What should my opening bid be?
Your opening bid should reflect both your level of interest and your budget. In terms of strategy, it is less common for buyers to make their maximum offer at the outset. There is a psychological element to the process, and both buyers and sellers tend to expect some movement in price as negotiations progress.
Before deciding on your bid, it’s important to factor in additional costs such as stamp duty, legal fees and any works the property may need. The Ber rating is also worth considering, as it can impact on ongoing running costs.
You should also do your homework by checking comparable sales on the Property Price Register. The asking price is a guide, but understanding what similar properties have achieved can give a clearer sense of value.
The bids have been going up in increments on a property. Should I participate in the back-and-forth bidding or just place my maximum offer?
Both approaches are common and it often comes down to your appetite for the property – and your budget.
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However, incremental bidding can sometimes give a false sense of control. While it feels like a measured approach, in practice it can lead to you becoming more emotionally invested as the bidding progresses.
This can result in you gradually increasing your bids beyond what you originally intended, simply to stay in the process.
For that reason, it’s important to have a clear maximum figure in mind before entering a bidding situation, and to remain disciplined about it, regardless of how the bidding unfolds.
I’ve expressed interest in a property with an asking price of €345,000. Is it worth bidding if I have a buying capacity of €320,000? If so, should I make my maximum offer from the start?
It’s useful to understand how the property is being sold. If it’s through an online bidding platform, you can observe how interest is developing. If bidding is quieter than expected, it may present an opportunity.
In general, if you are satisfied that you have the financial backing, it is worth engaging in the process. Buyers sometimes hold back, only to find that a property sells for less than they would have been prepared to pay.
Do you have to bid online, or can you still make an offer over the phone?
This depends on how the property is being managed. Where an online bidding platform is in place, agents will typically require all offers to be submitted through that system, as it ensures transparency and provides a clear record of bids.
Offers can still be made over the phone, but a savvy agent will usually require proof of funds and written confirmation (by email) before formally recording the offer.
For buyers who are less comfortable with online systems, the agent can generally assist in placing bids on their behalf.
Yes, this can happen, particularly where there is strong interest in a property. A seller can instruct an agent to accept an offer at any point, and the agent is obliged to follow those instructions.
It’s important for buyers to stay as engaged as possible during the bidding process and, where necessary, to communicate clearly with the agent regarding their position and availability. Being prepared and responsive can make a significant difference in competitive situations.
Under the Property Services (Regulation) Act 2011, agents are required to maintain a written record of all offers received. While details of other bidders cannot be disclosed due to data protection requirements, a record of bids (with identifying information redacted) can be made available if requested. This ensures transparency while remaining compliant with GDPR obligations.
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Regina Mangan is founder and managing director of Liberty Blue Estate Agents in Waterford. She is also the founder of the Real Estate Agency Summit, which will be held on Thursday, June 11th, in Waterford’s Theatre Royal.
