Offering 8% below asking on a mixed-use building in Manila

LocalKite

First-time buyer
One approach is to treat 8% below asking as a reasonable opening anchor; the other is to wait until completed comparables justify a precise number. I am considering a narrower compromise because the Manila mixed-use building is listed at PHP 16,820,000, has been available for 33 days and requires updating.

I could submit the lower offer with financing proof, a flexible completion date and a sensible response deadline, while making clear that it is based on limited sales evidence rather than a judgment on the seller. Before doing so, I also need to understand the occupancy, permitted use and income position of each part of the building.

Inspection and financing protections would remain. The offer would also need clear terms for an appraisal gap, repair findings and return of the deposit if a stated condition is not met.
 
Eight percent below is PHP 15,474,400, which is not inherently insulting. Present it as a documented offer rather than a verdict on the property: uncertain completed comparables, visible updating costs, strong financing position and flexibility on timing. Give the seller a reasonable response deadline.

I would retain inspection and financing protections. Also state what happens to the deposit if either condition is not satisfied; the exact wording needs to fit the Philippine transaction documents.
 
Before deciding whether 8% is aggressive, is the building vacant, owner-occupied or producing rent? For mixed-use property, current occupancy and the permitted use of each part may matter more than cosmetic updating. I’d also ask what the seller values besides price: speed, certainty, or a particular completion date. That can reveal whether flexibility is actually worth anything to them.
 
I’d be cautious about using 33 days on the market as leverage by itself; that is not necessarily long enough to show distress. The seller may simply counter near asking.

Rather than requesting a broad repair credit immediately, make the offer subject to inspection, then price specific findings. Keep an appraisal condition too unless you can cover a valuation gap without putting the deposit or financing at risk. If completed comparables remain thin, that protection is doing real work.
 
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