HELP! Should we try going with an agent???

rizla01

barnaby-bear wrote: »

In what way did the surveyor overvalue - a property is worth what someone will pay otherwise it would be the rebuild value?

I have NOT said the surveyor over valued in this instance and the drop in values could be due to a multitude of factors.

What I said was that, FOR A FACT, Mortgage Company Valuers have been known to over-value property.

They are also responsible for refusing mortgages, on their companies behalf, that were easily worth the asking price.

Their job is not a science - it is based on averages, their own personal opinions and likes/dislikes and, of course, pressures from the company that they work for.

nobblyned

rizla01 wrote: »

Thanks for your opinions, Dozergirl.

So Mortgage Company surveyors NEVER overvalue property, Huh? If you say so. I know of a few cases where the valuer has been SACKED by the Mortgage Company for failing in his duties.

It is the lender that has to bear the brunt of any over-valuation should the prop be re-possessed, remember. Many of these so called 'Experts' call round and ask several EA's in order to arrive at their estimation of the true value. Many others rely on instinct or experience.

South facing as opposed to North facing doesn't improve values, just saleability? I disagree.

Facing a river or open parkland as opposed to facing the town DOES improve value.

Parking spaces DO add more value.

Larger floor space DOES increase the value.

Having expensive fittings DOES add to the value AND the saleability.

I assume that you have vast experience as an EA but so, too do I and I now buy & 'do up' property for a living.

The OH is a New Homes Negotiator at present selling apartments of a similar value to this and she has been in Estate Agency for over 20 years.

Perhaps things are different up North as opposed to the leafy suburbs of Essex.

With that experience you know that property is an unregulated marketplace. There would be no leg to stand on with trading standards.

The developer will sell for whatever price people are willing to pay, that is obviously less now than at the time the OP bought. The fact the developer still has unsold units tells its own story. Oversupply of new build flats is a growing problem and this scenario will be played out again and again around the country.

To the OP, unfortunately you will have to compromise on price. I assume having lived in the block you know that the properties the developer is selling are equal to yours - minus the parking space - hence you will never be able to compete with those at a higher price. Unfortunately I don't think a highstreet agent will alter that equation.

rizla01

nobblyned wrote: »

With that experience you know that property is an unregulated marketplace. There would be no leg to stand on with trading standards.

Oh, Dear.:A:A

It has never occurred to anyone that the EA MIGHT have been on a back-hander then? There have been loads of examples of EA's pushing prices for cash rewards.

Hence my previous questions!!

How long ago did the original price get paid?

Was it bought through a reputable agent?

I would consider contacting trading standards over this amount.

Don't know if they can help but SOMEONE has been a bit remiss in the original valuation.

Surprisingly not all EA's are whiter than white.

£40k needs a LOT of justifying wouldn't you agree?. That is nearly 25%!!!!!

No-where in the UK have props dropped by that amount. That is ridiculous.

If the drop in values happened in increments then that is a little more acceptable but if the drop was a 40k drop then I suggest it should be looked into.

If anyone wishes to criticise my statements then, please feel free but do me a favour and READ the thread, properly.

nobblyned

rizla01 wrote: »

Oh, Dear.:A:A

It has never occurred to anyone that the EA MIGHT have been on a back-hander then? There have been loads of examples of EA's pushing prices for cash rewards.

Surprisingly not all EA's are whiter than white.

£40k needs a LOT of justifying wouldn't you agree?. That is nearly 25%!!!!!

No-where in the UK have props dropped by that amount. That is ridiculous.

If the drop in values happened in increments then that is a little more acceptable but if the drop was a 40k drop then I suggest it should be looked into.

My point is the OP's partner thought the price was worth it because they paid it.

A transaction can only take place between a willing buyer and a willing seller. The buyers no longer seem to be so willing.

Cheddar_2

Wow guys - thanks for your huge response so far! :beer:

1. I have now checked the T&C's at Housenetwork and they state:

In the event of a buyer being introduced to you by House Network Ltd during the period of contract stated and subsequently entering into a binding contract to purchase the property, House Network shall be entitled to a commission of £199 regardless of the final agreed sale price which shall be payable within 10 working days of the completion date.

So I guess that means if we sell via introduction by another means, we don't pay them their £199 It was more the other way round I was worried about, i.e. estate agents trying to claim their commission if we sell via Housenetwork.

2. Yes, my wife bought 'OFF PLAN'. She has now arrived home and corrected me - the ones the developer is selling are going for £165,000 and the ones for cheaper are private sale (1 is a reposession and is the apartment right opposite our front door!!)

3. Our apartment does have the benefit of 2 largish bedrooms (the one opposite ours has 2 bedrooms, but one is very small). Also, we do have a dual aspect, so as well as having no neighbours to one side, we have a window in the bathroom and an extra one in the master bedroom, which the others on our floor do not have.

4. Doozergirl - you must have read my mind! On Friday, I retook the outside shots, and have just this second received an email to say that the updates have been made, as well as a '***REDUCED FOR QUICK SALE***' wording at the top of our description.

Re. the master bedroom, we are thinking of having the shots retaken as we have a kingsize bed in there - it would obviously look better if we replaced it with a double instead. Oh, and yes - the curtains are gorgeous aren't they?! We picked them as wedding gifts from Next

5. We can't really go any lower than we are advertising for now...
BUT

... there is a problem... This is the view BELOW our balcony...



The old carpet mill has been demolished and has been bought by a developer... and guess what? Yup, they're building 24 luxury apartments on the site, in a 5 storey high building :mad: :mad: :mad:

Eeeeeeeeeeeeeeek! :eek:

Cheddar_2

Oh, for anyone interested in seeing our property on Housenetwork, here's the link:

http://www.housenetwork.co.uk/my_site.asp?id=acornrm&house=1

Any other advice greatly appreciated!

Were thinking of buying a plasma - think it'd look good on the feature wall or would that be too much?

P.S. Don't slag the wallpaper off it you don't like it - cost us £25 a roll

Doozergirl

Cheddar wrote: »

The old carpet mill has been demolished and has been bought by a developer... and guess what? Yup, they're building 24 luxury apartments on the site, in a 5 storey high building :mad: :mad: :mad:

Oh my. What a nightmare for you What else can I suggest?

The front picture is very important as it is the one that makes people want to click through and look at the property. The original outside picture really isn't doing any justice to the building.

Doozergirl

rizla01 wrote: »

So Mortgage Company surveyors NEVER overvalue property, Huh? If you say so.

So quote me? Don't put words in mouth

rizla01 wrote: »

I assume that you have vast experience as an EA but so, too do I and I now buy & 'do up' property for a living.

The OH is a New Homes Negotiator at present selling apartments of a similar value to this and she has been in Estate Agency for over 20 years.

I don't need to bang on about my credentials to try and get people to listen to what I have to say because it doesn't matter a jot. People either read what I say and like it, or they don't. It doesn't matter if I've never even bought a house before. You can't tell in a place like this.

rizla01 wrote: »

Perhaps things are different up North as opposed to the leafy suburbs of Essex.

YAWN. I don't live anywhere near Essex either so using the North/South divide won't help you discredit me.

If you want to make wild assumptions, I'd try and do it at a time other than when you're trying to convince people how much sense you talk.


I know I'm not the only one to have noticed that new build apartment values have been falling. Someone posted a link to an article within the last week. 2004 was the year of 'city centre living' but interst rate rises caused people to panic and prices fell. Prices in my nearest city have not still not recovered to that point.

We are getting more and more people on this board who are struggling to sell their new build apartments.

When you factor in the developers premium over any similiar second hand product; the fact that 'City Centre Living' in the provinces (in fact, in City centres!) is a niche market; the fact that there is now a vast oversupply of this niche product; the fact that the lifestyle isn't quite so glamorous once people have moved their Argos furniture in (I'm not referring to the OP's apartment at all, it's a lovely example), there's no surprise that you suffer price falls.

Flats across the road from me sell for £20,000 less than they were bought for new, 3 years ago. They were cheaper new than the OPs asking price. I know of another development where prices have dropped by £40,000 and are still going. They are only just approaching where they should be when you compare their size to what else is on the market. I couldn't believe that people would pay the price of a 3 bed semi for a 2 bed apartment but people did and because enough people were prepared to, they set the prices.

What sort of evidence can the OP take to Trading Standards when this is happening, en masse, up and down the country?

The value of your investment can go down as well as up.

nelly_2

Cheddar wrote: »

P.S. Don't slag the wallpaper off it you don't like it - cost us £25 a roll

:rotfl:

Im sure I know that building I work all around Manchester and have been to oldham often


[edit]

I just checked the snake there are nearly 100 price drops in your post code

http://www.propertysnake.co.uk/site/postcode/ol4

mr.broderick

Ive just reported this thread..getting a little heated...