Ever feel you will never get to buy your own place

Thorson

Well its been a few pretty painful and demotivating months, we have put 5 offers on 5 different properties all over the asking price and still haven't got anywhere

We are ftb have a decision in principle and a 10% deposit and am really starting to loose hope. The problem is the properties are so few and far between they end up going for £10k over the asking price.

Oh well sorry for the unhappy post just need to get it out, as I'm feeling pretty rubbish about it!!

Thanks for reading

Cakeguts

If they all go for 10k over the asking price then you need to offer on properties that are cheaper so that you can afford to offer the extra 10k. So for example if you have worked out that your limit is 100k just an example in round numbers and property with an asking price of 100k goes for 110k you need to be looking for something with an asking price of 85k to 90k so that the extra 10k over the asking price isn't more than your limit. The numbers are just for example you can put your own numbers in.

Caz3121

how are the asking prices in comparison to valuations
If a property is marketed at £90k and you offer £100k, that would work if the valuation is £100k or more but not if the valuation is £90k
in the first case you would need the 10% £10k deposit, in the second situation any mortgage would be based on £90k so you would need 10% + the amount over the valuation...so £19k
What part of the country are you in?

Thorson

I'm In Essex (but still a London Borough).

The properties are being marketed at for example £215,000/ £220,000 and just going for silly numbers but like you said I don't think they are being valued at the prices that are being accepted.

We know this for definite with one property as the estate agent confirmed it and the seller had to renegotiate on the price when the valuation came back lower.

It just doesn't make sense

TrickyTree83

No it doesn't. The sooner the system is changed so that the valuation is done by the seller prior to sale the better.

That way everyone knows what the valuation is, then if you choose to pay more than the valuation then you need to understand how it will affect the LTV before you even take that decision. At the moment the process is wrong in my opinion. It still won't help the OP's situation, OP just need to keep going.

wjr4

I'm also having trouble finding any suitable property in general! I'm in Chelmsford.. even looking further away from Chelmsford I can't find anything! I work probably near to where you live so anywhere further than Chelmsford would take me over an hour/hour and a half to get to work! Such a struggle just trying to find somewhere that is half-decent for a reasonable price.. also doesn't help how you only receive the Help to Buy ISA bonus for properties up to £250k (outside of London!).. Hopefully you will find something soon

Thorson

Hi Rjw4,

I'm not too far from you really (Romford). Glad that It's not just me that's struggling I think the market round this way is just silly.

Like you said the good places are being taken before I can even book a viewing sometimes and you know when a property isn't any good ad it just sits on the market for ages and doesn't sell!

Hope you find something soon too

TrickyTree83

Thorson wrote: »

Hi Rjw4,

I'm not too far from you really (Romford). Glad that It's not just me that's struggling I think the market round this way is just silly.

Like you said the good places are being taken before I can even book a viewing sometimes and you know when a property isn't any good ad it just sits on the market for ages and doesn't sell!

Hope you find something soon too

In that case I'd get yourself on the books of the local estate agents, they will likely inform you when properties are presented to them for sale, before the boards go up, before the rightmove ad's go up, etc...

booksurr

TrickyTree83 wrote: »

No it doesn't. The sooner the system is changed so that the valuation is done by the seller prior to sale the better.

LOL, if you think that is the solution perhaps you would care to re-think your idea

so as seller I value my property at £10 milion. If I sold it under the current system the bank's view would be rather different, as I'm sure, would be the purchaser's !!!!!!!!!!!

Thorson

But the problem is everyone is doing the same- for one property there is normally 20 plus viewings and some of these are only for priority buyers (on the estate agents priority list).

There is just not enough properties to go around for the demand oh well will have to just keep looking.

TrickyTree83

booksurr wrote: »

LOL, if you think that is the solution perhaps you would care to re-think your idea

so as seller I value my property at £10 milion. If I sold it under the current system the bank's view would be rather different, as I'm sure, would be the purchaser's !!!!!!!!!!!

Are you for real? Did you even read what I posted?

If the valuation (by survey) carried out by the seller came back at £200k, then the seller should list it at that value. If there is a bunch of buyers then the seller may get more than the value of the property, in much the same way that it operates at the minute. The only difference being that you don't start off with pie-in-the-sky valuations from people with a vested interest in ripping people off and then causing problems down the line when the survey says it's worth £50k less than the person/s selling and the EA arbitrarily decided it was worth.

The very example you gave of valuing your property at £10m is the problem.