We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Ooops, there go prices in Scotland, too....
Comments
-
Kat_9Lives wrote: »I'd been wondering how much the average offers over price was now and do feel the 5 - 12% mentioned above by immy is more realistic given the current uncertain climate. People I talk to are still saying 20% like its etiquette to pay 20% over! However an awful lot of similar properties are on the market at samey prices AND some of them have had offers on that obviously didn't come to fruition.
Anyone else noticed the mess the Scottish system is in now with people making offers and not being able to complete? It used to be you had to be in a position to complete before making an offer (20+ years ago) now people make an offer without selling their property and without finance in place.
Having discussed this "trend" we have decided to only accept an offer that comes with a time frame for completion when we do decide to sell. Am I being way too control freaky?
You make a bid of 5-12% and its highly unlikely you will be the winning bidder at closing date. I wouldn't even waste my time with a bid under 10% as, as you'll know the closing date may be set a month on in the future and you'll have more than likely wasted a month of your time. It would be a kick in the nuts to be rejected after waiting for so long, only for the same to hapen again and again.
My in laws are in the process of moving at the moment and have completed on a 20% OO with selling and have put in an OO bid of 22% buying.
I am seeing more fixed property prices at the moment which i suppose is a good thing as with the Scottish bidding system, you never know how much of an overbid you have made. Its ludicrous.
My example with the folk over the road selling their property for £410k with an OO of £300k. how do they know the 2nd highest bid wasn't £310k meaning they have just blown £100k. It's ludicrous!
Additional to that, some people may overbid on the property and find out the mortgage doesn't cover it as they overbid beyond what the house is actually valued at.
I hate the Scottish buying system, great if you're a seller, crap if you're a buyer.0 -
We may have more properties appearing now ( as usual) but they are selling around me within 4 weeks and always higher than the offers over. The latest beside me was offers over £275 and it went for £310. I personally feel that as there are not enough houses to go round Scotland will not be hit in the same way as England. The one thing I am seeing is a few fixed prices starting to appear.
Is the population in Scotland going up? I thought that it was pretty much static.0 -
No, mitchaa - you misread my original post, or the article - or possibly did not bother to actually read either, just went off on your little hobby horse in blind panic at the thought that you might be about to lose some money...
Nowhere did I say that Scottish house prices were currently falling - nor does the article suggest that.
What I said was that changes due to be brought in this summer would probably have the effect of increasing the supply, temporarily, and therefore reducing prices, later this year.
The reason it's not happening yet and has not yet had an effect is because we are still several months away.
It's clear from the figures that Scottish prices are still bucking the trend - but then, as I pointed out above, they lagged the rest of the UK in the last crash too.
Come back in say 9 months and then post that everything is tip top with Scottish house prices, and it will then have some relevance to this thread.
What your relatives did in the recent past is neither here nor there to what prices will do in a few months' time.
FWIW, I have absolutely no interest in talking down (or up) the Scottish property market, personally - I don't live there, wish to live there or have any friends or family living there. I am as detached from it as I am from the US property market, but observe it insofar as - unlike yourself - I believe all the property markets are linked, to some degree, and because I am amused by the shrill cries whenever Scotland is mentioned that 'it's all different there'....
Yeah, like Scotland is an island....
0 -
You make a bid of 5-12% and its highly unlikely you will be the winning bidder at closing date. I wouldn't even waste my time with a bid under 10% as, as you'll know the closing date may be set a month on in the future and you'll have more than likely wasted a month of your time. It would be a kick in the nuts to be rejected after waiting for so long, only for the same to hapen again and again.
I don't know why there's an assumption that there's always a closing date, as very often there isn't. This 20% over is a recent phenomenon - when I bought my first flat I offered £250 over and the vendors came back asking £500 over! Seems to be around 15% over where I live atm.
The system has only recently been great for the seller - as prices go down, it'll return to being better for the buyer as we see more fixed rates.0 -
I don't know why there's an assumption that there's always a closing date, as very often there isn't. This 20% over is a recent phenomenon - when I bought my first flat I offered £250 over and the vendors came back asking £500 over! Seems to be around 15% over where I live atm.
The system has only recently been great for the seller - as prices go down, it'll return to being better for the buyer as we see more fixed rates.
Depends on if there's more than 1 interested party in the property. If so, it will more than likely go to a closing date. This is normal practice and any Scottish EA will tell you this is normal procedure.
The sellers wont know of any bids until they open the offer envelopes on the closing date. Usually highest bid wins, but in not all cases, chains etc.
I agree i would love to see a fixed price system come into place. However with the scaremongers on here they would be telling us to bid £120k on fixed price of £180k and such like.
At least with OO 99% of the time you'll get more than the OO price. With fixed prices, many people will come in with undercut bids. There has to be a good common ground between the 2 options.0 -
No, mitchaa - you misread my original post, or the article - or possibly did not bother to actually read either, just went off on your little hobby horse in blind panic at the thought that you might be about to lose some money...
Nowhere did I say that Scottish house prices were currently falling - nor does the article suggest that.
What I said was that changes due to be brought in this summer would probably have the effect of increasing the supply, temporarily, and therefore reducing prices, later this year.
The reason it's not happening yet and has not yet had an effect is because we are still several months away.
It's clear from the figures that Scottish prices are still bucking the trend - but then, as I pointed out above, they lagged the rest of the UK in the last crash too.
Come back in say 9 months and then post that everything is tip top with Scottish house prices, and it will then have some relevance to this thread.
What your relatives did in the recent past is neither here nor there to what prices will do in a few months' time.
FWIW, I have absolutely no interest in talking down (or up) the Scottish property market, personally - I don't live there, wish to live there or have any friends or family living there. I am as detached from it as I am from the US property market, but observe it insofar as - unlike yourself - I believe all the property markets are linked, to some degree, and because I am amused by the shrill cries whenever Scotland is mentioned that 'it's all different there'....
Yeah, like Scotland is an island....
I do agree with you to some extent as afterall we are governed by the British government, its inflation stats, the BOE interest rates and banks lending criteria that is set nationwide. What affects borrowers in the south, obviously affects us up here too. You take 100% lending away, its nationwide, so yes Scotland will follow suit.
However, prices up here have never been vastly over inflated to begin with so our correction is going to be nowhere near as bad as what it will be in the south i.e 1 bed flats in London easily fetching £350k-450k. That is lunacy. You can buy a 4bed detached home in all areas of Scotland for this amount.
Housing crash or a correction is the argument. Im sure no-one expects property to rise like it has done so in the past 7-8yrs or so.
I predict a big correction in the south that will work its way up north minimising all the way up the country. Yes some areas of Scotland will be corrected too, but 25-50% crashes that are being predicted on here are just ludicrous. (For Scotland and northern England anyway)
IMO anyway, but who am i? Im just another Joe Bloggs with an opinion, my point is no more valid or invalid than anyone elses. No-one knows whats round the corner.
And to top it off, i predict Aberdeen to be the 1 place in the UK that will remain safe from any serious falls in the market 0 -
Depends on if there's more than 1 interested party in the property. If so, it will more than likely go to a closing date. This is normal practice and any Scottish EA will tell you this is normal procedure.
I understand the process, but don't need to speak to an EA to know that it isn't always the case, and actually used to be extremely rare. They're only common during times of frenzy. I've bought twice and sold once without going to a closing date. None of my relatives have gone to a closing date, and I can only think of one person I know who has - she bought in Jordanhill where it is insane anyway. EAs often put a note on the details if there's a closing date, and there aren't that many.
I don't see the problem with getting less when you sell - means you can offer less when you buy. Undercutting of fixed prices is indeed the norm now - not sure why that is a problem.0 -
I predict a big correction in the south that will work its way up north minimising all the way up the country. Yes some areas of Scotland will be corrected too, but 25-50% crashes that are being predicted on here are just ludicrous. (For Scotland and northern England anyway)
I live in a 1 bed flat, which would've gone for £130,000 last summer. I honestly don't think it should be worth more than 3 times average salary (even that's pushing it) so I think it is worth £75,000 at the very most. It was worth about £45,000 a decade ago, so that seems fair. I would not be the least bit surprised if that's where we end up, and it is only ludicrous because we've got used to thinking in terms of high HPI.
I don't welcome such a thing happening, as a lot of people are going to be hurt by it, but I would quite like to see 2 bed houses finally becoming within my reach, and 1 bed flats being affordable for FTB.0 -
Strange thing about prices still increasing in Aberdeen, is the same hapened during the start of the last crash. Prices in the South East were declining while Scotland (and in particular Aberdeen) were still showing strong rises. I wonder how the declining Oil revenues are going to effect them this time round? Perhaps they'll replace it with a Bagpipe assembly plant, or a Haggis stuffing factory!:rolleyes:0
-
mystic_trev wrote: »Strange thing about prices still increasing in Aberdeen, is the same hapened during the start of the last crash. Prices in the South East were declining while Scotland (and in particular Aberdeen) were still showing strong rises. I wonder how the declining Oil revenues are going to effect them this time round? Perhaps they'll replace it with a Bagpipe assembly plant, or a Haggis stuffing factory!:rolleyes:
Comedian i see:D
Dont believe what you read in the papers, there's plenty of oil. Advances in technologies over the last 5-10yrs are now opening up a maze of further oil fields that were once unreachable.
Aberdeen dont have anything to worry about for a long time. Its the oil capital of europe:D0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 351.2K Banking & Borrowing
- 253.2K Reduce Debt & Boost Income
- 453.7K Spending & Discounts
- 244.2K Work, Benefits & Business
- 599.3K Mortgages, Homes & Bills
- 177.1K Life & Family
- 257.7K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.2K Discuss & Feedback
- 37.6K Read-Only Boards