Offering 13% below asking on a mixed-use building in Dubai — sensible or too aggressive?

[plantsAndCairn]

The 111 days on the market changed how I was looking at this. I started by treating the AED 734,000 asking price as the main reference point, but now I’m wondering whether the long marketing period reflects the mixed use, the condition, financing difficulty or simply a firm seller.

I’m considering an opening offer 13% lower, backed by evidence that funds and financing are available. I could accommodate the seller on the completion date, although completed-sale evidence is thin and the building needs some work.

How would you present that offer without overplaying cosmetic faults? I also want to limit my deposit exposure if the inspection, lender’s valuation or finance approval reveals a problem.

 

[miro.lark]

Thirteen per cent below is not inherently insulting after 111 days, but the reasoning matters more than the percentage. Submit a short offer supported by the limited completed comparables, visible updating costs and your clean financing position. Avoid a long list of criticisms about the property.

I would keep inspection and financing protections. A flexible completion date is useful because it gives the seller something without increasing your price.

 

[tradeTheChart]

Before choosing the number, find out why it has sat for 111 days. Was there a previous offer, a financing problem, or is the seller simply unwilling to reduce? Also ask what “mixed-use” means here in practical terms. The lender’s valuation and willingness to finance the particular use may matter more than comparable asking prices.

 

[daily_porch]

Get this distinction wrong and you may either weaken the first offer or pay for defects twice. Modernisation that reflects your preferences is not the same as work required because an inspection uncovers a genuine problem.

I’d submit a clean price with the financing evidence and a definite response period, rather than attaching a speculative renovation budget. If documented defects emerge later, that is the point to seek a repair credit, seller remedy or revised price. Keep the inspection and financing conditions intact while that remains unknown.

 

[GreenSignal]

The appraisal gap is the part I would model now. If the lender values it below the agreed price, can you cover the difference, renegotiate, or exit under the wording of the offer? Do not assume financing approval automatically protects you from every valuation shortfall. The exact contract and Dubai transaction process should be checked before paying a deposit.

 

[HappyEmber]

A 13% opening leaves room to move, but it can also make the seller stop engaging if comparable completed sales support something close to AED 734,000. Since your evidence is thin, I’d decide your maximum first and plan the concessions: perhaps improve the price only in exchange for satisfactory inspection terms, deposit protection or the seller accepting a completion date that works for you.

 

[tradeTheChart]

Agreed on setting the ceiling first. I’d also ask the agent a neutral question: which terms, other than price, would make the offer attractive to the seller? That may reveal whether speed, timing or certainty is the motivation.

For the deadline, long enough for a considered response but not an open-ended offer that can be used to solicit another buyer.

 

[tradeTheChart]

One caution on repair credits: they sound tidy, but they do not solve a valuation issue unless the lender and contract treatment align. If the building needs significant work, get the inspection information before deciding whether a credit is enough. A lower price, completed repair or right to withdraw can produce very different deposit exposure.

 

[ElioSlate]

I’d structure it as a clean one-page commercial case: offered price, financing evidence, flexible completion window, response deadline, and only the essential contingencies. State that the figure reflects market time, the limited completed-sale evidence and the property’s current condition. No need to call it a 13% discount.

Do not waive inspection, financing or valuation protection merely to make the offer look stronger unless you fully understand the possible deposit loss. Have the final wording checked for the specific Dubai transaction and mixed-use property.