What are they thinking???

littlesos

We almost bought this house last year. We both reallly liked it and offered £285k on an asking price of 299,950. We were turned down and in fact it sold the following week to an asking price offer apparently. We drove past on our way somewhere last night and noticed the new owners have put it up for sale. I checked to see what the asking price was and was gobsmacked! Here it is.

http://www.rightmove.co.uk/viewdetails-17162117.rsp?pa_n=2&tr_t=buy

Apart from the furniture they have done nothing at all to this house. How can they expect to get over £100k more in the space of a year/18 months???

maninthestreet

The only property on that road that sold for anywhere near £300K was 'Fourways', and that sold for £295K in September 2005, over 2 years ago.

Running_Horse

Nice house.

Do you wish you'd increased your offer?

chriz1000

Looks to me like it’s a pretty big house, I’m not sure how much similar properties go for in that area, but that doesn’t seem ridiculously expensive

slipp_digby

they can market it for whatever price they want, its only worth what someone will pay.

Savvy buyers will check the sold prices so will probably come to the same conclusions as you, unless they have extended etc etc

airhostess

I don't know what they are thinking... but I am thinking that they are about 6 months too late to try that!

littlesos

maninthestreet wrote: »

The only property on that road that sold for anywhere near £300K was 'Fourways', and that sold for £295K in September 2005, over 2 years ago.

Yep thats the one. Wow was it really 2 years ago, would have put money on it being 12/18 months ago. Anyway it's still a hefty price increase.

Donisthorpe is quite a nice little village, but it was heavily mined and this house does tilt (you increase speed when leaving the kitchen to the stairs!!!)

The reason for our lower offer was that a claim was put in for subsidence to the coal board, but it was rejected (the sellers at the time knew nothing about it, but if you search the coal board website you can pay for a private search). The claim for the next door house was upheld.

We honestly wouldn't have paid more than we offered, so no I don't wish we had bought it. I can't see them getting anywhere near that price for the house though. It is on a main road, near a crossroads and next door but one to a large pub on the corner.

How do they think that the house is worth £90k odd thousand more just cos they have lived in it for 2 years

HOORA

How do they think that the house is worth £90k odd thousand more just cos they have lived in it for 2 years

....

The same way that I viewed a property this month that was on the market for 169950 when it was bought at 155000 in January - at the local peak and everything has gone downwards since. Very little was done to the property except damage to every wall needing complete replastering, and taking off a roof on an outbuilding - without sanction from the council as it had an asbestos roof.

Its not greed I think, per se but it is stupidity. It is just the thought that vendors think that prices must always go up, they 'deserve' it, and to get their asking price to move into the type of house they actually want.

Unfortunately people who bought near the top of the peak and who need or want to move are going to be losers. Just like shares and other investoments there are always winners and losers and nobody wants to be the latter.

As long as you can keep up the mortgage repayments and dont move - you wont be losing.

shelly

We had an offer of £250K accepted on a house this time last year with an asking price of £255K but had to pull out due to the vendor being a numpty. In May, when we found the house we now live in it was back on the market for £350K :eek: She had previously told us when our offer was accepted that if the sale fell through she was going to market it for more as brand new smaller houses than hers were being sold for more in a neighbouring village. The neighbouring village is a better location though so IMO the houses are worth more. She wouldn't see that though.

Anyway. It was on for that price for awhile but just checking rightmove its now on for £300K. Still not worth that much though. Since we viewed it the empty plot of land next to it has been built on so IMO its now worth less.

We are glad we pulled out though as a week later a perfect property came on the market for an excellent price. We snapped it up

lynzpower

Its not greed I think, per se but it is stupidity. It is just the thought that vendors think that prices must always go up, they 'deserve' it, and to get their asking price to move into the type of house they actually want.

Id say its more to the point that there are a large amount of owners/vendors/buyers who simply dont know much about the housing market at all, and that they rely on the Estate agents as "experts" to tell them. the problem is that EAs are feeling thier way and often being guided by surveyors, surveyors by the market, the market by the lender, the lender by the surveyor and round and round it goes.

RHemmings

chriz1000 wrote: »

Looks to me like it’s a pretty big house, I’m not sure how much similar properties go for in that area, but that doesn’t seem ridiculously expensive

I searched on nethouseprices.com for all houses/streets within 500m of Measham Road. It seems a fairly cheap area, though I don't know the number of bedrooms per terraced/semi/detached house.

The only house I could find that exceeded the asking price of the house in question were in Church Street. One £500K, one £320K.

The Croft Church Street,
Donisthorpe,
Swadlincote,
Leicestershire,
DE12 7PX £500,000
Detached
Freehold
Not New Build 16-Mar-2007
Map (DE12 7PX) 23 Church Street,
Donisthorpe,
Swadlincote,
Leicestershire,
DE12 7PX £105,000
Terraced
Freehold
Not New Build 22-Dec-2006
Map (DE12 7PX) Turks Head Church Street,
Donisthorpe,
Swadlincote,
Leicestershire,
DE12 7PX £320,000
Detached
Freehold
Not New Build 03-Apr-2006
Map (DE12 7PX)

The only nearby "flip" I could see was 16 Ashby Road, which was sold for £121,500 in June 2006, and then for £136,000 in May 2007. That's an 11.9% increase in just under a year. But the house in question is on for an asking price which if achieved would be an increase of 33.9% in a year. A lot different from an 11.9% increase.

While I haven't seen the properties in Church Street, I'd guess that the vendor is being driven by the highest local prices, and expecting something similar.

But Leicestershire is not a place, in general, where prices have been going up at high speed recently. So, I'd think that the asking price is just absolute lunacy.