What exactly does guide price mean?

minibbb

Ive seen a house advertised at 225k but it says guide price 225-235K. Does this mean its going for sealed bids? The agents website doesnt say so.

Its a victorian house needing lots of work

BitterAndTwisted

Sealed bids are very unusual outside Scotland. It probably means that the vendors won't entertain any offers of less than £225k and really want ones well in excess of £235. Now, whether that's realistic is another question.

steve1980

Depending on the agent and part of the country you are in.......

A Guide Price is used to attract buyers in the lower price bracket (in this case £225,000 in hope that they raise their maximum price to the £235,000). The property will more than likely be "on the market" at £235,000.

minibbb

Thanks guys, should imagine thats probably the case. I know of a couple of run down but desirable properties down here that went by sealed bids and couldnt be doing with the hassle of it!

Jeffrey_Shaw

steve1980 wrote: »

Depending on the agent and part of the country you are in.......

A Guide Price is used to attract buyers in the lower price bracket (in this case £225,000 in hope that they raise their maximum price to the £235,000). The property will more than likely be "on the market" at £235,000.

Yes. "Guide price" smacks of the odious "offers around" beloved of Sheffield's Estate Agents.