Lets list those categories that HAVE to sell, ie, those that set the market price.

Conrad

In a bear market, those that have to sell are the key particpants that drive the price curve. For us to get a feel for where this market is going, we need to attempt to throw some illumination upon the matter. Just who are these motivated participants?

I thought it would add value to list all the categories that HAVE to sell, so I'll make a start here;


+ Arrears cases

+ Landlords with non paying tenants

+ Those that vastly overpaid in the last 2 years and just want to stop loss

+ Poorer people with property falling into disrepair

+ Inherited property sitting empty and falling into disrepair

+ Growing family stuck in unsuitable property

+ Job movers

robin_banks

Those looking to downsize thier property, ie. retirees or couples where the family have flown the nest.

kennyboy66_2

Interesting exercise;

Conrad wrote: »

In a bear market, those that have to sell are the key particpants that drive the price curve. For us to get a feel for where this market is going, we need to attempt to throw some illumination upon the matter. Just who are these motivated participants?

I thought it would add value to list all the categories that HAVE to sell, so I'll make a start here;


+ Arrears cases YES

+ Landlords with non paying tenants YES

+ Those that vastly overpaid in the last 2 years and just want to stop loss DOUBT IT

+ Poorer people with property falling into disrepair DOUBT IT

+ Inherited property sitting empty and falling into disrepair YES

+ Growing family stuck in unsuitable property MAYBE, EXTENSION / LOFT CONVERSION

+ Job movers HOW MANY PLACES RECRUITING AT PRESENT

apologies for the CAPS

PasturesNew

People who have split up.

kennyboy66_2

robin_banks wrote: »

Those looking to downsize thier property, ie. retirees or couples where the family have flown the nest.

Its a huge move to sell what has been the family home, these people are not generally highly motivated to sell until the prospect of illness or infirmity.

Add to that kids who may have gone to university and then return home for a couple of years while they save / pay down debts.

Really2

Conrad wrote: »

I thought it would add value to list all the categories that HAVE to sell, so I'll make a start here;

Sales people.:D They bloody have to if they work for me.

Why would some one have to sell to stop the loss?

I could understand that if property prices were never going to go back up, but with mortgages historicaly low and likely to stay like that for years they could be just making their situation worse.
PS would the bank let them sell at a loss while not strugling with a mortgage?

+ Age / Disability

kennyboy66_2

PasturesNew wrote: »

People who have split up.

In some circumstance but not all. Depends on age, children etc etc

Generali

Probate sales.

Council house sales under the Right to Buy scheme.

Houses deemed to have been bought with the proceeds of crime.

Sales resulting from compulsory purchase orders.

AFAIK, none of these are included in the land registry figures.

WTF?_2

Developers/builders who just put up a load of new flats or houses and need to sell to pay the bank back for the money they borrowed to build.

Also not included in LR index I believe as they are brand new sales.

Kez100

Probate sales where there is tax to pay, especially.

Second homes bought for holidays and where owner's income has fallen making it unaffordable. However, as they are furnished many may choose FHL route instead.

Growing family I disagree with. They don't have to sell as they can share rooms. Moves are aspirational. Only likely to feel motivated if deal both ends works out (i.e big discount on new property). They won't be forced to accept a low offer if they don't want to.

baileysbattlebus

robin_banks wrote: »

Those looking to downsize thier property, ie. retirees or couples where the family have flown the nest.

We're in that category - small mortgage, large house, financially fairly comfortable - no need to sell.

We aren't retired yet, but don't need the house to help finance retirement either.