What houses are actually selling for.

stolt

confused31 wrote: »

If asking prices have dropped at least 20%, why have you lot offered so much??

I know from region to region changes but if you had all offerd 20% less than the asking prices, the prices should be this.

stolt asking prices 475,000 - 20% = 380,000

willowcat 259,950 -20% = 207,950

sarah elton 112,000 - 20% = 89,000

qtpie 459,00 - 20% = 367,000

Now we know house prices are supposed to be dropping but these figures tell us a different story, i personally dont think house prices have dropped at all by me, with the odd 5% drop here and there.

And by looking at what you lot have paid it seems like its like it a lot of other places too.

Anyway as long has you are all happy with your purchases, thats all that matters, this thread might open the eyes of some of the doom mongers who ae predicting 50% falls by 2009.
:rolleyes:

i wish i could have got mine for 380k but sadly i dont think that was ever gong to happen. For one the vendors were not in any rush to sell, only moving a few miles down the road to be closer to there grand daughter and wanted 420k. I suppose i could wait it out another year but to me coupled with the fact that i managed to leap onto the A&L 3.99 5 yr fixed mortgage rate!:rotfl: its a home rather than a money making machine, i'm sure when the time comes to sell it (a good few years from now) it will have increased but i have three kids under 6 and the rental we are in is not suitable. I could spend another 5 years waiting for the market to bottom out so to speak and i suppose in those 5 years i could give my landlord another 48k for the privilege when in fact i could be using the money to pay the mortgage off.

Personally i never believed all the hype about prices dropping 50% etc etc, I only ever thought max 15-20% from 2007 prices ( and i suppose as everyone else has done on here spent many an hour looking at RM and sing property bee to see what the drops are (there have been bgger drops in my area but i guess that is where the vendors really need to sell. In fact the media have said all this 50% lark and then a few weeks later i keep reading all these reports insisting that the market is picking up now. True when we were looking in 2007 the prices had increased too much it was hard to get the multiples on my salary and we nearly bought back then.
The time is right for us and its a home first and foremost.

QTPie

"asking prices have not dropped 20%"..... Instead, "property prices have dropped 20% (in some areas) since peak".

I was selling, not buying. My house was COMPETITIVELY priced in Nov 2008 (i.e. that asking price was JUST UNDER the SELLING PRICE of an identical house in July 2008).

Yes, my house DID sell at late 2006 pices, BUT that is just because of the sector in this area... Different areas are different.

Unfortunately life is not as simple as "look at asking price and subtract 20%" - because some buyers are pricing at peak, some above peak and some are much more reasonably priced. It is about knowing the market in your area and what is a reasonable price for a specific type of property (taking into account any alterations) in a specific area.

QT

confused31 wrote: »

If asking prices have dropped at least 20%, why have you lot offered so much??

I know from region to region changes but if you had all offerd 20% less than the asking prices, the prices should be this.

stolt asking prices 475,000 - 20% = 380,000

willowcat 259,950 -20% = 207,950

sarah elton 112,000 - 20% = 89,000

qtpie 459,00 - 20% = 367,000

Now we know house prices are supposed to be dropping but these figures tell us a different story, i personally dont think house prices have dropped at all by me, with the odd 5% drop here and there.

And by looking at what you lot have paid it seems like its like it a lot of other places too.

Anyway as long has you are all happy with your purchases, thats all that matters, this thread might open the eyes of some of the doom mongers who ae predicting 50% falls by 2009.
:rolleyes:

RobertoMoir

confused31 wrote: »

If asking prices have dropped at least 20%, why have you lot offered so much??

:rolleyes:

If (and that's a big if I know) house prices on average have dropped by 20% then clearly some will have dropped by more than 20% and some by less. I suspect the big drops are in the area of those horribly overpriced studio, 1 bed and "2 bedrooms both of which are so small you better hope you and your partner don't breathe out at the same time in bed" apartments that builders were throwing up left right and centre a while ago, and arguably is less evidence of a "crash" and more of a "correction" in those cases.

The overpriced houses whose value might have dropped by 20% in theory might not actually get sold at the correct (or any!) price because the owners aren't being realistic about value.

The 3 bedroom mid-terraced house I just purchased dropped 12k from £120,000 when valued for probate in feb to £108,000 when I actually purchased it 2 months later later, that's a 10% drop I guess.
Most houses around here are just simply not selling at the old prices. Or at all.

WillowCat

confused31 wrote: »

If asking prices have dropped at least 20%, why have you lot offered so much??

I know from region to region changes but if you had all offerd 20% less than the asking prices, the prices should be this.

willowcat 259,950 -20% = 207,950


Now we know house prices are supposed to be dropping but these figures tell us a different story, i personally dont think house prices have dropped at all by me, with the odd 5% drop here and there.

I was selling, not buying, and the 259,950 already reflected the drop. In my case the rough asking price in 2007 would have been 325,000, so that already factors in a 20% drop. In fact in 2008 I had an offer of 290,000 but it fell through due to the council not liking a revised planning app the buyer had made.

In conclusion, my sale price was a 23% drop from peak, and a 28% drop from the nearest comparible sale (350,000 in 2006).

Oh, and by the way, this was a detached house in one of the "prices can never go down type roads".