Need advice for quick sale please!!

dopester

karenthemummy79 wrote: »

Where on earth are you all getting this information from that houses could 'easily' fall another 20% in 12mths??? I personally think this is not going to happen!!! It is a very negative outlook!

From the circumstances.... and you're already a buyer of a repo at what you're thrilled at in price, despite glorying in the value you got from someone else's early downfall in this declining economy.

As a cash buyer, I'm just waiting for value to fall much further still before buying - that is where I'm getting it from - I expect it to happen.

Now, in this market, you're in for 2 houses. FYI... house prices (going on the UK average) dropped more than £30K in the last 12 months. Some analysts expect more of the same. I'm just suggesting if you rent.. you could find market value of the one you're thinking of letting may be a lot less than the market is now willing to pay.

You've not even found the marker for buyer interest as you haven't had a single viewing in 12 months.. .does that not worry you at all? Houses are only worth what a buyer will pay.

dopester

karenthemummy79 wrote: »

Where on earth are you all getting this information from that houses could 'easily' fall another 20% in 12mths??? I personally think this is not going to happen!!! It is a very negative outlook!

Perhaps a negative outlook for people who own two houses and are highly-leveraged.

To be honest, from what you've outlined in this thread.. that is another part of "where on earth" I'm getting all this.

People taking risks they just have not properly weighed up. One thing is for sure... property monsters like myself who are patient, will just glory in the value later on in the crash... when people like yourself have taken foolish risks, and all the others over-leveraged or with changed employment circumstances.

Doesn't take a genius to buy at auction for "value" - but is value now? Perhaps show the same levels of compassion as you have for early repo-victim... doesn't bother me either so long as getting value for money. New buyer might be there to wave you off as you lug stuff down the road.

Go rent it out if you like.. expect market to "get better", owning two houses and all the risk with it.

silvercar

One house sells in the street in a distressed sale at "way less than market value" then another seller accepts a low offer, " 'cos we was desparate"; then a probate sale goes at a cheap price because, "the house hadn't been touched in years and the inheritors were getting money for nothing".

At what point has the market value for the street been lowered?

Catblue

Karen, you want two completely contradictory things to happen at exactly the same time and in exactly the same market.

You want £100K off the true "value" of the house that you have just bought.

You want top price for your current house.

You truly don't see any unrealistic expectations there?

franklee

karenthemummy79 wrote: »

The one we have bought was finished in 2004 and lived in for 4years then repossessed. This one plus another one that is currently lived in were built by the same builder who then sold on the other plots. The one that is on for £235k was built by a builder and is almost complete. Another confusing thing is that the house directly behind ours is on the market for £320k!!!! It is slightly longer and has a workshop but again a massive difference in price!!! The same builder finished these two and has actually moved into the £320k house and his son is moving into the £235k house. The £260k house (white one) is a different builder again and that house is currently rented out!! All very complicated but looking at all these figures I think we got a good buy at just under £145k!!!

Thanks karenthemummy79, that's a bigger spread for the normal sales (non-repossessions) than I'd realised. It does indicate to me that finding market value in your area is tricky and that asking prices can be misleading and it sounds like things haven't been shifting for quite some time. I guess the only way for a seller to to find the value is by trial and error.

I would be wary of the renting out option as that doesn't give you a clear exit strategy unless you hold for many years which is risky without enough cash to cover any voids, bad tenants etc.

GracieP

karenthemummy79 wrote: »

Where on earth are you all getting this information from that houses could 'easily' fall another 20% in 12mths??? I personally think this is not going to happen!!! It is a very negative outlook!

Right, it's a different country with different circumstances so things won't be exactly alike, but I'd suggest you take a look at what is happening in Ireland right now.

Prices there peaked in 2006. Last year many people were still in denial, it was obvious prices had fallen by 15-20% but the general consensus was that it was a bit of a blip and "normality" was returning to the market soon. The bank economists and EAs were all releasing statements saying they were seeing a renewed interest in properties and stating the bottom had been reached, and it was the time to get in and buy. A lot of people believed them and those who didn't were called doom-mongers.

This year it's now accepted that prices have fallen by 40% from peak. The bank economists and EAs are still releasing statements saying they are experiencing renewed interest and the bottom has now been reached, so now is the time to get in there and buy. The thing is almost nobody believes them any more. Most people are looking at the facts that unemployment is rising, the general population is heavily indebted, taxes are set to rise and interest rates are so low now they can only go up. The economists who are saying prices will likely fall 50%* from current prices over the next few years are being listened to rather than derided.

The situation in Ireland is, imo, worse that that in the UK. But people here would do well to take a look at what is happening to the neighbouring economies. So few people imagined 40% falls in Ireland, now predictions of 70% falls from peak are being bandied about by those who never anticipated falls at all. Just because you don't think something can happen doesn't mean it won't. All the factors I mentioned that are driving Irish prices down apply here too.




*That's a drop of 70% from peak btw, not 90%.

ciano125

karenthemummy79 wrote: »

I take it from the advice I get on here then that EA valuations should just be ignored then?! I have had 3 agents round and not 1 of them suggested setting the price at anywhere near £120k.

No wonder houses arent selling if even the EA's havent got a clue how much to price houses at!!

You're really not listening are you. :mad:

If you put it on at £120k, you will generate a load of interest. You will then get people putting bids on it. You can judge what the market value of the property is by playing the bidders off against each other, eventually they will all drop out bar the one who offers the most. The amount they are prepared to pay is the market value. You should sell for that amount. It MIGHT be £120k, it MIGHT be £135k.

At the end of the day, just because you put the house on at £120k doesnt mean you MUST accept any offers if you dont want to.

karenthemummy79

I have today dropped the price to £139,950 - see if that makes a difference.

To be honest, I dont think I am going to keep up this thread because although I have had some very helpful advise - both positively and negatively, I feel that everybody just seems to be getting annoyed with me and is getting me all wrong!!

All I want to do is sell my house for the best price possible and yes I know that it seems bizarre wanting the sale and purchase to be similar amounts but the price of the house we are buying is definately well below market value and I just want market value for this house and the whole reason I came on here was to get advise about the best way to achieve that - no matter what the amount.

ciano - I AM listening to you and I do appreciate your advise but I find the process you are suggesting very scary and probably find it so scary because at the moment I find it hard to imagine having one viewing let alone loads of them!!

RecoveringAlcoholic

Put it up for auction.

The market will decide the true value and this thread can be put to bed.

Some Land Registry statistics for Flintshire:

http://www1.landregistry.gov.uk/houseprices/housepriceindex/report/default.asp?step=4&locationType=0&area=Flintshire&reporttype=3&datetype=1&from1=06%2F2007&from2=04%2F2009&image2.x=26&image2.y=7

Catblue

karenthemummy79 wrote: »

I have today dropped the price to £139,950 - see if that makes a difference.

To be honest, I dont think I am going to keep up this thread because although I have had some very helpful advise - both positively and negatively, I feel that everybody just seems to be getting annoyed with me and is getting me all wrong!!

All I want to do is sell my house for the best price possible and yes I know that it seems bizarre wanting the sale and purchase to be similar amounts but the price of the house we are buying is definately well below market value and I just want market value for this house and the whole reason I came on here was to get advise about the best way to achieve that - no matter what the amount.

ciano - I AM listening to you and I do appreciate your advise but I find the process you are suggesting very scary and probably find it so scary because at the moment I find it hard to imagine having one viewing let alone loads of them!!

Karen, I think £139, 950 is a good drop and will get some people through the door with a bit of luck.

The good thing on here is that nobody has said that there looks to be anything wrong with your house (which is a miracle in itself in this board ). It is a lovely house and it will sell.

Don't be downhearted - people are just saying what they are thinking. You bought a house for below market value and your prospective buyers for your current house are trying to do exactly the same in this market.

Nobody is blaming you for making the leap to a bigger and better property. It is exactly the right time to do it when prices are falling (if you can afford it).

I'm sure everyone wishes you the best of luck.