House price

Grey_it

We put our house up for sale in September for £250,000 which we accepted asking price offer within 3 weeks. We had lots of viewings and interest our buyers were prepared to wait whilst we found somewhere which we eventually did were then gazumped so by then I had enough and withdrew from our sale. Now in the new year intend to try again, in this area, Cambridgeshire, prices are increasing swiftly but wonder if I would be able to sell mine for anymore than £250,000 as the sales tax increases above that. I keep thinking everything else will have increased but I am in the worst price bracket what do people think?

cattie

The best person to be asking this question to is your ea. As you point out, you are in a very awkward price bracket. If your ea thinks you could achieve more then you can at least give it a try & see how it goes.

Often unless you can reasonably expect to market at min. £275k with a view to achieving pretty close to asking price, then buyers are going to want to pay no more than £250k & perhaps a little bit over for f&f's.

However generally solicitors are very wary of clients paying more than £2k in f&f's because of the danger of the tax avoidance issue.

Turnbull2000

How important is it to sell? Price growth in Cambridge should be quite strong over the next 12-18 months, so 250k properties will likely be hitting 280-300k by 2015 - easily clearing the stamp duty threshold.

sleepymans

Turnbull2000 wrote: »

How important is it to sell? Price growth in Cambridge should be quite strong over the next 12-18 months, so 250k properties will likely be hitting 280-300k by 2015 - easily clearing the stamp duty threshold.

Oh really?
Where did you get your crystal ball from? [EMAIL="Woolworths@....dear"]Woolworths? [/EMAIL]
dear, oh dear, oh dear..............

Grey_it

We want to sell as my husband not in great health and would like to release some equity so that if he needs to retire early he can it takes some stress off him. Our estate agent is fairly useless. I think I'm hoping lots more will come onto market and it will slow prices down but if I had a crystal ball for house prices it would be easy. We are mortgage free and would proceed with sale this time and move in with son making us cash buyers but its scary.

harpoboy

sleepymans wrote: »

Oh really?
Where did you get your crystal ball from? [EMAIL="Woolworths@....dear"]Woolworths? [/EMAIL]
dear, oh dear, oh dear..............

Most experts are predicting house price growth of 8% across the UK in 2014, with hotspots like Cambridge exceeding this growth level:
http://www.rightmove.co.uk/news/articles/property-news/2014-prices-forecast-to-rise-by-up-to-8-unless-more-properties-come-to-market

Talc1234

harpoboy wrote: »

Most experts are predicting house price growth of 8% across the UK in 2014, with hotspots like Cambridge exceeding this growth level:
http://www.rightmove.co.uk/news/articles/property-news/2014-prices-forecast-to-rise-by-up-to-8-unless-more-properties-come-to-market

Estate agents tend to predict rises (as opposed to falls) in property, commodity brokers tend to predict rises in the commodities they are hawking. -do you see a pattern?

Without a rise in income household income while there being a likely rise in interest rates I can't imagine that this rise in property being sustained nor advantageous to the majority of people in the country

Turnbull2000

Talc1234 wrote: »

Estate agents tend to predict rises (as opposed to falls) in property, commodity brokers tend to predict rises in the commodities they are hawking. -do you see a pattern?

I pay very little attention to the forecasts of estate agents and lenders. I state we'll see 10% prices gains because that's what the prevailing conditions will support.

Talc1234 wrote: »

Without a rise in income household income while there being a likely rise in interest rates I can't imagine that this rise in property being sustained nor advantageous to the majority of people in the country

Income rises are not required. Suppressed borrowing costs and government support are all that's needed. And likely interest rates rises? Hardly. In 18 months time, rates will be 1% at worst - but still more likely to remain at 0.5%.

The individuals that it's good or bad for is irrelevant. It's good politically and economically over the short-to-medium term - that's all that matters.

Grey_it

Thanks talc1234, I feel obsessed by it at the moment and have previously adored my house but now feel unsettled. I think I am just scared of making the wrong decisions.

Talc1234

Turnbull2000 wrote: »

And likely interest rates rises? Hardly. In 18 months time, rates will be 1% at worst - but still more likely to remain at 0.5%.

The individuals that it's good or bad for is irrelevant. It's good politically and economically over the short-to-medium term - that's all that matters.

The markets believe the base rate will increase to 3% by 2018 - As reported in the Observer 29/12/13

I can't see how people struggling to buy or pay for their home is good politically or economically. Governments should be assisting with the building of new houses not manipulating markets and creating house price bubbles.

Talc1234

Grey_it wrote: »

Thanks talc1234, I feel obsessed by it at the moment and have previously adored my house but now feel unsettled. I think I am just scared of making the wrong decisions.

I don't think there is a good time to sell or buy. If at the moment of time in your life it makes sense to sell then sell. You could lose some money but the chances are the place you are buying will also be more expensive anyway. In view of the situation you are it is perhaps better to concentrate on what is most important.

I might be wrong and prices might rise by 10% next year but I nor anyone else here has a crystal ball. Good luck with what you choose to do.