Negotiating the Best Deal

If your first offer isn't accepted - don't be afraid to haggle - even if a property is priced realistically, you should expect at least a 5-10% reduction. Cash buyers may be able to negotiate a considerable reduction for a quick sale, and your bargaining position will also be strengthened if you aren't part of a chain.

Developers may offer incentives to buyers of new apartments or houses, such as paying stamp duty and legal fees, free furnishings, such as carpets or kitchen appliances or upgraded fittings, so try to get as much included in the price as possible.

If you make a low offer, it's worthwhile indicating to the vendor a few negative points that will merit a reduction in price - but try not to be too critical, they may feel insulted and refuse to sell it to you! You may be able to negotiate a considerable reduction if there's a lot of work to be done. It may also be useful to obtain an independent valuation - if it's less than a vendor is asking it may encourage them to lower their price.

An offer made in writing (supported with information about funding and legal arrangements), will be taken more seriously than a verbal offer. But before agreeing a price, make sure the terms of your offer are clear - they should include the following:

• A list of fixtures and fittings that are included in the sale
• Any work that needs to be done on the property by the vendor before completion
• The offer being subject to a survey and contract - if the survey brings to light any work that needs doing you may need to renegotiate the price

An offer should also be conditional on the vendor taking the property off the market whilst you obtain a mortgage, have a survey and have your conveyancer conduct searches. You may be able to get them to sign a lock-out agreement, where they will take the property off the market for a period during which contracts are exchanged.