Shanorme

Does one offer much less than the asking price and if so, what %? Would anyone like to share their experience of negotiating property price? I'm trying to get a feel for Portuguese property etiquette.

Ton

Don't feel bad about offering much less than asking price.

Most of the figures you will come across have been plucked out of thin air.

Have a look at some property websites where it shows you that property has been drastically reduced by up to 40% as they just wont sell at inflated prices.

Shanorme

Thanks... I don't suppose you want to direct me to those sites!!!

Ton

The one that shows price reduction in both percentage and monetary terms is Idealista.

EMR

It all depends where you are.
In parts of the Algarve on certain types of property there is currently little negotitiation.
If the seller is a Brit planning to return to the UK , a low pound euro conversion rate may benefit them so as quick sale is what they are looking for.
Portuguese are less open to low offers .
Offer what you think is a fair price , you will know from the reaction if you are close to reaching an agreement or not.

When we sold 18months ago we settled for E3000 below the asking price.
But we had offers 16000 below, you do not need to be a genius to know how we reacted to that one.

Shanorme

Thank you.

Shanorme

Looking at a few areas in East Algarve. Rural, happy with a dirt track, preferably no neighbours.

Pilou

It depends also on the seller. Some sellers have other projects and need the money, others don't need the money and will increase the price every 6 months.

macliam

or the number of heirs.....

Due to the inheritance laws, a seller must have the agreement of heirs to sell. If the heirs basically "won't get out of bed" for less than €nK and there are a lot of them, the asking price will be high and non-negotiable - the seller has limited options.

When I was looking I saw ruins which were priced at crazy prices due to the above - and equally I had a purchase fail because 1 heir (out of 6) just wouldn't play ball.....

Shanorme

All quite complex. Looking at a place this weekend so wish me luck.... hopefully no 'illegal pools' or 'illegal structures' or low doorways for my tall husband to bang his head on...

Pilou

Some sellers think the sky is the limit and ask ridiculous prices. We now saw a house that was for a long time on the market. We are the first that are interested to buy. We offered EUR 3000 under the asking price. Refused.
We now offered the asking price: the owner want to have a higher price and does not want to sell for the price announced.

A bit frustrating!

We look at prices for 1,5 year on a daily basis. Most of those prices go up every 2/3 months and a lot of them stay on the market and don't sell.

Prices in the Algarve compared with the spanish costa's are really high. Reason is maybe that Spain has no RNH ....... ????

macliam

Property prices rices have always been higher in Portugal than in Spain for the almost 30 years I have known it. I spent the Christmas/New Year 1989 near Malaga and saw villas being built in the hills - then I went to Portugal for the first time the next year and found the same price being asked for a 2-bedroom flat in the Algarve. I though that was just due to location, but then found that prices were high elsewhere too, not just for tourists but for everyone.

ant68

Looking at that area there should be some good negotiating - I have a friend who is negotiating at the moment on a property and the offer is substantially below the asking price, but the agent has given some guidance - we are talking 30%

Shanorme

Wow, that is certainly more room than I expected.

liveaboard

The house next door to me has just sold after being on the market for 8 years. The seller refused to drop a single euro.

He didn't increase the price either though...

Anyway, everyone seems happy with the deal, new neighbors are actually intending to live in the house, bucking the trend of empty second homes around here.
And they speak English.
Yippee!