Drop price sooner or later?

HKS

Hi everyone,

We have made the stupid mistake of finding a house we want to buy before putting ours on the market :doh:We managed to get it on within a week and with the same agents we hope to buy from (they have 3 house sales resting on selling ours so we're hoping that will motivate them!)

I know I'm being impatient but we had a viewer our first weekend on the market, she came for a second viewing this weekend but in the end bought a different house that she also second viewed the same day. We had another viewer today but they have cancelled.

We live in a popular area and our house is priced in line with others the same but neither of us feel comfortable that we got the price right and the other houses remain on the market after some time so do you think we'd be better to drop the price quickly and risk looking too keen or wait a few weeks? I value you guys more than my estate agent (!) so would be grateful for your thoughts.

Thank you

MacMickster

If similar houses priced the same are not selling, then I would look to drop the price now to make your house more attractive to buyers than the others.

brit1234

Its all down to timing and price. The houses that sell quickly are the ones priced right or have a certain wow factor. However there has to be a timing element to it. By dropping the price now you be exposed to the quietest time in the market so may have little effect.

What maybe bettwr is to drop the price at the peak viewing and selling time just after the summer holidays this September. That way your price drop will get maximum exposure to the most people.

In the mean time how about do a separate thread with the right move link asking members here for views on only the presentation and pictures (not price in case buyers are being sneaky). They will bring up things you haven't thought about which you can get sorted for better pictures which can be added with the price drop in September for combined effect.

Good luck

Caveat_Mortgagor

I think that in their heart, the Op has correctly identified that their current price is set to match others that have been priced to stay on the market.

Unfortunately, it is easy to be distracted by the fact that a lot of potential vendors are comfortable waiting. I'm not sure they know what they think they are waiting for, but many are happy to sit on the market at an inflated price. Perhaps their only experience of selling was in the old days where you picked the agent who said the highest price and waited a short time until the market caught up with the price you had set.

Its not like that any more. If you want to find a buyer you need to make price discovery happen.

It might be worth dropping your price by £2k every week until you get a buyer. When you eventually get offers you can decide whether you can get enough for your place to make the purchase of the new place workable.

Good luck!

flecker

I'd agree - drop sooner rather than later. Chasing prices down in a falling market is not a good tactic. Much better to get slightly ahead of the game.

Gwhiz

I agree. Make the house attractive now!

HKS

Caveat_Mortgagor wrote: »

Unfortunately, it is easy to be distracted by the fact that a lot of potential vendors are comfortable waiting. I'm not sure they know what they think they are waiting for, but many are happy to sit on the market at an inflated price. Perhaps their only experience of selling was in the old days where you picked the agent who said the highest price and waited a short time until the market caught up with the price you had set.

Its not like that any more. If you want to find a buyer you need to make price discovery happen.

This is just how I feel, when I bought the house I bought it the day after it went onto the market and for just £1000 less than the asking price because you had to do that or they would be sold to someone else straight away. I'm fortunate, its being marketed at nearly twice what I owe on the mortgage for it. I just hope that the vendor of the house we love will see things the same way.... He has bought a new build that's nearly finished so is anxious to get things moving.

I will open a thread to get your comments on the presentation but am just about to phone the estate agents to say their photos need to catch up with our decorating so will wait for new photos first.