Understanding offers over vs fixed price

When you’re house hunting in Scotland, you’ll notice that properties are typically advertised using one of two main pricing strategies: “Offers Over” or “Fixed Price.” These terms are more than just labels; they directly affect how you approach making an offer, what to expect in terms of competition, and how much you might ultimately pay for a home.

Understanding the difference between these pricing methods will help you make more confident, informed decisions and ensure that your budget planning is based on realistic expectations.

What does “Offers Over” mean?

“Offers Over” is the most common pricing strategy in Scotland, particularly in sought-after areas or where the seller expects strong demand for the property. With this method, the advertised price represents the minimum the seller is hoping to achieve, not the final sale price.

The property is usually marketed at a starting figure, and interested buyers are invited to submit offers that exceed this amount. If more than one party notes interest, the seller’s solicitor may set a closing date; a deadline by which all potential buyers submit their final, sealed bid. The seller will then choose the offer that is most appealing, which might be the highest price or the one with the fewest conditions attached.

For example, if a property is listed at “Offers Over £200,000,” it may ultimately sell for £210,000, £215,000, or more, depending on demand. This format can lead to competitive interest with energetic offers, so it’s important to know your maximum budget in advance and not feel pressured to go beyond what you can afford.

What does “Fixed Price” mean?

“Fixed Price” properties offer a more straightforward experience. In this case, the seller has indicated a specific amount they are willing to accept. If you offer that amount and are first to do so, your offer is likely to be accepted, provided your finances and paperwork are in order.

There is no expectation that buyers will go over the asking price, which removes some of the uncertainty and competition associated with “Offers Over.” Fixed price listings are often attractive to first-time buyers who want to avoid bidding scenarios or are working within a tight budget. In some cases, this pricing model may reflect a seller’s desire to secure a quick sale.

Valuation vs asking price

Regardless of the pricing strategy, it’s essential to compare the asking price with the home report valuation. In Scotland, nearly all properties listed for sale must include a home report, which contains an independent valuation carried out by a qualified surveyor.

If the asking price is higher than the home report valuation, you will need to cover the difference from your own funds. Mortgage lenders will usually only provide a loan based on the property’s assessed value, not on what you offer. On the other hand, if the property is listed at or below valuation, it may represent good value or an opportunity to negotiate with the seller.

Choosing the right strategy for you

Each approach to pricing has its pros and cons. The best choice for you will depend on your financial position, your desired timeline, and how much competition there is in the area where you’re looking to buy.

If you value clarity and predictability, fixed price homes allow you to move forward with confidence. If you’re open to competition and have room to increase your offer, “Offers Over” listings give you access to a broader range of properties, particularly in high-demand markets.

Your solicitor estate agent and mortgage advisor can help you assess a property’s true market value, evaluate its home report, and decide on a realistic and competitive offer amount. The more prepared you are, the better positioned you’ll be to make decisions that suit your needs, both now and in the years ahead.