Estate Agents being “clever”

fackers_2

RedfordML said:

Saw a house we liked that over the previous 2 months dropped from 550k, to 525k to 499k at Xmas. 

Going back on Rightmove having firmed up our interest and finance, the exact house was “reduced yesterday” to £525k. 

Now, how would you play this? Our budget is 480k but I don’t like the way the agent has gone about pricing. Or is this common? 

Too many examples of this lately. First of all. Chrome plugin called “property log” will show all original prices. 

You can put your original offer forward to the EA. They may laugh but you stand by it. They are trying to trigger the algorithm by right move to trigger email alerts. 

The property more than likely will sit on the market and sellers end up chasing down the crash. 

jimbog

RedfordML said:

Saw a house we liked that over the previous 2 months dropped from 550k, to 525k to 499k at Xmas. 

Going back on Rightmove having firmed up our interest and finance, the exact house was “reduced yesterday” to £525k. 

Now, how would you play this? 

Put an offer as to what you feel it's worth to you. Sitting, hoping for the price to crash would be pure folly

Sarah1Mitty2

RedfordML said:

pinkteapot said:

Ignore it completely. Offer what you think the house is worth, based on recent sold prices and what else is on the market in your price range. 

Thanks. Hard because it’s been 3 years since anything remotely similar on the road has sold? 

What about other roads nearby, there must be some comparable sales?

fackers_2

jimbog said:

RedfordML said:

Saw a house we liked that over the previous 2 months dropped from 550k, to 525k to 499k at Xmas. 

Going back on Rightmove having firmed up our interest and finance, the exact house was “reduced yesterday” to £525k. 

Now, how would you play this? 

Put an offer as to what you feel it's worth to you. Sitting, hoping for the price to crash would be pure folly

Why would it be? Because wouldn’t you want to save money on a property or anything at that matter. 

Market currently in free fall, savings to be made  

MikeJXE

fackers_2 said:

jimbog said:

RedfordML said:

Saw a house we liked that over the previous 2 months dropped from 550k, to 525k to 499k at Xmas. 

Going back on Rightmove having firmed up our interest and finance, the exact house was “reduced yesterday” to £525k. 

Now, how would you play this? 

Put an offer as to what you feel it's worth to you. Sitting, hoping for the price to crash would be pure folly

Why would it be? Because wouldn’t you want to save money on a property or anything at that matter. 

Market currently in free fall, savings to be made  

You could be right

I have just checked Rightmove where i live up to £4000,000 and most properties are reduced inc new build 

jimbog

fackers_2 said:

jimbog said:

RedfordML said:

Saw a house we liked that over the previous 2 months dropped from 550k, to 525k to 499k at Xmas. 

Going back on Rightmove having firmed up our interest and finance, the exact house was “reduced yesterday” to £525k. 

Now, how would you play this? 

Put an offer as to what you feel it's worth to you. Sitting, hoping for the price to crash would be pure folly

Why would it be? Because wouldn’t you want to save money on a property or anything at that matter. 

Market currently in free fall, savings to be made  

Sounds like a plan. What possibly could go wrong?

Sarah1Mitty2

MikeJXE said:

fackers_2 said:

jimbog said:

RedfordML said:

Saw a house we liked that over the previous 2 months dropped from 550k, to 525k to 499k at Xmas. 

Going back on Rightmove having firmed up our interest and finance, the exact house was “reduced yesterday” to £525k. 

Now, how would you play this? 

Put an offer as to what you feel it's worth to you. Sitting, hoping for the price to crash would be pure folly

Why would it be? Because wouldn’t you want to save money on a property or anything at that matter. 

Market currently in free fall, savings to be made  

You could be right

I have just checked Rightmove where i live up to £4000,000 and most properties are reduced inc new build 

That is most areas now, cost of living is really hitting home.

TonyTeacake

fackers_2 said:

jimbog said:

RedfordML said:

Saw a house we liked that over the previous 2 months dropped from 550k, to 525k to 499k at Xmas. 

Going back on Rightmove having firmed up our interest and finance, the exact house was “reduced yesterday” to £525k. 

Now, how would you play this? 

Put an offer as to what you feel it's worth to you. Sitting, hoping for the price to crash would be pure folly

Why would it be? Because wouldn’t you want to save money on a property or anything at that matter. 

Market currently in free fall, savings to be made  

I have to agree with Fackers on this one as the market is in freefall. Official data from the Land Registry has shown a slight drop in official prices and we need to bear in mind this will of been for houses sold around April-May 2022, so there will be more falls to show in the upcoming months which will be greater due to the strains of the cost of living crisis and rising interest rates. Halifax and Nationwide have also reported falls in house prices over the last 4 months. 

Commenting on the figures, Robert Gardner, Nationwide's Chief Economist, said:

“December saw a further sharp slowdown in annual house price growth to 2.8%, from 4.4% in November. Prices fell by 0.1% month-on-month – a much smaller decline than in the previous couple of months. However, December also marked the fourth consecutive monthly price fall - the worst run since 2008, which left prices 2.5% lower than their August peak (after taking account of seasonal effects).

Also, we have to bear in mind that layoffs seem to be happening everywhere at the moment as inflation takes its toll on businesses. Rightmove asking prices were up 0.9% in January compared to December but this doesn't reflect the sale prices. It's all down to sellers being unrealistic about what they can get and they need to be very careful regards getting the price right in a falling market because houses are sitting much longer in this market. 

The BOE next meeting is in February and we will see a minimum of a 0.5% minimum hike in the base rate. Inflation is still very high so we can expect a lot of turmoil in the economy in 2023. It looks like we are at the front end of a major crash in the housing market.

TonyTeacake

Sarah1Mitty2 said:

MikeJXE said:

fackers_2 said:

jimbog said:

RedfordML said:

Saw a house we liked that over the previous 2 months dropped from 550k, to 525k to 499k at Xmas. 

Going back on Rightmove having firmed up our interest and finance, the exact house was “reduced yesterday” to £525k. 

Now, how would you play this? 

Put an offer as to what you feel it's worth to you. Sitting, hoping for the price to crash would be pure folly

Why would it be? Because wouldn’t you want to save money on a property or anything at that matter. 

Market currently in free fall, savings to be made  

You could be right

I have just checked Rightmove where i live up to £4000,000 and most properties are reduced inc new build 

That is most areas now, cost of living is really hitting home.

Yes I agree the cost of living is really hitting home and it's only going to get worse.

robatwork

A lot of anecdotal evidence is that the market is very slow currently. On the other side is that "houses on this road very rarely come up". It's an equation only you can balance, nobody on a random forum will have much of a clue. Even if you posted the Rightmove link it would still just be guesswork, as its value very much depends on how many bidders there are and their financial position. You (and us) can't know this.

In the ultimate free market, the house is worth just what the highest bidder offers and no more. Regardless of what an untrained tyre-kicker* may think. Apologies to all the trained tyre-kickers out there.


*Estate agent