Negotiating how much?

[Dave Hounddriver]

4 minutes ago, bigpearl said:

to offer one third less on a brand new house?

I missed that part.  No one who is building "brand new" houses for sale is going to take 1/3 off the price.

I thought he was looking at "pre-owned" houses as the owner probably bought the house for "X" pesos and over time figured his house had inflated in value to "2X" pesos.  Its a common failing to think one's house is worth way more than it actually is and cash offers tend to bring those unrealistic expectations down to earth.

[bigpearl]

4 minutes ago, Dave Hounddriver said:

I missed that part.  No one who is building "brand new" houses for sale is going to take 1/3 off the price.

I thought he was looking at "pre-owned" houses as the owner probably bought the house for "X" pesos and over time figured his house had inflated in value to "2X" pesos.  Its a common failing to think one's house is worth way more than it actually is and cash offers tend to bring those unrealistic expectations down to earth.

Definitely a world wide misconception Dave. My/our bargains with property were conceived with research and patience, not a gung ho approach "I love this house"! Pay the price as the unwary do. A carefully chosen property 5 or 50 years old reaps dollars for the astute purchaser, ain't going to happen with new developments as they reign in the unwary newbies.

Unfortunate yes but some prefer new. Ego obviously, and then it flows onto the clever buyers down the track. 

Cheers, Steve.

[Snowy79]

1 hour ago, RBM said:

This fascinates me some what, why on earth would you make an offer to somebody trying to sell when as stated you had no intention of buying. if the shoe was on the other foot how would you feel? especially if the vendor was seriously trying to sell for desperate reasons.....I as a vendor would be horribly pi....off

The only way to get a feel for true prices is by doing your homework. As has been highlighted here lots of sellers put crazy prices on their homes waiting for a sucker to come along. I'd been looking at a selection of apartments in the area and the prices in my mind were way too high, but when you see 10 apartments all around the same price you've got to work out if they have all just jumped on the band wagon.

Some people just accept that's the price and pay it. For me I wanted to go in armed with the knowledge that if things don't pan out I've got a fall back plan. I tried my luck with about 4 apartments and all dropped their price. After realizing how far some were prepared to drop I then put in a lower offer than I would usually have put on the apartment that had caught my eye and the seller accepted.

I've used similar tactics in the UK when I bought properties even ones that were at fixed price and have probably saved a good  8m peso on purchases. The one I bought in the Philippines I got for 50% of the price. If someone that's charging a silly amount of money for their property initially gets pi off I can live with that. It's not as if I was offering below the property real value. I was offering a realistic value in my mind.

[Dave Hounddriver]

5 minutes ago, Snowy79 said:

The one I bought in the Philippines I got for 50% of the price.

Thank you.  People tend to look at me like I am an idiot  when I mention that deals like this are available.  So I am pleased to see others speaking up. 

[davewe]

On 11/28/2017 at 10:40 AM, Dave Hounddriver said:

I missed that part.  No one who is building "brand new" houses for sale is going to take 1/3 off the price.

I thought he was looking at "pre-owned" houses as the owner probably bought the house for "X" pesos and over time figured his house had inflated in value to "2X" pesos.  Its a common failing to think one's house is worth way more than it actually is and cash offers tend to bring those unrealistic expectations down to earth.

To make matters more complex how does one define "new house?" Two of the properties I described in my previous post were "new" in the sense that that have not sold. One has been on the market for 3 years and the other for 2. I believe that the first one has had some family living there off and on, while awaiting the sale. The second one, even by the owners admission, no longer looks "brand new". Things rust and age over 2 years, even when the property is not being used. This too can be a big negotiating tool and you might get a property that's almost new for the cost of a used property.

 

[Dr. Shiva]

What to do against totally overrated condo prices? 100k to 150k PHP (and even more) per sqm is outright too much. 100 sqm condos are costing more in the Philippines than in many better standing countries. I know that they are targeting OFW and foreigners, but they forgot that many of them don't have or earn enough money to afford a condo.

I noticed that in the last 3 years condo prices was exploding everywhere with the exception of the NCR area. In that area the condo prices are starting to shrink slowly.

[Jack Peterson]

3 minutes ago, Dr. Shiva said:

In that area the condo prices are starting to shrink slowly.

 Sorry Doc but i Don't see what point you are trying make

[Dr. Shiva]

6 hours ago, Jack Peterson said:

 Sorry Doc but i Don't see what point you are trying make

That the condos in Metro Manila are becoming cheaper than the ones in Cebu or Davao. Ex: some decent condos with 2 BR and a floor area of around 60 sqm are available in Metro Manila for 3M to 5M. In Davao similar condos are starting at 5M and up. Or for a 120 sqm penthouse condo in Metro Manila for 9.8M. In Davao something with comparable costs is more in the 75 to 90 sqm area. 

Interesting that the condo prices especially in Davao are going so strong upward. I seems to get some bigger issues to find a place for us two in Davao in the future.

I'm wondering if condos (and houses) are getting cheaper if they can not sell them over longer times. For houses it seems be possible to haggle them down but with condos?

[Jollygoodfellow]

On 11/28/2017 at 11:41 AM, Dave Hounddriver said:

People tend to look at me like I am an idiot 

Please dont make an example out of me. 

[Old55]

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