Confused .... Please help

guppy

Does seem too cheap...UK average is 17% according to the Nationwide HPI. This suggests either the owner or the property has a problem...but which...

Any changes in the area? Planning issues? Management company issues? New roof required for the block? Even if the seller was desperate, it sounds too cheap...

loksat

We went to that house yesterday and checked with the owner. They said they were not in a hurry to move out. Their planned date is 18th January. No problems with the building. NO changes in the area. We currently live about 1 mile far from this house. This house was built around late 1960's. Inside the house everything seems to be very good. cant see any structural damage.

The area is very central in the city. Just cant think what could be the reason. The house is freehold when enquired.

The lenders will do a valuation and survey. Do we have to do a private valuation and survey to make sure everything is fine???

m00m00

it depends entirely on the area

in this area where I am, I've seen properties sold for 220k in 2005, up for 205k this year.

not everywhere has had rampant HPI over the past 2 years

ckerrd

Near me EAs expect "offers over" to fetch almost 30% more than the initial figure.
Sometimes the amount is set low to attract people as Nenen suggests

loksat

The lenders will do a valuation and survey. Do we have to do a private valuation and survey to make sure everything is fine???

KiKi

Hi there OP.

There are three levels or survey: The lender's survey is merely a survey to ensure that the house is worth what you're paying.

The second level is a homebuyer's survey, and the third level is a full structural survey.

Personally, I *always* get my own structural survey, as I live in an area of Victorian houses which tend to have unseen structural problems. I work on the basis that £500 is a small price compared to the £200K you might spend on a flat. If you are concerned, put your mind at rest, but the only survey that will go into structural detail is that last survey. You only get a survey done once you've put an offer in and had it accepted.

FYI, if this is a flat with the freehold, and not a house, then it's *probably* a share of the freehold, not the whole thing (just so you're aware) - unless the flat comes with the freehold for the whole building which would be unlikely.

It might be that the seller has had problems with no offers, it might be that the EA are trying to entice you in with a low price, then push the price up. It may be that there are maintenance costs which are coming up which the buyer is trying to mitigate against. It may be any number of things.

However, the EAs and seller are also unlikely to tell you if there is a problem, like noisy neighbours etc. So it might be worth a little investigation by speaking to other owners in the near vicinity.

Hope all goes well.

loksat

THanks Kiki.

We live in Scotland. So once we put an offer, it is legally binding. so do you think a homebuyers survey is needed before that. or will the lenders survey be sufficient?

telfordwhite

I would say that (certainly where I live) house prices are now at pretty much what they were in 2005. perhaps a bit less so I would say the price advertised is about right.

I'm talking "sold for" prices here cos many people are asking more but not selling.

cattie

Ah, as you've stated you live in Scotland it would seem you've answered your own question as the offers over system works in Scotland, unlike in the rest of the UK.

I don't know much about the Scottish housing market but do understand that vendors expect to get at least 30% above offers over price & in some places where property is in high demand, they can actually achieve 50-60% above the o/o price.

macaroni

loksat wrote: »

We went to that house yesterday and checked with the owner. They said they were not in a hurry to move out. Their planned date is 18th January.

!18th January??! Thats not exactly a ling time away is it ??? Certainly not a date Id use if I werent in a hurry to move out !!