Two thirds of homebuyers pay below the asking price

The majority of homebuyers in the UK are more prepared to negotiate on the price of prospective property, according to research by Which? Mortgage Advisers.

The survey of nearly 2,000 asked people who had brought a property in the past 5 years what their first offer was, whether they negotiated further and what was eventually paid.

73% had initially offered below the asking price of their property, while 66% secured their property under the original price.

Those who paid at the asking price or above it gave the following reasons: 

  • trying and guarantee a quick sale (29%)
  • they were advised to do so (12%)
  • they were buying a new-build and the price was non-negotiable.

Market competition was also a common factor in people’s decision making. 45% mention that they paid the full offer due to competing for their ideal home, while 21% said they were involved in a bidding war.

David Blake from Which? Mortgage Advisers, said:

“Having knowledge of the seller’s position and the local market is a good idea and can often help secure the property for less.

“Today’s property market has become incredibly fast paced and so for those requiring mortgages, seeking advice early will put you in a strong position to move quickly.”

Talk to us today about your personal finances.