Bristol flat price increase!

stardust09

Hi, I am a FTB, I know Open House viewings often advertise a low price to encourage interest then spark bidding wars to get much higher prices. I am worried as I don't want to potentially over-bid but don't want to lose out either.

Has anyone got any views?

marksoton

stardust09 wrote: »

I am worried as I don't want to potentially over-bid but am alarmed that the sales prices this time is likely to be around the same mark

Well don't then. Set yourself a limit and stick to it.

Bluebirdman_of_Alcathays

stardust09 wrote: »

Hi, I am a FTB looking at a nearly-new build flat next weekend, which was built in July 2015 and bought as a city-pad but the owner is now selling. The link is https://andrewsonline.co.uk/sale/details/146437/stillhouse-lane-bedminster-bristol-bs3-4eb.

Right by bemmie bridge - convenient

It's a small place and it looks like it was bought for 150k originally. It's on the market at 170k and is being viewed in a 2 hour Open House style with 15 minute appointment slots. I like the look of it but am concerned as a previous sale fell through - at 190k!

Who told you that? And why do you believe them?
The buyer apparently had to relocate to London for work and the bank wouldn't let him convert his mortgage to a buy-to-let.

Not really relevant, but I don't really believe this one either

I know Open House viewings often advertise a low price to encourage interest then spark bidding wars to get much higher prices

That is a side effect, yes, but it is also a practicality - everything in Bristol is selling at the moment. If you were an EA, why bother traipsing over to a property day after day when you can get it done in 2 hours?

However, to buy a flat in July 2015 for 150k then sell it just over a year later for 190k seems asolutely ludicrous.

Why? Things are worth what people are willing to pay for them. 1 beds in Squires Court have been going for around that for some time, and that's round the corner.
I'm not even sure it's worth that much, but I am so desperate to move and the location is perfect for me. The garden of the house is on a possessory title but there's indemnity insurance in place to cover it and there's a 149 year lease remaining.

So it's sounding positive

I'm not sure whether to view or not, given its previous sale price. I am concerned about negative equity but I'm assuming that the buyer who fell through from the August viewings must have had a favourable valuation from his mortgage provider (if he got that far).

What it's sold for previously is totally irrelevant. Honestly. Forget about it. Marmite sold for 20% less 6 months ago, now it costs more. As for previous purchaser (if it's to be believed), who knows what their mortgage provider thinks/thought? Yours may well think something totally different.

I am worried as I don't want to potentially over-bid but am alarmed that the sales prices this time is likely to be around the same mark as last time.

Has anyone got any views?

If you want it, look at it and bid what you think it's worth to you. By your own admission, you really want it and are desperate to move. There is no correct answer - you have to do what works for you.

ST1991

Bristol will always sell, especially in a popular location and close to town. I also think that flat looks lovely by the pictures and will most likely sell quickly.

Only offer what you are happy to pay. If it was previously accepted at £190K and this is common knowledge, there is nothing to stop it from going to that again.

But it will be yours for many years to come, i assume, and is better than renting!

RE: negative equity, there is no telling what the housing market will do and you'd never buy if you thought like that. If your valuation comes back OK that's all i'd worry about.

aussie_in_wales

We live in Bedminster and recently had our house valued as we're looking to get something with a larger garden. It may be worth knowing that the EA's in that area are putting houses/flats on at certain prices to ensure they fall into a greater number of searches and are expecting 10-15% more than the advertised price! That's what we were told anyway. Good luck with your purchase. I wouldn't worry about what's been paid in the past. Prices in Bristol seem to be rising almost daily! Supply and demand.....