Selling an inherited property - gone a bit quiet.

bicyclist

Mum passed away in July and left her 1970s 2-bed detached bungalow (no mortgage, freehold, attached garage and conservatory) to us two siblings. We had three estate agents value it for probate purposes at 325k, each saying they’d probably market it around 345k. It went on the market around mid-September at 345k. We had roughly a dozen viewings in the first 3 weeks (a couple were repeats). 

A couple of the viewers fed back that it’s ‘two small’ (which the EA says means ‘too expensive’). It’s perfectly clean and functional, although if pushed the decor could be described as being a little dated - although that’s probably being bit harsh. Nice quiet location (end of a cul-de-sac) in a spa town in West Midlands - although it’s a ~20 minute walk to the nearest shops (Co-op & post office, small Sainsburys, corner shop, chippie, pub…) A car would probably be a necessity. Most nearby neighbors are themselves on the older side.

We recently reduced it by 7.5k (to 337.5k). A friend who is/was an EA photographer has said the pictures are fine. Now what? Wait it out? I was thinking we got it on the market at the tail end of the ideal time (beginning of Autumn) so may need to wait till Spring. There’s no real rush, the only downside being myself and my sibling are a couple of hours away, and need to check the post, look after the garden, etc every so often.

I’m aware more interest may be generated by dropping it to the next price band on Zoopla/RightMove/etc, but that’s 325k, which seems quite a drop. Should the lack of viewings in the last 3/4 weeks be concerning? Any suggestions?  

Ms_Chocaholic

It is slow at this time of year.  Do bungalows usually sell well in that area as in some areas they are particularly sought after.  

It's against forum rules to post links to Rightmove listings as they could identify you but if you were prepared to add a couple of photos to this post, I'd be happy to give you a view from an outsider's perspective.

What's the kitchen/bathroom like, do they need updating? What's the sold price of others in the area that need updating/have been udpated.

Mutton_Geoff

bicyclist said:

Mum passed away in July and left her 1970s 2-bed detached bungalow (no mortgage, freehold, attached garage and conservatory) to us two siblings. We had three estate agents value it for probate purposes at 325k, each saying they’d probably market it around 345k. It went on the market around mid-September at 345k. We had roughly a dozen viewings in the first 3 weeks (a couple were repeats). 

A couple of the viewers fed back that it’s ‘two small’ (which the EA says means ‘too expensive’). It’s perfectly clean and functional, although if pushed the decor could be described as being a little dated - although that’s probably being bit harsh. Nice quiet location (end of a cul-de-sac) in a spa town in West Midlands - although it’s a ~20 minute walk to the nearest shops (Co-op & post office, small Sainsburys, corner shop, chippie, pub…) A car would probably be a necessity. Most nearby neighbors are themselves on the older side.

We recently reduced it by 7.5k (to 337.5k). A friend who is/was an EA photographer has said the pictures are fine. Now what? Wait it out? I was thinking we got it on the market at the tail end of the ideal time (beginning of Autumn) so may need to wait till Spring. There’s no real rush, the only downside being myself and my sibling are a couple of hours away, and need to check the post, look after the garden, etc every so often.

I’m aware more interest may be generated by dropping it to the next price band on Zoopla/RightMove/etc, but that’s 325k, which seems quite a drop. Should the lack of viewings in the last 3/4 weeks be concerning? Any suggestions?  

The agents didn't value it for probate, only a RICS surveyor offering a "red book" valuation can do that.

Why would a reduction to £325k be "quite a drop" when that's what the agents estimated in the first place?

Agents don't value houses, they only give you their opinion of the price for which it might sell.

p00hsticks

bicyclist said:

 We had three estate agents value it for probate purposes at 325k, each saying they’d probably market it around 345k. It went on the market around mid-September at 345k. 

So if it sells for more than £325k, there may well be Capital Gains Tax to pay. There'll be council tax coming into play once you get six months past probate, and you'll probably have to start looking at the more expensive unoccupied property insurance soon if you haven't already (I don't know what you've found, but in my experience, when we informed the current insurer of the death of the occupant they were happy to let the existing policy continue for the rest of the year providing more strenuous conditions were applied, but wouldn't renew it).

 Do the sums, but you may well find that the cost in terns of time and money is not worth hanging on for a better price....

Murphybear

bicyclist said:

Mum passed away in July and left her 1970s 2-bed detached bungalow (no mortgage, freehold, attached garage and conservatory) to us two siblings. We had three estate agents value it for probate purposes at 325k, each saying they’d probably market it around 345k. It went on the market around mid-September at 345k. We had roughly a dozen viewings in the first 3 weeks (a couple were repeats). 

A couple of the viewers fed back that it’s ‘two small’ (which the EA says means ‘too expensive’). It’s perfectly clean and functional, although if pushed the decor could be described as being a little dated - although that’s probably being bit harsh. Nice quiet location (end of a cul-de-sac) in a spa town in West Midlands - although it’s a ~20 minute walk to the nearest shops (Co-op & post office, small Sainsburys, corner shop, chippie, pub…) A car would probably be a necessity. Most nearby neighbors are themselves on the older side.

We recently reduced it by 7.5k (to 337.5k). A friend who is/was an EA photographer has said the pictures are fine. Now what? Wait it out? I was thinking we got it on the market at the tail end of the ideal time (beginning of Autumn) so may need to wait till Spring. There’s no real rush, the only downside being myself and my sibling are a couple of hours away, and need to check the post, look after the garden, etc every so often.

I’m aware more interest may be generated by dropping it to the next price band on Zoopla/RightMove/etc, but that’s 325k, which seems quite a drop. Should the lack of viewings in the last 3/4 weeks be concerning? Any suggestions?  

Surely there’s a difference between “too small” and “too expensive”.  You can’t do much about the size but you can drop the price 

Bigphil1474

Agree with above, not sure you can equate too small to too expensive. The EA's pictures usually make everything look bigger - do they on this house? I think you gave the answer yourself - if it's worth £325k for IHT purposes, then that's what I'd market it for, you might get a few interested parties offering pushing the price up. When I did my dad's probate, we valued his house at about £140k for probate, and sold it a year later for £137k - how very fortunate it made a 'loss'. 

gwynlas

Serious buyers make offers and would have no qualms doing so on a probate sale as no personal contact with owner so little point reducing  price by £7.5k.

i hope you have left adequate furniture in situ as buyers fail to see how pieces fit as empty rooms are deceiving

If it is clean and habitable as is then it is just a question of local market conditions and wwaiting for the right buyer to come along.

Mutton_Geoff

gwynlas said:

Serious buyers make offers and would have no qualms doing so on a probate sale as no personal contact with owner so little point reducing  price by £7.5k.

Only if probate has already been granted otherwise you're in the piece of string territory. I assume it has in this case.

The other issue with probate sales is the TA6 form full of "not known" to almost every question so extra DYOR is required.

lincroft1710

Drop the price to £325K. If still no interest, then there could be something inherently wrong with the property.

youth_leader

Good luck.  Always sad to sell a beloved parent's home.  Did your parents live there together, or did your Mum buy it as a widow? 

I'm a widow and had to sell my 5 bed 264 sq m house - can't fit what I want to keep in this 100 sq m bungalow, two rooms are an awful mess of poor storage.  I have a grandson coming in January and do need to declutter ... so far I am rehoming a garden fountain.  I am trying!