Sealed bids in the Tamworth property market – A good or bad thing?

As competition  is getting tougher for Tamworth house hunters, are sealed bids the answer to secure a house sale?

Sealed bids are supposedly a quick way to proceed and can offer advantages  to both buyers and sellers.

Without knowing what the competition is offering, bidders are asked to put their offer in a sealed  envelope,  a bit like the Masons, where everything is  built around secrecy. Nobody knows what anyone else is up to and many sleepless hours are spent awaiting the vendors decision. 

sealed bid
sealed bid

On the appointed day, the envelopes are opened and the vendor and agent go through them, the vendor then accepts the offer of his choice. Not necessarily the highest offer!

This however  is not a guarantee that the sale will complete. The vendor may suddenly decide to accept a different offer or the purchaser may come to the conclusion that the rather hasty offer made was totally too much.

 Guidelines for buyers..

  •  Research recently achieved prices in the area. This will serve as a useful guide when deciding on your bid offer.
  •  Offer what you are prepared to pay. Don’t take a chance with a very low bid.
  • Have a survey done in advance as vendors like offers that are not “subject to survey”.
  •  When deciding on a figure to offer, perhaps offer slightly more and as an uneven figure. People tend to round up, so your irregular figure could just seal the deal.
  •  Make sure you have all your finances in order.
  • When submitting your bid, send a covering letter which provides all the facts – bid offer, buying position, proof of funds, proof of mortgage offer, details of your conveyance solicitor, your proposed timings for exchange and completion.
  •  Hand deliver your bid offer to the agent.

Guidelines for sellers..

  • Consider all the offers on the table.  Your aim may be to achieve the highest possible price. But is the highest bid  the best buyer for your position.
  • How soon can they move?  Are the buyers prepared to wait if there is a delay in selling, for whatever reason.
  • Are they in a chain?
  • Have they appointed a conveyancing solicitor?
Remember, a property is only “worth” what any one person is prepared to pay for it.

Unhappy with your Property Manager? The best time to switch Letting Agents is mid-tenancy. Take us up on our offer and allow us to take care of the switching process.

My thoughts on the future of the Tamworth Buy-To-Let Market

 I was recently reading a report by the Home website which suggested that hordes of landlords are selling their buy-to-let investments due to increasing burdens on them in the buy-to-let market. Their findings suggest the number of new properties that came onto the market nationally (for sale) jumped by 11% across the UK as a result.

Those increasing burdens include new tax rules coming in over the next 3 to 4 years and the announcement that all self-managing landlords (i.e. landlords that don’t use a letting agent to look after their buy-to-let property) will soon need to register with a compulsory redress scheme to resolve tenant arguments and disputes; as Westminster wants to heighten standards in the Private Rented Sector.

Interestingly I was chatting with a self-managed landlord from Bonehill, when I was out socially over the festive period, who didn’t realise the other recent legislations that have hit the Private Rented sector, including the ‘Right to Rent’ regulations which came in to operation last year. Landlords have to certify their tenants have the legal right to live in the UK. This includes checking and taking copies of their tenant’s passport or visa before the tenancy is signed. Of course, if you use a letting agent to manage your property, they will usually sort this for you (as they will with the redress scheme when that is implemented).

If you are a self-managed landlord though, the consequences are severe because if you let a property to a tenant who is living in the UK illegally, you will be fined up to £3,000. That same Bonehill landlord met me for coffee at Druckers  in the New Year, and I checked all his paperwork and ensured he was on the right side of the law going forward – and I offer the same to any landlord in the Tamworth area if you want me to cast my eye over your buy to let matters (and at no cost)

But what of all these extra properties being dumped onto the market in Tamworth? When I looked at the records the number of properties on the market in Tamworth now, as opposed to a year ago, the numbers tell an interesting story …


1st Jan 2017 1st Jan 2018
Detached 110 162 47%
Semi 90 105 17%
Terraced 43 35 -19%
Flat 33 45 36%
Plots +
7 10 43%
Total 283 357 26%

Overall, Tamworth doesn’t match the national trend, with the number of properties on the market actually rising by 26% in the last year.  It was particularly interesting to see the number of detached increase by 47%, yet the number of terraced on the market drop by 19%.

However, speaking with my team and other property professionals in the town, the majority of that movement in the number of properties and the types of properties on the market isn’t down to landlords dumping their properties on the market. The whole property market has changed in the last 12 months, with the majority of the change in the number and type of properties for sale due to the owner-occupier market, not landlords (a subject I will write about soon in my Tamworth Property Market blog later this Spring?). You see, for the last ten years, each month there has always been a small number of Tamworth landlords who have been releasing their monies from their Tamworth buy to let properties – as is the nature of all investments!

Nationally, the number of rental properties coming on to the market to rent fell by 16% in Q4 2017 compared to Q4 2016 .. but that isn’t because there are 16% less rental properties to rent – it’s because tenants are staying in their rental properties longer meaning less are coming on the market to be RE-LET.

Nevertheless, some Tamworth landlords will want to release the equity held in their Tamworth buy to let properties in 2018. All I suggest is that you speak with your letting agent first, as putting a rental property on the open market often spooks the tenants to hand in their notice days after you put it on the market (because they don’t like the uncertainty and also believe they will become homeless!). This means you have an empty property, costing you money with no rent coming in.  However, some letting agents who specialise in portfolio management have select lists of landlords that will buy with sitting tenants in. If you have a portfolio in the Tamworth area and are considering selling some or all of them – drop me a line as I might have a portfolio landlord for you (with the peace of mind that you won’t have any rental voids).

If you want to learn about the Tamworth Property Market , one source for information is the Tamworth Property Blog authored by yours truly at