Another what to offer thread...

rob_mclellan

Hi

I'm interested in pitting a offer in on a property that has only recenty come on the Market, at £215k.

It was bought by the current owners for £195k at pretty much the peak of prices in feb 2007. Since this time, according to nationwide, house prices have dropped approximately 17%. taking this into account, the value of the property should be 163k (not taking into account improvements).

Since they have had the house, they have installed double glazing throughout (3 storey), replaced kitchen, replaced bathroom, replaced en-suite, and replaced cloakroom toliet.

How much are these improvements Worthing terms of value added to home?
I'm guessing at:

double glazing: 10k
new kitchen: 10k
new bathroom: 5k
new ensuite: 2k
new cloakroom wc: 0.5k

are these estimates realistic?

this would make a value of 190.5k... Is this a reasonable offer?

P.s. It's in the southwest and I can't find house price trends for the region, anyone know where I could find this?

Fire_Fox

I have just bumped Chickmug's excellent thread for you to read. Most home improvements are add far less to the value of the property that their cost, much to many homeowners chagrin. Some even devalue a property.

DVardysShadow

rob_mclellan wrote: »

...this would make a value of 190.5k... Is this a reasonable offer?

the amount you think is the value is not a good opening offer.

Plus all of this work being done in 2 years seems too much at once. Are you happy with the quality?

rob_mclellan

What would you suggest instead?

Yes, the quality of the improvemnts are good, Though not to my exact taste.

The work has been done since they have had the property, as it was rented about prior to the current owners, and wasn't in a good state. The current owners are a retired couple, who wish to move closer to their grandkids.

pie81

rob_mclellan wrote: »

It was bought by the current owners for £195k at pretty much the peak of prices in feb 2007. Since this time, according to nationwide, house prices have dropped approximately 17%. taking this into account, the value of the property should be 163k (not taking into account improvements).

I don't think you can apply nationwide's 17% figure to an individual house and come up with its "value" now. House prices have risen and lowered very differently across the UK. Better to research selling prices for comparable properties in the local area and compare those with this house.

Batchy

Ok now everyone has had their say... A house value is worth to you? ... either
1) what your willing to pay
2) what you can afford to pay
3) What deposit you have to play with
4) how much do you really want the house? Cause if you satisfy the above, then you may enter a bidding war, and it could push above the asking price.
5) future NPV, IE, planning permission potential etc.

Anyway, have fun, but the point is, offer first what you consider to be a bargain price, and end with your maximum, ie, im not paying a penny more than this for this particular house price, and you will never go wrong, ignore estate agents, they are just glorified car salesmen, and will tell you everything you need to hear to get the house sold!!!

Doozergirl

The price has to be based on proper comparables, not a random statistic.

Base it on the other properties you have seen, what is in the paper, what is on rightmove, the asking prices of those that are under offer with 'sold' boards outside and also considering somewhat what they paid for it and also their neighbours.

It's hard to value a property now based on the price that it was bought for and the work carried out on it if it was extensive. I had a completely incompetent agent do that to me and she got the final selling price wrong by nearly £100,000. You don't know if they paid over the odds thinking they were clever or whether they were savvy and got a genuinely good deal. Your valuation has to be based on everything you see around you, not the Halifax.