Sellers will never drop their prices

Sibley

If you are going to make a large profit anyway, why wouldn't you drop the price if you need to sell?

People who aren't dropping their prices are the ones who can't afford to sell for less. Not that there are exactly a lot of buyers out there in either scenario - mortgages are a wee bit hard to come by unless you have a vast deposit already saved up.

When something you own increases in value you daydream about spending XXX amount.

If it takes a little longer to achieve that figure then so be it. You won't find many people wanting to give away what they think is in their bank.

Mallotum_X

Sibley,

Some interesting points, many of which I would accept will affect some peoples decisions. I can see some sellers in my locality holding out - but they are not selling. Others are cutting the price to get a sale. Sales prices "round my way" are somewhere in the region of 2005-06 prices.

Dont forget not everyone will have the time to wait 10 years even if in nominal terms house prices may well be the same then. Theres lots of factors for people wanting to move, many of which will mean sellers drop price now, and work on buying a house with drops.

Interesting that you comment on the locallity you know well but then dismiss what others say about 'round their way', and the price falls that have happened round your way are dismissed with an 'enough said'.

The housing market is a big beast, some areas will hold up better that others, and some will crash hard, you obviously consider yourself in a fortunate position that prices havent fallen where you have your property. Perhaps as your house is now more of an investment/pension plan (?) you view it differently to other home owners. In your situation you imply you can sit out anything that happens, and its a long term view of an investment, rather than someone who has a life to lead associated with the home they live in.

I dont think the general market, shows that people will hold out for however long it takes waiting for the price. There are always people who move regardless and they set the price. Even rightmove commented with the recent "asking prices up" report that many sellers are over-valued. The difference between the righmove index and the others in terms of price shows people are dropping, on average, from the start position.

To get a sale at the moment people have to drop (in many areas), and those that want to move are being shown to be doing so. Not all of them are forced sellers, I would suggest that given the various help available that the number of forced sellers are quite a low percentage of overall sales.

Clearly all the indexes have shown drops from peak, does this not prove that sellers have dropped their valuation and therefore sales price?

Davesnave

Mallotum_X wrote: »

Interesting that you comment on the locallity you know well but then dismiss what others say about 'round their way', and the price falls that have happened round your way are dismissed with an 'enough said'.

Yes, I liked that too!

Like Sibley, "I can only use myself as an example...."

We sold at the end of dodgy 2008 for a very discounted price, mostly because we didn't fancy sitting on our assets for another 5 years twiddling our thumbs. 40 houses in the road. Two sold since.

Have either sold for the same price or above?

No.

Have either come within £20k of the price we got?

No.

As two houses out of 40 is below the usual turnover, we can assume some people are hanging on. The two that sold had no choice, and they've now set an even lower benchmark for the road.

Did we make the right decision?

I know what I think!

twirlypinky

ukcarper wrote: »

How far will you be prepared to go?

As far as it takes to sell it really. Once our wedding is out of the way (i am looking forward to it, that sounded awful!) we can save £800 a month, so we'll just reduce the price by about £1500 every other month until it sells.

ukcarper

twirlypinky wrote: »

As far as it takes to sell it really. Once our wedding is out of the way (i am looking forward to it, that sounded awful!) we can save £800 a month, so we'll just reduce the price by about £1500 every other month until it sells.

I hope your house is desirable because there are a few houses near me that have been for sale for a long time and have dropped their price so they are alot less than similar properties that have sold . I think with the lack of buyer’s a house that is not so good will not sell until they are virtually being given away.

twirlypinky

Well our alternative option is to part exchange for another new build, but don't really want to do that to be honest.

Our house would only suit ftbers and divorcees really. A one bedroom cluster house in a not that nice part of Kent.

bendix

A seller doesn't become a seller, until a sale is made.

As such, the original question is moot.

ukcarper

twirlypinky wrote: »

Well our alternative option is to part exchange for another new build, but don't really want to do that to be honest.

Our house would only suit ftbers and divorcees really. A one bedroom cluster house in a not that nice part of Kent.

Don't blame you for not wanting to part exchange. My first house was a new build in the 70s but back then new builds didn’t attract the premium on the price they do now and like a new car you lose that as soon as you take the keys.

I agree if you want to sell you don’t really have much choice, but although the statement a house is only worth what someone is willing to pay for it has some truth in it. In a market where there are more sellers than buyers that figure might not represent the long-term value.

Good luck and if there is some demand I wouldn’t think you would have to give it away.

twirlypinky

well hopefully once we actually get it on the market later in the year, there might be a few more mortgages suitable for first time buyers.

ukcarper

twirlypinky wrote: »

well hopefully once we actually get it on the market later in the year, there might be a few more mortgages suitable for first time buyers.

Well if you can sell it should put you in a good position and with a bit of luck you could easily make up what you have to drop on your next property.