Buying by Tender

[Jill Chivers]

I'm investigating a block of units for sale in Brisvegas that are being sold by tender. The agent was charming but refused to tell me any of the other offers going into tender (he admired my courage in asking, though...). I gave him a ballpark # off the top of my head and he told me that it would be a reasonable offer which he'd be happy to take forward. Which didn't really tell me too much...

I have no idea how to go about submitting a tender that would secure us the property (if we got it for the # I gave the agent on the phone, it would be a bargain and way positively geared) and also not pay too much.

Any ideas??

Jill

 

[Andrew]

Short of bribing someone on the RE's staff (go for the lower paid as
they'll be more likely to take your dollars/won't know how to say no.)

This is the point of a tender, you should submit a price that represents
value to you. If you are paying any more than this then you are
paying too much which you don't want to do, right?

Who cares what the other tenderor's prices are, or the vendor's
minimum acceptable price, what you should be concerned with is
a price which you find value, what are the properties worth to you?

andy

 

[asy]

The other thing with a tender process to remember is that the vendor may NOT take the highest price...

In a tender, the vendor is not obliged to accept the highest, or in fact, any offer...

The vendor may accept any offer they choose, this may be based on price, terms... etc...

So, if you are not sure whether your price offer will be a winner, throw in an enticement, like a quick settlement...

hope that helps...

asy