How much should you offer on a house?
Base your offer on what similar homes nearby actually sold for, not on the asking price. Decide the most you will pay before you start, then open below it, with the sold prices to back you up.
GOV.UK advises comparing with similar local sales and setting an upper limit. It also says not to be afraid to make a lower offer.
1. Decide your ceiling first
Set the most you will pay before you see the home again, and before the agent tells you about other interest.
Your ceiling is the cash you have for the purchase plus the mortgage you have been offered, minus the costs of buying. Those include stamp duty or Land Transaction Tax, legal fees and a survey.
2. Gather the evidence
Look at sales of the same type of home, on similar streets, in the last year or two. Sold prices matter more than asking prices, because they show what buyers actually paid. Our sold prices tool lists them by postcode.
Then allow for size by working out the price per square metre. See how to find out what a house sold for and how to tell if a house is overpriced.
3. Turn the evidence into a range
Say you are looking at a semi-detached house in NG5 (Nottingham), with a floor area of 85 m² and an asking price of £242,000.
| Semi-detached sales in NG5 | Sale price |
|---|---|
| Bottom of the middle half | £191,000 |
| Median | £222,500 |
| Top of the middle half | £255,000 |
| This home's asking price | £242,000 |
Standard sales from HM Land Registry Price Paid Data. The home in the example is made up; the sales are real.
The asking price is above the local median but inside the middle half. That is within the normal range, so the sales alone do not justify a big cut. They do support opening nearer the median, £222,500.
Size is the next check. At 85 m², the asking price works out at £2,847 per square metre. Semi-detached houses in NG5 of 64 to 106 m², about 25% either side of this home's size, sold for a median of £2,740 per square metre.
At that rate, a home this size would sell for about £233,000. The middle half of those sales, per square metre, puts it between £221,000 and £254,000.
Those figures come from only 23 sales with a floor area from their certificate, 17 of them sold from June to August 2026, so treat them as a rough check.
Our reading: an opening offer between £222,500 and £233,000 is defensible, if this home has nothing the others lack.
4. Adjust for this home
Move your figure up or down for the things sale prices miss. These include the condition, a garden or parking, the energy rating and, for a flat, the years left on the lease.
A home that needs a new boiler, roof or kitchen should sit below similar homes that do not. Get rough costs before you offer, so your reasons are specific. Our viewing checklist helps you spot this work.
5. Watch the tax thresholds
For first-time buyers in England, stamp duty jumps above £500,000. They pay £10,000 on a £500,000 home, but £15,250 at £505,000, because the relief stops.
In London, the median price of standard sales from September 2024 to August 2026 was £525,000, above that limit.
In Wales, Land Transaction Tax at the main rates is nothing on the first £225,000 and 6% on the part up to £400,000. Check the tax at your opening offer and at your ceiling.
6. Make the offer
Make your offer to the agent, and confirm it in writing with your reasons, such as the sold prices you found. Say whether you are a first-time buyer, are in a chain or have a mortgage agreed in principle.
The agent must pass every offer to the seller promptly and in writing. An accepted offer is not binding until contracts are exchanged, so ask the agent to confirm the acceptance in writing.
Our guide to making an offer on a house has an example offer you can adapt, and explains what happens once it is accepted.
The questions to ask the agent help you find out how much room there is to negotiate.
Ask the agent
- How long has the home been on the market, and has the price changed?
- Have there been any other offers, and is the seller in a chain?
- What price did similar homes on this street sell for recently?
- If my offer is accepted, will the home be taken off the market?
Related questions
Should I offer below the asking price?
If similar homes nearby sold for less, an offer below the asking price is reasonable, and the sold prices are your evidence. If they sold for more, a low offer is less likely to succeed.
What if someone else makes an offer?
Stick to the ceiling you set. The agent must pass every offer to the seller promptly and in writing, unless the seller has said in writing that they do not want to hear about certain offers.
Can I change or withdraw my offer?
Yes. In England and Wales an offer is not legally binding until contracts are exchanged, so either side can still change their mind until then.
Sources
- GOV.UK, How to buy a home
- legislation.gov.uk, Estate Agents (Undesirable Practices) (No. 2) Order 1991, Schedule 3
- GOV.UK, Stamp Duty Land Tax residential rates
- Welsh Government, Land Transaction Tax rates and bands
- HM Land Registry, Price Paid Data
- HM Land Registry, Transaction unique identifier and UPRN look-up table