OUCH!!! - that house is too CHEAP ??

losgiganteskid

A house just over from me went up for sale on Saturday last and now has a SOLD board up. In todays market I would have thought a buyer would still be in a good bargaining position and wanted to negotiate down. Seems to me the agent has undervalued and the first person to see, made an offer and snapped the vendors hand off. House price £350,000. If I owned that house I would be thinking that my agent has got it wrong and forever wonder just how much I would have got for it if a proper agent sold it !!

sm9ai

Depends how desperate they are to sell the place and how realistic they are I guess.

If they feel that houses are going to crash and they want to get out asap then thats probably a very good price they got.

What was the house anyway?

losgiganteskid

The owners were not desperate and do not believe a crash is on the cards - think they were niave though

Doozergirl

It's possible it was underpriced, but it's entirely possible it was the right price for someone who was looking. Why be greedy? In a sought after area, if you price your house correctly people will pay full asking. If you price it 5-10% more because you expect to be knocked down, you're only going to get what it's worth and it could take longer to sell.

losgiganteskid

Yes understand what you say - but the house in question is a total "one off" and nothing in the area to compare it to, so it was a stab in the dark by the Agent. Had it of been me, I would have put the price higher and haggled, the danger of pricing correct from day one (always assuming you know what "correct" is) is that someone might just come along and say YES and be over the moon that they have just picked up one hell of a bargain, my neighbours might want to do that - but I don't !!

NastyMatt

EA's have told me that places are going for very close to the asknig price lately i.e. No houses coming on the market, when they do people snap them up.

If you want the house and have lost a couple of others in the past why mess around trying to get £5k off a house worth £350k?

Offer the asking with a clause that they must be out in 6 weeks!! That way they're happy they got their cash and you're happy that you are unlikely to lose the house. Win win

lush_walrus

IF the house is a one off, then there is every chance in the world that the first person to see it did fall in love with it and didnt want to risk loosing it by delaying. If the house was one of 70 in a road with 10 simular up for sale, then I would say it may be that the EA has undervalued. But as its a one off, that speaks for itself.

mr218

how much do you estimate it could have gone for and what is the difference in percentage terms in your mind?

lush_walrus

losgiganteskid wrote:

Yes understand what you say - but the house in question is a total "one off" and nothing in the area to compare it to, so it was a stab in the dark by the Agent.

A stab in the dark for an EA will still be better placed than a stab in the dark from a potential buyer. Whatever made the buyer think it was a bargain, would have been information available to the EA.