How to check what a property is exactly worth???

chiraju

Hi.

I am a first time buyer and we have selected a house and made an offer which is accepted (after some negotiations ofcourse).
My question is how will I know what I offer is the right price?

I have done my home work by looking around different websites trying to find a estimation price, but they all come out very very less (almost 15-20k) less than what we have offered.

Is there any exact way to findout what a property is worth? an approximate should be good (£5,000 here and there is fine).

Please help.

Thanks
Raj

Chinkle

A house, just like anything else, is worth what you are prepared to pay for it and the seller is prepared to sell it at. When two parties agree on a price, whether its for a house or a basket of eggs, that's it's worth as without either's agreement no transaction will take place.

garthdp

There isnt, there are too many variables.The price is right when you and the vendor agree a price.

Annisele

Not what you want to hear, but a property is worth what somebody is willing (and able) to pay. So - the only way to find out what a property is worth is to put it on the market and see what people will pay for it.

In your case, assuming you can get finance together, in the vendors' eyes the property will be worth what you decided to pay for it. When you come to sell it again, it will be worth what you can get somebody else to pay for it.

It's difficult for buyers to work out, but if there was a bidding war that suggests the property is (relatively) easily saleable. If it was on the market for two years, that suggests the opposite.

Unfortunately there's no magic formula. Sometimes there will be something weird and wonderful about a house that greatly restricts its target market - but will make it worth quite a lot more to people searching for that specific weird thing.

Jowo_2

No, its only worth what a buyer is willing to pay and what a vendor is willing to accept and each will be subject to various variables that will dictate how flexible they are. It's purely down to market conditions and what the people are prepared to offer and accept.

A survey valuation, after an offer is made/accepted, could come back and state that its less than what is agreed.

TheBrutalTruth

The best way to work out what the property you are purchasing is worth is to examine the following websites

1. Rightmove - this will give you the prices sellers want in your area.
2. Land Registry - this will give you the average selling prices
3. Net House Prices - this will give you the recent sold prices in your area
4. Zoopla - gives an estimate of the worth of the house.

I would look at what properties last sold for in the area first and foremost (net house prices has this info). I would never ever offer more than that given the current economic climate - that is the absolute ceiling. Remember few people can get a mortgage and buyers are scarce, putting you in an excellent bargaining situation.

Without seeing the property, or knowing the type/location it is impossible to say what you would be advised to offer. But unless the property is substanially better than what is available locally then you are clearly paying over the odds.

eddietemple

If you know the price paid originally (houseprices.co.uk) you can then put the figures into the Nationwide house price calculator. I have found this quite accurate bearing in mind all the different variables. Of course street to street in the same area can be very different price wise because of schools/station etc.

Another example is that new builds are often slightly more due to being maintenance free/all new fittings etc and having NHBC warrantee. Why not post a link and get some feedback?

ILW

If the others you mention are 15-20k cheaper and are in the same area and of the same spec, it would appear your are paying too much.

Cannon_Fodder

Might have been better to make these sort of enquiries before making an offer ?

amilieval

I'm agree with ILW, if the house is in the same area, with same specofications them may be it is too expensive or at lease you are paying too much. May be you should taka a look at the other houses in the area to see is there is any differences between them (bigger, smaller, nicer etc.)