Bungalow Valuation higher than expected!

squibbs25

Hi guys,

Not really a question as such more that im looking for your opinions really.
My nan has just had her bungalow valued this morning (nice chap apparently) and he's recommended putting it on the market at £179,950.
While that seems a decent amount, i think he might be being a bit 'eager' so to say.
Nan bought the bungalow in Dec 06 for £176,500 , so to be given a valuation at slightly more than she paid for it in the current climate, i'm wondering if we're on the same planet or if i've missed something.


Bungalow is a double fronted detatched, 2 double bedrooms, lounge, kitchen, bathroom, conservatory, and approx 100ft garden.(not overlooked as allotments behind the garden then school playing fields.
The drive can fit up to 4 cars on it (just LOL)

The bungalow itself is in good condition and decor is neutral throughout.
We are in the South East but not in an affluent area and there is a lot of competition.

There is a semi detatched bungalow for sale a little further down the road to nan's, on for £159,995 (2 beds,no drive) been on the market for about 1 year, when it first went on the price was £189,000.
It was offered for rental as it wouldn't sell end of summer last year with no takers, now back on the market for £159,995

Rightmove show 4 pages of bungalows within 1 mile of nans postcode - price range 150,000 to 200,000

Nan has 3 more estate agents coming to value so we'll see what they come up with!

Does anyone else feel that the 'nice chap' might be being a little optimistic?
I was expecting him to say about £160,000 - £165,000 :eek:

Gwhiz

Asking prices are totally different from sale prices. To know what's right you have to know what similar properties have achieved at sale.

squibbs25

mixture of both houses and bungalows on Nan's road, i've looked on nethouseprices.net and there;s only 2 sales for last year but i cant tell if they are houses or bungalows.
Then only 2 sales for year before, nothing for the year before, then 1 for year before that.
then it looks like there is an average of 2 sales per year going back to at least 2002.

I'll keep searching to see whats sold near by recently - thanks for the tip!

hazyjo

Everyone wants a deal at the mo - so, as said above, an asking price of £180k-ish probably means offers would come in around £160k+. Worth a try at that price. Bungalows can be a good option for people wanting to add value if they can build upstairs and extend out the back. With such a big garden, it might well be an option. In this market, the potential to extend up and/or down to create more room can be a very positive thing. Might, therefore, have held some of its value.

I just sold my house in East London for the exact same price I paid in 2006, but my asking price was significantly above, so his valuation sounds okay to me. Of course, not everywhere is down to 2006 prices, and some have risen. Get another couple of quotes as you say and compare.

Jx

CloudCuckooLand

Estate Agents are often nice and eager to sign you up...

Then they do little to sell it, until they decide to talk you into dropping the price...

And its never their fault that it was over-priced.

squibbs25

well, well, well,

Second agent came to view/value the bungalow and has also valued at £180,000 - £185,000, even said he'd be happy to try it at £190,000 .
This time the chap came prepared with lots of paperwork, was eager to show my mum the list of sold prices that a couple of bungalows have sold for in the last month.
£175,00 and £176,950, apparently these were smaller than nan's, gardens much smaller and no drives.


So maybe they are right (ish) :rotfl:
Todays agent stated that the drive, garden and that the building can be extended both upwards (plenty of room for at least 2 huge bedrooms and a bathroom or 2 en-suites) and outwards (by knocking down the wall between kitchen and conservatory to create a kitchen diner).

Well, another 2 agents are booked for tomorrow so we'll have to see what they say.

Thanks for your replies so far.

squibbs25

So maybe i have got it wrong after all! Maybe not :rotfl:

3rd agent came this morning and has said that for a quick sale he recommends £164,950 or if not too bothered about a quick sale then £174,950 or chance the market at £185,950

4th agent said £185,000 said that bungalows on nan's road dont very often come onto the market and get snapped up straight away, then rattled of the same speil about how the garden and drive will help it sell.
When my mum mentioned about it being a slow market the agent said that in Dec he would have agreed but things are really picking up now.

All agents have said that they have people on the books "looking for this type of property"


I cant help but be skeptical, i live in the same town (admitidly over the other side - approx 3 miles away-) house prices round our way have droppped.

Nan's going to tak her pick of who to put it on the market with, 3 of the agents were very good whereas one of the agents today was really pushy and quite condesending (from what was repeated to me) so nan wont be picking them (even though i feel he was the most realistic price wise).
Oh well, just have to wait and see what happens.

Thanks for taking the time to read.

geoffky

The third is a realist and your nan will not want to wait two years to get the sale will she? Greed costs as the market leaves the greedy behind...stay ahead of it.

harrup

geoffky wrote: »

The third is a realist and your nan will not want to wait two years to get the sale will she? Greed costs as the market leaves the greedy behind...stay ahead of it.

I agree with you.

Still..... UNLESS squibb25's nan IS in a rush to sell....it couldn't hurt to chance it at 180 K +, can it?

There are LOTS of people downsizing at present for a variety of reasons and a bungalow with great potential for extension should do really well even in a shaky market.

JMO, of course.

Nationalist

The agent with the highest price gets the business, then a few weeks down the line when there are no offers he says you must reduce the asking price or he'll just start tipping the wink to buyers to put in a low offer. By then the original agent with the realistic valuation is off the scene and not in line for any commission.

TOBRUK

You can always reduce the price - you can't increase it! I don't know about your nan's area, however, bungalows are priced higher than houses - in my experience.

I have just sold my house and in the process of buying a bungalow! I never thought I would ever be buying a bungalow, but my health and disability now demands it!!

The fact that it is a 'detached' is a bonus. It isn't overlooked has a large garden, and it has a conservatory! You don't mention room sizes.

We are an ageing society and more and more people will be looking at buying bungalows (because of stairs issue) aswell as people like me who have become ill and disabled!

I would go with one of the high estimates personally. I had a shock 3 weeks ago when I got an offer for the house, and was surprised that I was getting more and more viewings, when I thought with the current climate it would go the other way! I was having 2-3 viewings a week in the past couple of months - it was exhausting!! Before that I was getting maybe 2 a month!

It also depends on your nan's circumstance, whether she is in a hurry to sell or not. If she can wait a few months I would go for one of the highest estimates.

Keep an eye on rightmove to see what is happening with the market, and how often properties are selling - changing status to STC!