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  #21  
Old 17.06.2021, 12:53
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Re: Buying a house - bidding war

Really? For 11 francs you are ahead on a million fr worth of property?

I would think you have better chance having papers aligned rather than few francs extra.


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If its a closed envelope bid make sure the number you put in is uneven.
So for example if you believe the property is worth 900k, then bid:
900,011chf for example.


The idea being is your estimate is correct and 2 or 3 other people bid 900k as well you edge in front.


Only really works on close bids though.
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  #22  
Old 17.06.2021, 13:01
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Re: Buying a house - bidding war

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Really? For 11 francs you are ahead on a million fr worth of property?

I would think you have better chance having papers aligned rather than few francs extra.

In a closed bid yes, Im not sure what you mean by "papers aligned" - but a closed bid is where would be purchasers write their offer down and the highest is chosen. As 900,011 is more than 900k, you would win the bid.
Some properties sell in closed bids. Ive only been in one closed bid in Switzerland but if bidder A is ahead of bidder B it doesnt matter if its a small amount.
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  #23  
Old 17.06.2021, 13:03
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Re: Buying a house - bidding war

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I guess so.

Interesting though. Buyer A, a family, might bid x but are a nice family with a young child.
Buyer B is an unpleasant individual and bids x +1 but the seller stills sells to Buyer A.

But what if Buyer B bid x + 1/2x? What will the seller do then?
In the situation I described above when I sold my my first place, if buyer B put up a bid which is even 20% above buyer A, I will go for buyer B. It’s nice to sell my lovely place to a lovely family, but at some point money talks… and talks loud enough.

Maybe another factor is this - buyer A’s offer meant that I sold my place for twice as much as I bought it. I was already so happy with a 100% profit, I wasn’t hankering after another 10%.
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  #24  
Old 17.06.2021, 13:04
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Re: Buying a house - bidding war

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In a closed bid yes, Im not sure what you mean by "papers aligned" - but a closed bid is where would be purchasers write their offer down and the highest is chosen. As 900,011 is more than 900k, you would win the bid.
Some properties sell in closed bids. Ive only been in one closed bid in Switzerland but if bidder A is ahead of bidder B it doesnt matter if its a small amount.

I wouldn't consider 11 francs on 1mio a difference, and would sell to the buyer a higher deposit, less paperwork, no chain, or the one I liked more...
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Old 17.06.2021, 13:12
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Re: Buying a house - bidding war

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I wouldn't consider 11 francs on 1mio a difference, and would sell to the buyer a higher deposit, less paperwork, no chain, or the one I liked more...

A closed bid process is chosen by the vendor the difference between bidder A and bidder B could 600k or 6 francs. At the time of choosing the process the vendor doesnt know.



How legally binding the bid is I dont know (I suppose its as legally binding as any bid).


When we were buying a property some vendors wanted to get to know us, nearly like an interview (are you a family, are you from the area etc.), some were public bids via estate agents (where auctioneer came back saying the other party has upped their bid will you up yours), and as I said, another approach is a closed bid. This approach is excellent in a closed bid situation. Assuming the vendor will honour the process they choose you have a chance of winning the bid with a low difference to the second top offer.


Correction: the process is called a sealed bid, not closed bid.

Last edited by irish_marmot; 17.06.2021 at 13:14. Reason: Correction: the process is called a sealed bid, not closed bid.
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  #26  
Old 17.06.2021, 14:38
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Re: Buying a house - bidding war

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I wouldn't consider 11 francs on 1mio a difference, and would sell to the buyer a higher deposit, less paperwork, no chain, or the one I liked more...
Selling a house is a fraught process. If you have already committed to your next house purchase like I was, you fear not getting the price you want. You get a lot of "tourists" who just want to have a look and trample around your private space with no intention of buying. You get people coming to see but then makes some really hurtful but irrelevant comments (oohhh.. I would never have bought that sofa... ), you get people asking 101 questions, most of them they should have figured out before coming to see the place ("oh, I didn't realize Thalwil is so far away from the city."). The bidder who comes close enough to the price and with minimum drama is an attractive bidder.


I work in a company which provides in-house, discounted mortgages to employees. I've seen quite some examples of employees selling to each other because "the paperwork is so much easier".
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  #27  
Old 17.06.2021, 14:54
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Re: Buying a house - bidding war

what if somebody bids 900'012. maybe you need an even number
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  #28  
Old 23.06.2021, 12:31
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Re: Buying a house - bidding war

anecdotal evidence about house bidding and rising prices from 20min today:
https://www.20min.ch/story/viele-koe...n-802830624048
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