Houses not selling yet sellers not reducing price!

WTF?_2

guppy wrote: »

Well said, dsp. So many people fail to realise that for most people a house is primarily a home and as such their decisions are largely influenced by circumstances rather than purely financial motives.

Unfortunately, thanks to a substantial increase in the money supply and the resulting willingness of financial institutions to lend money like there's no tomorrow, the housing market has become the subject of much speculation. Either by people buying second/third properties as 'Buy To Let' or just speculators who hold a property then 'flip' it for a profit a few months down the line.

This hasn't deterred large amounts of home buyers from paying the now hugely inflated prices - since they can still get 'affordable' (at least, for the two year fix period) loans to buy.

The forthcoming shakedown will hopefully get rid of a lot of the BTL dross and drive speculators away for some years to come but there are going to be an awful lot of buyers who realise that they have bitten off more than they can chew and will be left in negative equity.

It's a pretty sad day when a house is treated more as an ATM machine or a pension fund than a home but that has been happening more and more in the last five years or so.

guppy

Very true !!!!!!, and I'd say domestic/personal circumstances/sentiment is just as relevant to the amateur BTL crowd. Some say they are in it for the long haul, but in addition to the financial factors, I think many will just lose heart and pack it in too if things go pear shaped.

nicola1982_2

I think the majority of sellers are still in the property boom mindset where being offered less than the asking price just wasn't happening. Occasionally you'll find a diamond in the (greedy) rough and a seller will accept a lower price.

BettiePage

Doozergirl wrote: »

See! The markets are different! Prices in Bedford are obviously falling off a cliff whereas in Brimingham they are positively booming!

http://www.rightmove.co.uk/viewdetails-15601498.rsp?pa_n=1&tr_t=buy

Or if you can't afford a family home then you'll have to settle for a 2 bed flat in a dodgy area.
http://www.rightmove.co.uk/viewdetails-7084701.rsp?pa_n=1&tr_t=buy
It's quite keenly priced considering the second bedroom is only 8' square.

:whistle:

DG, I know that area well and they are definately pricing mistakes :rotfl:

BettiePage

http://www.rightmove.co.uk/viewdetails-7080972.rsp?pa_n=1&tr_t=buy

I hope they took out the padded floors and walls of this one. It used to be the local 'loony bin'.
Oh, and the price is ridiculous!!

Doozergirl

BettiePage wrote: »

http://www.rightmove.co.uk/viewdetails-7080972.rsp?pa_n=1&tr_t=buy

I hope they took out the padded floors and walls of this one. It used to be the local 'loony bin'.
Oh, and the price is ridiculous!!

That's some building. Shame it's not all of it at that price!

Biggie

BettiePage wrote: »

http://www.rightmove.co.uk/viewdetails-7080972.rsp?pa_n=1&tr_t=buy

I hope they took out the padded floors and walls of this one. It used to be the local 'loony bin'.
Oh, and the price is ridiculous!!

I thought the whole of Erdington was a 'loony bin' :rotfl:

defo wouldn't pay that much in Erdington even if it is a PENTHOUSE.

BettiePage

Doozergirl wrote: »

That's some building. Shame it's not all of it at that price!

Do you reckon (price aside) that you(and anyone else who cares to comment) could live in a former asylum/workhouse?

Edit: Funny that the developers blurb doesn't mention the asylum part of it's history.......http://www.pjlivesey-group.co.uk/base_content.html

*Louise*

movilogo wrote: »

I What is preventing them reducing the price by 10% and having a quick sell?

Well, I have just had an offer accepted on a new place, so mine is on the market now - but if I dropped by 10% I would no longer be able to afford the new place. 10% can be a lot of money lost. :eek:


You're lucky you're not trying to buy up here in Scotland - our 'offers over' system is madness!! People want 10-15% OVER the advertised price, and if someone else is after the property you want, you could get locked in a bidding war.:rolleyes: (Thankfully I didn't)

movilogo

Well, I have just had an offer accepted on a new place, so mine is on the market now - but if I dropped by 10% I would no longer be able to afford the new place. 10% can be a lot of money lost.

Exactly! This is the reason why house price should fall. For a chain to be complete, there must a FTB at one end of the chain, otherwise it would become a deadlock. At current situation, FTBs are facing greatest difficulty.

The % of FTBs are lowest now. So, more & more chains are going to fail.