst that can happen is they say they can tanswer that.