Incentives - your opinion please

Jorgan_2

I agree with Richard & Andrew, offering an incentive isn't always the best way to go. Drop the asking price instead.

Ercesuzan

I am now aware of the implications of such an incentive so that has been dismissed from my options. Thanks to all who gave advice.

Wondering now if I should drop the price by 10% = £24,500 or do you think I could offer a £20,000 reduction?

pinkshoes

It doesn't matter what you drop the price by if the buyer hasn't got at least a 10% deposit.

If it's on for £245k, they'll need £24.5k deposit to get a mortgage. Even if you drop by £20k, they'll still need a £22k deposit.

Jorgan_2

Before saying 10% or £20k, what prices have similar properties achieved in your area? There is no point in reducing by 10% if you are asking 20% more than properties have sold for in your area.

Ercesuzan

what prices have similar properties achieved in your area?

It's an individual, architect designed detached property in a village. Nothing like it to compare with. It has never been sold before, we have owned it for the 35 years since it was built. Properties in the village have sold for between £205,000 and £400,000 recently.

Jorgan_2

Ercesuzan wrote: »

what prices have similar properties achieved in your area?

It's an individual, architect designed detached property in a village. Nothing like it to compare with. It has never been sold before, we have owned it for the 35 years since it was built. Properties in the village have sold for between £205,000 and £400,000 recently.

In that case, how long have you been on the market, how many viewings have you had and what has the feedback been like. Did you have more than one valuation initially?

Ercesuzan

It's been on the market 11 months, 25 viewings, all positive feedback, one offer of asking price but family bereavement of buyer stopped purchase. Four valuations ranging from £250,000 to £280,000.

Doozergirl

Would you be prepared to post a link to your house and we will see what price we think it would comfortably sit at?

dubsey

I also think price reduction rather than incentives. Whenever we've been looking we select a price bracket on rightmove so you may come above somebody's price range, but it won't take into account any incentives. There are several around here with stamp duty paid in the details, but they aren't selling any quicker than anyone else. It seems like the market has come to a halt around here at the moment (with the exception of a 'prestigious' new build estate in the nicer part of town) so I hope you fare better where you are.

PasturesNew

Contrary to what you think, most people have no idea what 10% is.
Really.

Just knock it off the price and be done with it. But I'd see if the agent could market it with the old/new prices, to highlight what a "bargain" it is. That will get people excited and want to snap it up imho.