Moving advice - to part ex or not to part ex

Grasshopper_UK_2

Hi, just looking for some advice, thanks.
For... reasons, we are in a property that we really want to move out of (it's a nice property, in good nick, just too small and no garden). Tried to sell it last year but no joy and then lockdown happened. Now that lockdown is eased for a while (well, until the plague takes off again ) we'd like to make progress, however the virus situation is a bit scary and I'm not well keen to have tons of viewings done on this property while we're living in it.... Currently having a valuation done by a local property developer to see if they will part exchange for a new build, which would minimise viewings I hope. I am aware that I'm not likely to get a good valuation amount though (current property is leasehold but 100 years left on the lease, this developer will consider it but I know some don't). What are people's experiences with how much of the market price you tend to get for your place in part ex? Is it better to go for part ex on a new build, or try one of the 'we buy any house' property cash buyer places? (I suppose the advantage of a cash buyer is that you can choose any house to buy, not just new build, but I've heard that some of those companies are sharks....
Any tips appreciated... thanks.

RelievedSheff

We part exchanged our old house against a new build this time last year. We got 90% (£90k) of the price we could have got with a private sale but we didn't have estate agents fees to pay, legal fees to pay or stamp duty on our new home so really we were not far out on the deal.

We found it worth it for the quick sale and no hassle sale.

saajan_12

Both part ex and quick cash buyer companies will look to purchase your house very cheaply, so that they can resell to a buyer. The discount from market would need to be enough to cover potential fluctuations in house prices until they are able to sell, borrowing cost of the funds plus their profit. This is usually a BIG difference to market price. 

What's your rationale for part ex / cash buyer? They are usually designed for sellers in a massive rush, or who have their heart set on a particular dream new build and can't get a normal sale lined up. Then the discount to market price might be worth it. If its just to avoid viewings due to the virus, then there must be other, cheaper ways to get around this. E.g.
- get a good quality, comprehensive video / 360 deg advert done, so most people can do the viewing virtually. Only invite serious buyers, once they have a DIP / verifiable funds, and interested at a particular level. ; or
- move out to an AirB&B or short term rental for 3-6 months and get an agent to carry out viewings. If you only return to your property x days after the last viewing, any virus risk should be gone. 

Grasshopper_UK_2

Well it's all just gone pear shaped anyway as the builder has decided not to do any part ex (at all) following lockdown. We'll get a stupidly low amount from a cash buyer.

The property is a flat. We're keen to get out and into a house because lockdown hasn't been any fun. I think demand for flats is likely to be low now though will have to see what happens to the market over the next while I guess

ecraig

Grasshopper_UK_2 said:

Well it's all just gone pear shaped anyway as the builder has decided not to do any part ex (at all) following lockdown. We'll get a stupidly low amount from a cash buyer.

The property is a flat. We're keen to get out and into a house because lockdown hasn't been any fun. I think demand for flats is likely to be low now though will have to see what happens to the market over the next while I guess

I think demand for flats will be as high as demand for houses.
this is because people have had time to consider the operating costs of their homes and many people will believe that they can either get out of a rental and purchase a flat or their own; their landlord may now want sell their “investment”; their house is too large and expensive to run now they’ve have 80% of their income available; they want to release some equity; relationship breakdowns having been cooped up with their partner for a couple of months.
I could well be wrong, but everyone has their own circumstances. I don’t think flat ownership is dead. 

Grasshopper_UK_2

Incidentally, is anyone else finding that builders are freezing their part ex schemes at the moment?