What to pay for property bought back in 2009

HARSA

How much does one expect to pay now for midlands/Staffordshire properties bought just after the property boom (July 2009)?

HAMISH_MCTAVISH

July 2009 was after the lowest point in the cycle for most places.

As a national average prices are up around 8% to 10% since then (Nationwide)

But check Land Registry for local areas to confirm, as a few bucked the national trend.

HARSA

Does that mean that you can't expect to get the property cheaper than what they paid for it back in July 2009?

The current owners must have spent over £10K on garage conversion into a study & utility room. Also extended pavement and bathroom decor etc.

They are looking to sell in the region of 249K - they paid £205K in july 2009

http://www.rightmove.co.uk/property-for-sale/property-37766780.html

Generali

If you go here:

http://www.landregistry.gov.uk/professional/house-prices-and-sales/search-the-index

you can search by area. A quick check of prices for the county as a whole shows that on average, prices are back to where they were in July 2009 almost to the penny: the average price was £130,688 back then and is £130,731 today. The trend over the past year is for nominal prices (i.e. not adjusted for inflation) to be falling by about 2.5% pa.

On that basis, I'd be looking to offer about £200,000 and not paying more than £210,000. Whether they agree with my valuation is a completely different matter!

Unless they got a huge bargain when they bought they are 'avin' a laugh with that price IMO.

HAMISH_MCTAVISH

HARSA wrote: »

Does that mean that you can't expect to get the property cheaper than what they paid for it back in July 2009?

Check recent local comparable sales on actual sold prices on Zoopla.

There is no such thing as a national property market.

And even regional or city indices don't always reflect conditions in a particular suburb, school district, or street.

grizzly1911

I'm with generali.

Know the area well and it is flat/falling from 2009.

Know of several property sales where marked under asking price deals have been done.

Obviously extensions will tend to increase prices and improvements may make it easier to sell at a given price as will location.

HAMISH_MCTAVISH

HARSA wrote: »

Does that mean that you can't expect to get the property cheaper than what they paid for it back in July 2009?

According to Land Registry stats for that area, no, you can't expect to get it cheaper.

The current owners must have spent over £10K on garage conversion into a study & utility room. Also extended pavement and bathroom decor etc.

The property would be worth slightly more if it hadn't been touched at all.

If what they have done has added value (and opinions on that will vary) then it could be worth a fair bit more.

HARSA

Thanks guys. This another property (bigger) next door were built at the same time. The two properties are among much older propertie that was a former RAF living quarters.

Those properties have sold recently and few years back but it's difficult to compare them with this property as they are very different in size and age.

There are about 8 other 5 bed (as you enter the village) built around 2002 on the market for over 9mths -2years priced at £265-£277. An offer of £249K will be accepted on all of them.

Here is one of them

http://www.rightmove.co.uk/property-for-sale/property-19780461.html

Have to add that I prefer the property to the newer built properties which are located at the entrance of the village where they are all cramped together as you can see on the above link.

The property is situated further into the village - although among council houses it offers a bigger drive way and hardly any parking issues. Also unlike the newer properties where your garden is overlooked by many of your neighbours this one is very private.

homelessskilledworker

HAMISH_MCTAVISH wrote: »

According to Land Registry stats for that area, no, you can't expect to get it cheaper.



The property would be worth slightly more if it hadn't been touched at all.

If what they have done has added value (and opinions on that will vary) then it could be worth a fair bit more.

Don't listen to this idiot or any other ramper, and that includes me. Do your own research through land reg sales information, and physically going to the house and area and check the place out.

You might have a good or bad buy depending how you view things and what is now the going price in the market, Hamish cannot possibly know what it is worth, ignore him.

Best of luck finding a home

Generali

HARSA wrote: »

Thanks guys. This another property (bigger) next door were built at the same time. The two properties are among much older propertie that was a former RAF living quarters.

Those properties have sold recently and few years back but it's difficult to compare them with this property as they are very different in size and age.

There are about 8 other 5 bed (as you enter the village) built around 2002 on the market for over 9mths -2years priced at £265-£277. An offer of £249K will be accepted on all of them.

Here is one of them

http://www.rightmove.co.uk/property-for-sale/property-19780461.html

Have to add that I prefer the property to the newer built properties which are located at the entrance of the village where they are all cramped together as you can see on the above link.

The property is situated further into the village - although among council houses it offers a bigger drive way and hardly any parking issues. Also unlike the newer properties where your garden is overlooked by many of your neighbours this one is very private.

Try working out the price per square meter of floor space. It's remarkable how often you'll find that the price is the same across different sized properties in an area.