We've been down-valued by more than anyone expected. What can we do?

Ramouth

lookstraightahead said:

Although usually they would only have the choice once they sell their house and are very probably in a chain, which a FTB isn't.

I would rather sell at a realistic price to a buyer with no chain.

I would rather sell at maximum price to a buyer without a chain!

A good agent should be checking that anyone who offers over guide price / asking price is aware that they are likely to need the cash to back it up.

[Deleted User]

newsgroupmonkey_ said:

[Deleted User] said:

What you mean is that FTBs haven't yet been completely brainwashed by the utter insanity of the UK housing market, so won't automatically accept sub-standard rubbish. Eventually the awful reality of life here grinds them down, but it's a process they have to go through and you would rather not be the one to deliver the bad news.

Welcome to Adulting and what's known in the industry as "maintenance".
If you don't like it, buy a new build.

New builds are even worse.

RS2OOO

diggingdude said:

The criticism of FTBs is unfortunately a downside of a free internet forum. A lot of people forget when they knew nothing

Oh, I remember ok.
Can't believe what I put the vendors through due to my total lack of understanding, and more to the point I can't believe they actually honoured my demands.

But its fair to say I had forgotten, until the FTBs who offered on my house reminded me. They subsequently pulled out. 

Given the choice and all things being equal I'd swerve an FTB if I thought they might be a bit too naïve.

lookstraightahead

Ramouth said:

lookstraightahead said:

Although usually they would only have the choice once they sell their house and are very probably in a chain, which a FTB isn't.

I would rather sell at a realistic price to a buyer with no chain.

I would rather sell at maximum price to a buyer without a chain!

A good agent should be checking that anyone who offers over guide price / asking price is aware that they are likely to need the cash to back it up.

That I agree with. But those without a chain and with the finances won't give 'maximum' price (by that I mean a silly amount). If more vendors didn't accept silly amounts then they are more likely to sell, rather than the short term excitement of "loadsamoney" only to be disappointed.

Gavin83

RS2OOO said:

diggingdude said:

The criticism of FTBs is unfortunately a downside of a free internet forum. A lot of people forget when they knew nothing

Oh, I remember ok.
Can't believe what I put the vendors through due to my total lack of understanding, and more to the point I can't believe they actually honoured my demands.

But its fair to say I had forgotten, until the FTBs who offered on my house reminded me. They subsequently pulled out. 

Given the choice and all things being equal I'd swerve an FTB if I thought they might be a bit too naïve.

I don't have an issue with someone being new to something (we were all FTBs once) but I would expect them to at least make an effort to learn the basics. Whether that be via a broker, reading up or posting on a forum such as this I don't mind but they certainly shouldn't be bothering their vendor with this. Also, if you're totally naive to a process people are more likely to take advantage.

lookstraightahead said:

Ramouth said:

lookstraightahead said:

Although usually they would only have the choice once they sell their house and are very probably in a chain, which a FTB isn't.

I would rather sell at a realistic price to a buyer with no chain.

I would rather sell at maximum price to a buyer without a chain!

A good agent should be checking that anyone who offers over guide price / asking price is aware that they are likely to need the cash to back it up.

That I agree with. But those without a chain and with the finances won't give 'maximum' price (by that I mean a silly amount). If more vendors didn't accept silly amounts then they are more likely to sell, rather than the short term excitement of "loadsamoney" only to be disappointed.

But houses are selling for silly money, which is a pretty subjective term in itself. In my area there have been lots of houses selling for over asking, some seriously over. This is based on actual land registry sold prices too. Of course there are others that have been relisted (lets assume due to a down valuation) and others that have sold for less than the original offer. However the number selling for over asking aren't trivial.

The more houses that sell for over asking the more "unrealistic" vendors will get. If someone hears their neighbour has sold for over asking they'll want a piece of that too. It'll be a case of "If their house is worth that kind of money, why wouldn't mine be?"
 
It's a difficult market out there at the moment, especially for FTBs. I suspect it'll get easier but there's every chance these current silly prices will become tomorrows normal prices.

RS2OOO

Gavin83 said:

RS2OOO said:

diggingdude said:

The criticism of FTBs is unfortunately a downside of a free internet forum. A lot of people forget when they knew nothing

Oh, I remember ok.
Can't believe what I put the vendors through due to my total lack of understanding, and more to the point I can't believe they actually honoured my demands.

But its fair to say I had forgotten, until the FTBs who offered on my house reminded me. They subsequently pulled out. 

Given the choice and all things being equal I'd swerve an FTB if I thought they might be a bit too naïve.

I don't have an issue with someone being new to something (we were all FTBs once) but I would expect them to at least make an effort to learn the basics. Whether that be via a broker, reading up or posting on a forum such as this I don't mind but they certainly shouldn't be bothering their vendor with this. Also, if you're totally naive to a process people are more likely to take advantage.

I'm thinking 'naivety' in the sense of the "My Sofa won't fit against the wall" thread where the FTBs wanted Vendor to move a doorway so their sofa would fit.

That was a rather extreme case.
Typical cases seem to revolve around price negotiations for 'missing' EICRs and lack of Boiler Servicing.

As FTB I negotiated, dare I admit, fitment of a Shower over the bath. Felt quite silly afterwards for putting the Vendors through that. That said, I didn't care about the rewireable fuse board, I saw the simplicity as a positive.

Slithery

RS2OOO said:

That said, I didn't care about the rewireable fuse board, I saw the simplicity as a positive.

And a negative?

Mahsroh

RS2OOO said:

Gavin83 said:

RS2OOO said:

diggingdude said:

The criticism of FTBs is unfortunately a downside of a free internet forum. A lot of people forget when they knew nothing

Oh, I remember ok.
Can't believe what I put the vendors through due to my total lack of understanding, and more to the point I can't believe they actually honoured my demands.

But its fair to say I had forgotten, until the FTBs who offered on my house reminded me. They subsequently pulled out. 

Given the choice and all things being equal I'd swerve an FTB if I thought they might be a bit too naïve.

I don't have an issue with someone being new to something (we were all FTBs once) but I would expect them to at least make an effort to learn the basics. Whether that be via a broker, reading up or posting on a forum such as this I don't mind but they certainly shouldn't be bothering their vendor with this. Also, if you're totally naive to a process people are more likely to take advantage.

I'm thinking 'naivety' in the sense of the "My Sofa won't fit against the wall" thread where the FTBs wanted Vendor to move a doorway so their sofa would fit.

That was a rather extreme case.
Typical cases seem to revolve around price negotiations for 'missing' EICRs and lack of Boiler Servicing.

As FTB I negotiated, dare I admit, fitment of a Shower over the bath. Felt quite silly afterwards for putting the Vendors through that. That said, I didn't care about the rewireable fuse board, I saw the simplicity as a positive.

I also recall one last year on here where a FTB wanted to renegotiate the price for a conservatory that "might" need to have the roof replaced in a few years time and a shower enclosure (that would've been easily seen during the viewing) that was worn and needed replacing. 

Not quite as extreme as the recent relocating the door example, and thankfully I think the FTB realised the error of their ways following some firm advice on here.... but I do wonder how that would've ended had he/she not used this forum for advice! 

propertyhunter

lookstraightahead said:

That I agree with. But those without a chain and with the finances won't give 'maximum' price (by that I mean a silly amount). If more vendors didn't accept silly amounts then they are more likely to sell, rather than the short term excitement of "loadsamoney" only to be disappointed.

You'd think. But the buyer who won the sealed bids of a house recently went 35k over and was a no chain buyer. I think if the location is hot, people are prepared to do anything to secure their 'dream home.' I'm currently in this predicament - no chain, large deposit - am thinking how much over to bid. I think now is an important time to put yourself ahead by saying you've got a big deposit and aren't likely to have a downvaluation scupper the transaction. 

Deedoodee

propertyhunter said:

lookstraightahead said:

That I agree with. But those without a chain and with the finances won't give 'maximum' price (by that I mean a silly amount). If more vendors didn't accept silly amounts then they are more likely to sell, rather than the short term excitement of "loadsamoney" only to be disappointed.

You'd think. But the buyer who won the sealed bids of a house recently went 35k over and was a no chain buyer. I think if the location is hot, people are prepared to do anything to secure their 'dream home.' I'm currently in this predicament - no chain, large deposit - am thinking how much over to bid. I think now is an important time to put yourself ahead by saying you've got a big deposit and aren't likely to have a downvaluation scupper the transaction. 

I’ve been saying that with all my offers (60% deposit) but the EAs don’t seem interested at all. With each offer I’ve said lack of chain, large deposit but it all seems to be about the final (largest) offer value.