Should I reduce the price?

Grampy_Rabbit

Hello 
I'm trying to sell my flat in London. It has been on the market 1 month and has had approx 20 viewings but no offers. It is a first-time buyer flat. The estate agent has advised dropping the price by £15-20K. Given what is happening with interest rates, I'm worried about getting a buyer. However I'm wondering if someone was interested they would just make a lower offer anyway. Should I drop the price? 
Thanks for your views

Wail

It’s a fair position from the estate agent.

It depends on price and how quick you need the sale to go through. 

Was this estate agents valuation the highest you got?

Some people feel that offering significantly below is likely to result in them being ruled out and if their Rightmove search isn’t looking at your price, they will never know it was there for sale. 

Noneforit999

20 viewings and no offers suggests something is not right.

Either the price is too high or there is something (on combined things) putting people off.

Where did the price come from? Are there any similar properties that have sold in the past 6 months to compare against?

Anything about the flat which might be unappealing? High service charges? Does it need any work?

user1977

If the price is only slightly too high, and with a fairly high number of viewers, I'd have expected somebody to at least make an offer - so I wonder if something else is putting them off. Any feedback from viewers?

Retireby40

You've had a lot of views in a month. Basically 1 for every working day.

The no offers is worrying. 

Do you have a link to your house and we can have a look just to see if anything jumps out?

theartfullodger

Had estate agent round yesterday, flogging off one of my houses.

Apart from jointly bemoaning the "world-beating" incompetence of this government she mentioned their viewings had dropped by half this month compared to last: and expects, like me, prices to drop.

So price drop sounds wise.

Apologies for repeating myself but in November 1979 I had a for then large mortgage, under Thatcher's iron fist, Bank of England base rate hit 17%.(Yes, seventeen).  I was lucky, my building society only wanted 15%

gwynlas

Can you provide a link to EA listing? EA might have inflated value to get your business, but it is getting viewings so what is putting buyers off?  Is there a high service charge/ground rent,problem outside with a noisy road , poor outlook or scrappy communal areas? Any property will sell at e reduced price but you should have honest feedback from viewers via your EA as to why they are not offering. There are always first time buyers but does your property look the kind of place they could just move into without doing any work?

london21

The current news and current economic environment might have buyers cautious.

is your flat priced right compared to similar ones in the market.

Are the pictures and description clear etc.

The stamp duty holiday will help but news about interest rates might have buyers unsure of the next step.

julicorn

london21 said:

The stamp duty holiday will help but news about interest rates might have buyers unsure of the next step.

It's not even a stamp duty holiday though, just a permanent rate decrease. Most people will be saving £2,500 or less (only FTB can save more), so I'm not convinced that is enough to make up for other things spooking buyers at the moment. 

london21

julicorn said:

london21 said:

The stamp duty holiday will help but news about interest rates might have buyers unsure of the next step.

It's not even a stamp duty holiday though, just a permanent rate decrease. Most people will be saving £2,500 or less (only FTB can save more), so I'm not convinced that is enough to make up for other things spooking buyers at the moment. 

I agree.

FTB are the ones who will make more savings, but then the interest rate/mortgage increases cancel out the savings. 

£2500 also not bad for home movers and BTL investors already in the process of buying. 

youth_leader

Could it be parking, do you have an 'allocated' space?  I've just thought about the 'cladding' - do you have this?

My EA overpriced my house initially and I had to drop my price twice in a six month period, and was upset as every price drop reduced the properties I could look at.  A creepy local had been 'watching' my price drops on the price snake website.