When to reduce house price ?

MadMonkey

SquatNow wrote: »

So in other words ALL the houses in the are are overpriced.

If they weren't overpriced people would be buying them.

Look I can prove my point. Just drop the price to £100,000 and see how much interest you get. If it sells, I'm right, if it doesn't then I'll admit I'm wrong.

I am pretty sure if I stick it on Ebay at 99p it will sell - that does not help me really does it:rotfl:

What I was asking in my OP was if "all" sellers are going to start knocking prices down ? I don't want to knock 50k off mine but then be knackered as no-one else does.

Will EA start recomending price cuts soon ?

Also if i were to knock it down - what price would help ?

100K would shift it but then we would have priced ourselves out of buying another one and as we are not investors we would be a bit stuck then as there are not many cardboard boxes big enough for 2 adults and 3 kids.

SquatNow

EAs are trying to convince people there is nothing wrong, but yes, soon they will start recommending price cut in the hope of getting some sales through. If they have no sales they have no commission.

I'de suggest dropping it in £10k increments waiting a couple of weeks in between each drop to see if anyone shows any interest. As soon as people start coming to have a look you know what price to ask for.

If several people make offers you can always get them to bid against each other, but you can't start negotiations until you have someone will to part with some cash.

What it comes down to is no-one is prepared to pay the price you are asking, so you need to find out how much they ARE willing to pay.

You can either drop the price or grab a clipboard and do a survey!

MadMonkey

We have decided to drop it in 5k increments as 10k is too scary !!

So if we drop 5k tomorrow how long do we leave it before the next drop ?

Thanks

hearts

I think you are being very very hasty. We may see an interest rate cut soon and the market could pick up again on the back of it. Buyers are nervous at the moment but it wont last. Unlike those trying to talk down the market I think there is a good chance of it going the other way. ;-)

SquatNow

It depends on quickly you need to sell.

A couple of weeks at least but not as much as a month... people with money to spend will be checking rightmove daily. Probably browsing it all day at work, which is terrible, and they should be on MSE instead. If no-ones bitten after 2 weeks it's unlikely they will.

It partly comes down to this: the lower you go, the more genuine the offer you'll get. If someone is "considering" your property then there is a good chance it will fall through. If someone definately wants it, you'll know about it within a couple of weeks.

To play the counter argument, you could hold out for the full price. You might get lucky. You might even get more if the market goes up. It depends on the risk you want to take. If you wait and prices fall, you'll lose even more money.

Experts are saying prices arn't going up any more. All the experts. Except for a couple of morons at the halifax.

carolt

Sorry, think the house looks lovely - it's not huge but for a small family/couple it would be OK.

But can't believe noone's mentioned the bathroom! A downstairs bathroom in a family house is a real turn-off for me - I've dismissed several houses out of hand because they had downstairs bathrooms. Frankly, those with small kids ie young families likely to buy a house like this know how undesirable it is for their barely-toilet-trained offspring to be staggering downstairs in the middle of the night in the attempt to make it to the loo without an accident! Basically, I see '3 bed' houses with a downstairs bathroom as effectively 2 beds where someone's created a third bed by nicking the bathroom, and price it accordingly, as a 2 bed.

So maybe you need to look at what 2 bed houses round your way are selling for, and price it accordingly.

Sorry to be brutal, but honest.

EdInvestor

hearts wrote: »

In my opinion people don't view for 3 reasons.

1. The price is out of their range.
2. Its not in an area they are interested in.
3. They haven't seen it advertised.

All possible, but there could also be no viewings if:

1.The agents don't have the keys or do have the keys but are lazy
2.The owners are only willing to show the property at occasional and/or inconvenient times
3.The particulars, photos and price of the property make it look very uncompetitive with other similar properties in the area