Houses on £250-£275k range, psychological barrier

movilogo

I wonder what psychology plays in vendors' minds.

I offered £250k on a house but vendor wants £260k. I feel it is bit numpty to ask just over a stamp duty threshold. If I buy the house for £260k and then a 1-2 years later I have to sell it, I'll be exactly in same situation that would be buyers wouldn't be wiling to offer higher than threshold.

I have seen some houses which are in £280-£290k range but they are not really that better compared to £260k-£270k (asking) range houses.

I think some sellers assume that £250-£265k will be dragged down to £250k mark so they price their houses towards £300k and just assume they will get something in £270-£280k zone.

Any thoughts?

PS: This is in South East but not in London region.

pinkteapot

Vendor won't get £260k unless the market is really hot where you are, or unless £260k is a bargain for that property (i.e. similar ones are selling for £300k and it's under-priced to sell fast).

The stamp duty thing causes a huge break in the market at that point. We're selling for £250k. We did market at £280k just on the off-chance someone was desperate enough to pay more, but have ended up with £250k, exactly as expected.

You're right that if you have to sell in the short term for any reason, you'll only get £250k, until such time as it's worth £275k or more.

Up to you though - depends how badly you want that particular house.

verulamium

It isn't the vendors fault that the stamp duty system in this country is so messed up. A friend of ours marketed their house at £275k. Loads of offers at £250k naturally, but they eventually sold it for £265k as buyers had to up their offers. So it really depends on the market and how much you want the place.

AndyGuil

If it is priced near £250k then it will sell for that normally. Typically they only break away from that anchor when the value has risen towards £300k.

pinkteapot

My mum did have someone offer and pay £253k for hers, but they were a bit bonkers.

Road_Hog

I thought the deal was that you paid £10K for carpets and curtains.

movilogo

Road_Hog wrote: »

I thought the deal was that you paid £10K for carpets and curtains.

Chattel deal is often challenged by HMRC, sometimes after several months of the sale.

AndyGuil

Road_Hog wrote: »

I thought the deal was that you paid £10K for carpets and curtains.

Illegal now and will be checked by HMRC.

abankerbutnotafatcat

I bought at £250k and my mindset was that the property would have to be worth over £270k (whether through improvements or the general market) before I'd look to sell.

I knew that I'd probably got £260k ish worth of property when I bought and I knew it would work the same way when I sold until it was clear of the 'no man's land' created by stamp duty.

Billie-S

Road_Hog wrote: »

I thought the deal was that you paid £10K for carpets and curtains.

:eek:

Are they made from gold and diamonds?

pawpurrs

My house was up for £275 accepted a couple of k under.