Tuesday 15 July 2014

Will Sealed Bids Help or Hinder UK Property Purchases?



The Telegraph reports this week that with the UK property market showing signs of the anticipated property boom coming to fruition, sealed bids might be the fairest way forward for prospective buyers.

This fingernail-biting process functions on secrecy. It means that the interested parties write down their offer and hand it over without any knowledge of what other interested parties might be prepared to pay.


What are the upsides for the purchaser?
The highest offer may not be the one that is accepted as the bidder is given the opportunity to provide details of their buying/financial position (speed and solidity of the offer will play a part in the decision-making process).

Your offer should be one that you have carefully considered to be within your reach. Sealed bids should mean that you are making a carefully considered offer that you can afford based on your current circumstances.


What are the downsides for the purchaser?
Sellers don’t like any offers that are “subject to…” so you need to be 100% sure beforehand that you are happy to progress. It is essential that a thorough property survey is carried out prior to the submission of a bid. Do not let the pressure over-rule good judgment and make an offer that hasn’t considered the possible requirement for future construction or maintenance works.

Sealed bids do involve a lot of game-playing. You don't want to act too quickly, nor too late if you are to get the best response.


Dawson Surveyors are property professionals and are therefore fully qualified to provide independent advice and valuations on your prospective property. We help you to make the right decisions.



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