Value of flats

kiwi07

Does anyone know how price of leasehold flats has risen for the last 15 years. Bought my 2 beds leasehold flat (has a garage) in 2009 for 120k so how much the price should have risen by now as the rent has almost doubled since that time? So the rent has doubled but the value of the flats isn't much really?  

Green_hopeful

You could look at what other flats in your block or area are selling for. You could look on zoopla to see what they say. I don’t think they are very accurate but it might be ok on a flat if there are lots of similar ones. 

Edi81

Depends on where in the country it is. 

The price is only what a buyer is willing to pay - so many variables….

kiwi07

Green_hopeful said:

You could look at what other flats in your block or area are selling for. You could look on zoopla to see what they say. I don’t think they are very accurate but it might be ok on a flat if there are lots of similar ones. 

I got impression the agents are really undervaluing, saying there has only been 25% increase in value, really? So the rent has almost doubled but the value only increased by 25%? So it seems that the landlords have been ripping tenants off by getting it cheaply and making massive profit? 

Veteransaver

kiwi07 said:

Green_hopeful said:

You could look at what other flats in your block or area are selling for. You could look on zoopla to see what they say. I don’t think they are very accurate but it might be ok on a flat if there are lots of similar ones. 

I got impression the agents are really undervaluing, saying there has only been 25% increase in value, really? So the rent has almost doubled but the value only increased by 25%? So it seems that the landlords have been ripping tenants off by getting it cheaply and making massive profit? 

Look at sold prices then of similar flats
Flats generally haven't been a great investment since the GFC and have underperformed houses, for many reasons but a lot is to do with massive over supply in many towns and cities.

kiwi07

Veteransaver said:

kiwi07 said:

Green_hopeful said:

You could look at what other flats in your block or area are selling for. You could look on zoopla to see what they say. I don’t think they are very accurate but it might be ok on a flat if there are lots of similar ones. 

I got impression the agents are really undervaluing, saying there has only been 25% increase in value, really? So the rent has almost doubled but the value only increased by 25%? So it seems that the landlords have been ripping tenants off by getting it cheaply and making massive profit? 

Look at sold prices then of similar flats
Flats generally haven't been a great investment since the GFC and have underperformed houses, for many reasons but a lot is to do with massive over supply in many towns and cities.

It is a good investment for the landlords if rent has doubled but the value not. Not good investment to buy to live. The statistics says the flats have risen for 60% for the last decade so why the agents valuing them so low? To sell them over cheaply to perspective landlords? 

Veteransaver

kiwi07 said:

Veteransaver said:

kiwi07 said:

Green_hopeful said:

You could look at what other flats in your block or area are selling for. You could look on zoopla to see what they say. I don’t think they are very accurate but it might be ok on a flat if there are lots of similar ones. 

I got impression the agents are really undervaluing, saying there has only been 25% increase in value, really? So the rent has almost doubled but the value only increased by 25%? So it seems that the landlords have been ripping tenants off by getting it cheaply and making massive profit? 

Look at sold prices then of similar flats
Flats generally haven't been a great investment since the GFC and have underperformed houses, for many reasons but a lot is to do with massive over supply in many towns and cities.

It is a good investment for the landlords if rent has doubled but the value not. Not good investment to buy to live. The statistics says the flats have risen for 60% for the last decade so why the agents valuing them so low? To sell them over cheaply to perspective landlords? 

I don't really understand what you are asking. The value is only what someone is prepared to buy it for. The best way to tell that is to look at recent sold.price
Just because the "statistics" say they've risen 60% doesn't mean that your flat will have done. It might be in a bad area, or one where there is a glut of flats..

kiwi07

Edi81 said:

Depends on where in the country it is. 

The price is only what a buyer is willing to pay - so many variables….

So the agents are working for buyers but not for sellers? If they set the price they want, so do they really work for the seller? In America it's for how much the seller want to sell the property for but here the estate agent set the price they want? 

Tabieth

kiwi07 said:

Edi81 said:

Depends on where in the country it is. 

The price is only what a buyer is willing to pay - so many variables….

So the agents are working for buyers but not for sellers? If they set the price they want, so do they really work for the seller? In America it's for how much the seller want to sell the property for but here the estate agent set the price they want? 

The estate agents are working for the seller, certainly not for the buyer. They want to get a high a price as possible for their clients (and for their commission). 

But they don’t control the price, the market does. An EA can market a property for whatever they like but someone has to be willing to pay for it. So a property is only worth what a buyer is willing to pay for it. 

kiwi07

Veteransaver said:

kiwi07 said:

Veteransaver said:

kiwi07 said:

Green_hopeful said:

You could look at what other flats in your block or area are selling for. You could look on zoopla to see what they say. I don’t think they are very accurate but it might be ok on a flat if there are lots of similar ones. 

I got impression the agents are really undervaluing, saying there has only been 25% increase in value, really? So the rent has almost doubled but the value only increased by 25%? So it seems that the landlords have been ripping tenants off by getting it cheaply and making massive profit? 

Look at sold prices then of similar flats
Flats generally haven't been a great investment since the GFC and have underperformed houses, for many reasons but a lot is to do with massive over supply in many towns and cities.

It is a good investment for the landlords if rent has doubled but the value not. Not good investment to buy to live. The statistics says the flats have risen for 60% for the last decade so why the agents valuing them so low? To sell them over cheaply to perspective landlords? 

I don't really understand what you are asking. The value is only what someone is prepared to buy it for. The best way to tell that is to look at recent sold.price
Just because the "statistics" say they've risen 60% doesn't mean that your flat will have done. It might be in a bad area, or one where there is a glut of flats..

The problem is that It's actually a really good area. Feel the agents are secretly working for their mates investors as flats are mainly bought to let. 

Veteransaver

kiwi07 said:

Edi81 said:

Depends on where in the country it is. 

The price is only what a buyer is willing to pay - so many variables….

So the agents are working for buyers but not for sellers? If they set the price they want, so do they really work for the seller? In America it's for how much the seller want to sell the property for but here the estate agent set the price they want? 

The estate agent don't set the price. The market sets the price.