Selling house - market slower?

stevie_wonder

Curv wrote: »

Post your Rightmove link and we'll give you feedback...

http://www.rightmove.co.uk/viewdetails-8301651.rsp?pa_n=6&tr_t=buy

WTF?_2

Curv wrote: »

In my area it's lack of willing buyers - full stop! Houses are coming on to the market all the time, often at overly optimistic prices. Many are being reduced, but still no takers. Now I'm sure someone will be along soon to point out that clearly the reductions aren't swathing enough, or some other such well-observed advice. But we all have our limits as to how low we'll go.

There seems to be a stand-off situation right now and many buyers seem to be labouring under the illusion that if they just wait a little while they'll be able to buy one and get one free or something.

In actual fact, many vendors trading up (like us) don't HAVE to sell. Sure, we need more space but we can manage as we are if needs be. We don't have the threat of a repossession hanging over us so we can afford to wait and see... for years if necessary. I suspect that whilst ever interest rates are manageable many other vendors will take this stance too, which will only serve to slow the market down further (once FTBs have bought off all the BTLs, of course!).

In my area, vendors have got the message that it's about price and are taking action. If buyers would meet them half way there wouldn't be a problem.

Given the amount of time and money involved in moving houses it makes sense to move as little as possible. I get the impression that many people got blinded by the potential equity in their property and the possibility to leverage themselves even further, when the market was going up.

As for how low you are prepared to go - as long as you have equity in your house you're ahead. If you're trading up to a bigger property then lower prices all around are good for you (you'll have less you need to borrow/spend on the tradeup).

If buyers still aren't biting after vendors lower prices, then it should be pretty clear that the vendors haven't lowered their prices enough. I'm constantly amazed at the attitude of some sellers who think that living in their house for a few years entitles them to tens or even hundreds of thousands of pounds of tax free profit at sale time. They won't countenance making 'only' 60k profit when it 'should' be 78k or some such figure based on the peak of the market.

Curv

stevie_wonder wrote: »

Anyway I asked if anyone thought it was quieter in the market now than over the summer, not whether I was pricing my house too high!

Well, October is traditionally quieter than the summer, so no matter what the state of the market the answer to that will almost aways be 'yes'.

movilogo

But we all have our limits as to how low we'll go.

Buyers also have a limit how far they can go!

Many buyers are also not forced to buy any way. I am currently renting a 1-bed massionette (furnished with parking) for just £450 pcm. If I buy a small 2-bed house it would be at least £900 in mortgage or so. So, I am also not in a hurry. To be honest, other than going to work every weekday, there is nothing I HAVE to do.

If all buyers and sellers stop activities, the market will slow down gradually. That is what I want. No more ludicrous % house price increase every year!

With BTL drying up, unless you get enough FTB, none of the chains will complete! It will just become a deadlock situation. So, for a healthy market, you need a
good number of FTBs.

Curv

!!!!!!? wrote: »

They won't countenance making 'only' 60k profit when it 'should' be 78k or some such figure based on the peak of the market.

LOL

I'd love to be making £60k. All I want is to achieve enough to enable us to move up one rung of the 'ladder' and give us the space we'd like. But it seems as if buyers want blood with it too and we aren't going to cripple ourselves with unrealistic mortgage payments just so that someone else can bag themselves a bargain. If there's no compromise I'd rather stay put.

stevie_wonder

Curv wrote: »

LOL

If there's no compromise I'd rather stay put.

I'm with you on this one Curv (maybe cause we're in the same situation, not sure). We will be buying a bigger house, but can make do with the space we've got. If ours doesnt sell, whatever the reason, its still our home (even it does have equity in it).

movilogo

The EA chap, who showed me the house last week, moaning that he too can't afford a house yet (in his early 30s - still living with his parents) and he also wished that price come down!

stevie_wonder

I agree that there is a problem with salaries, house prices and the lenders' affordability calculations. Most FTB's will have a low level of salary and therefore be unable to afford houses at current prices.

Mrs_Thrify

Hello Steve, I think you have a lovely big house (looked on the rightmove thing you posted) 3 large bedrooms and the loft room as an extra bedroom. I think you will be pushed to get better :rolleyes: . Have you got any parking? it so matters theese days.
Good luck with selling...

stevie_wonder

julie_d wrote: »

Hello Steve, I think you have a lovely big house (looked on the rightmove thing you posted) 3 large bedrooms and the loft room as an extra bedroom. I think you will be pushed to get better :rolleyes: . Have you got any parking? it so matters theese days.
Good luck with selling...

Thanks for that, parking is on the road, and this is the same for 95% of the area we live in. I agree it would make a difference, but people looking to buy in this area "should" know what to expect.
:beer: