In a bidding war and not sure what to do now...

em_cat

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EA for a property of which we've been in a bidding war for the last few weeks has finally come back and given the sale agreed price that he will accept, it is another bidder that put in that figure as I have been waiting so as to not be reactive. The EA is aware we are cash, no chain, not in a hurry and this is an excecuter sale. The other bidder is mortage + cash so my question is this...

The property has gone over 10% of the asking, it doesn't warrant a refurb/flip as in the market doesn't make it financially sound, not why we want it anyway, but it would be a nice little rent property if we need to move in future, but it literally ticks all of my boxes and would put an end to the most stressful few weeks of my life ever!

In order to secure the deal, what should I do now, as in, do I offer the same, no caveats, quick close or should I offer a bit more?

TIA
 

luckystar

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Offer the same. Or less?? You're in a better position. This isn't your forever home. Market is very nervous at the moment. Be very cautious
 

Up Rovers

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They probably were only chancing their arm but when in a bidding war some time ago a few different estate agents told us that cash made no difference to the situation.
 

Palerider

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Match the offer, put a time limit on a reply, tell the agent it is your best and final offer, you are a more attractive buyer as you are all cash.
 

llgon

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has finally come back and given the sale agreed price that he will accept, it is another bidder that put in that figure

I'm a bit confused about your post. Seems strange that if the other bidder has made an offer then the estate agent would not be looking for something more from you. Assuming this is the case though, why are you considering offering more than the sale agreed price he will accept? Has he indicated whose offer will be accepted or could you ask before making your bid?
 

em_cat

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Whilst I’d love to get a better price considering we started the bidding about 12% below asking, my gut is saying to match as well, with a quick close.
 

em_cat

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I'm a bit confused about your post. Seems strange that if the other bidder has made an offer then the estate agent would not be looking for something more from you. Assuming this is the case though, why are you considering offering more than the sale agreed price he will accept? Has he indicated whose offer will be accepted or could you ask before making your bid?
TBH, not sure. Earlier in the bidding process, I tried to match & the EA said it’s not done here. For the last two weeks there have been 3 bidders, I’ve been holding my ground as I felt as though because I’m cash they might be trying one on. But received a voicemail this evening saying one bidder has pulled out and the latest bid is what the sale agreed will go with. So I’m now wondering if they’ll let me match with better terms, as I don’t need to survey, it was sorted a few weeks ago, all our queries have been answered so literally it’s check title/deed, which the executer already has as it’s a solicitor and probate has been granted. I really don’t know.
 

nad

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Whilst I’d love to get a better price considering we started the bidding about 12% below asking, my gut is saying to match as well, with a quick close.
If you think it's the property for you the only day it will seem dear is the day you pay for it.. And hopefully no more stress as regarding purchasing somewhere...... So I think at least match the other offer and hopefully your bid will be accepted .
 

llgon

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If you're only going by a voicemail you should return the EA call tomorrow and hopefully the situation will be clarified for you. Sounds reasonable for you to match the other bid under the circumstances but I would not do this in the same call, take time to think over anything new that has been said.

However, what happens if the other bidder then comes back with a higher bid? You need to ask for a firm commitment this will not happen, although that will not guarantee anything.

Out of interest, why was the survey sorted a few weeks ago?
 

em_cat

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If you're only going by a voicemail you should return the EA call tomorrow and hopefully the situation will be clarified for you. Sounds reasonable for you to match the other bid under the circumstances but I would not do this in the same call, take time to think over anything new that has been said.

However, what happens if the other bidder then comes back with a higher bid? You need to ask for a firm commitment this will not happen, although that will not guarantee anything.

Out of interest, why was the survey sorted a few weeks ago?
My OH is an Architect so I asked and the EA said it was ok for him to go in to get an idea of the build cost as this was a factor in the offers. The place is in need of a complete refurb.

We’ve been discussing our position for last couple of hours. I emailed the agent to let him know I’d be in touch first thing. Just trying to figure it out.
I can say though if this is simply a ploy to get me to go up I’ll withdraw as at this point it is silly money!
 

Leo

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You need to ask for a firm commitment this will not happen, although that will not guarantee anything.
That could not possibly happen, the agent is bound by law to seek the best possible price for their client. You can not demand that they refuse better offers from other bidders.

What you could do is put a very short time limit on your offer, but you risk losing out then.
 

Leo

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Cash is unlikely to be much of an attraction in an executor sale as there is no chain involved at the sellers end
I might play a small role in certain segments of the market where a bank valuation may find an issue, or value a property for less than the sale price. I viewed a property recently that is back on the market with a price drop after a sale fell through due to the bank refusing to release funds, the agent said it happens from time to time.
 

peteb

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If you're only going by a voicemail you should return the EA call tomorrow and hopefully the situation will be clarified for you. Sounds reasonable for you to match the other bid under the circumstances but I would not do this in the same call, take time to think over anything new that has been said.

However, what happens if the other bidder then comes back with a higher bid? You need to ask for a firm commitment this will not happen, although that will not guarantee anything.
Thats not going to happen. I bought a view months ago. I went straight in at 20k over the asking as I wanted the property and the agent had said he reckoned his client would take 410 once discussed. My offer was made on the basis we just closed on that. Someone else came in with 415. And basically we were told whoever hit 420k would get it as per seller. We eventually went to 420k and it was confirmed within the hour.
 

noproblem

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You have nothing to lose (apart from the house) in not answering the estate agents voice mail and see will he contact you. I'd be of the opinion he will, and you then casually tell him you think you've reached your limit and if wants to sell to the other bidder then so be it, but if the other person can't complete to come back to you and do so quickly as you're looking at another couple of places. You'll soon find out where you stand. Otherwise, this scenario you're in could keep dragging on. There's a lot of property out there for sale and it's not jumping off the shelves right now and won't be coming up to Xmas. In other words, I'm telling you to play hardball.
 

em_cat

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The EA email reply to me; "thanks for letting me know, I'll be in the office all morning."
 

em_cat

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Sent a reply to the EA saying I would match, prepared to close quickly. He replied that it is a <snip> policy not to accept matching offers. I don't know what to do now. I did include that it was my best and final offer so I really don't want to undermine myself by going back on my own conditions. I just don't know how to reply to the agent.
 

Leo

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I don't know what to do now.
You only have two choices, walk away or increase the offer even by a small amount. If the agent or vendor don't put any value on how much more quickly you can close the deal, then only by bidding more than the other party will you win.
 

em_cat

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You only have two choices, walk away or increase the offer even by a small amount. If the agent or vendor don't put any value on how much more quickly you can close the deal, then only by bidding more than the other party will you win.
Thats what I figured, but I'm concerned about undermining my self as a bidder and certainly don't want to kick off another bidding war. Should I wait another 24 hours before replying to him?
 
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