Bloody neighbours!!!

itsbeef

The scenario.....

House on the market at £272,950

Neighbour 4 doors away on at same price

He decides he needs to get out quickly so drops his price to £250,000 and now has people fighting over it.

The question:

Do I wait and see if anyone wants to look at mine once his sale is agreed or do I drop my price too?

mumzyof2

I would wait and see if someone is intrested in yours

Lotus-eater

Depends how quickly you need to sell?

mystic_trev

This seems to be what's happening in many areas at the moment. A lot of EA are telling vendors to be prepared to take a 10% reduction. What have yours advised you to do?

itsbeef

mystic_trev wrote: »

This seems to be what's happening in many areas at the moment. A lot of EA are telling vendors to be prepared to take a 10% reduction. What have yours advised you to do?

The strange thing is that both properties were orignally on with the same EA.

I am looking at another property and have already told that EA that I will be looking to move any drop on my property onto the one Im looking to buy

Oh well......

Foodjunkie_2

Easy, lower your price so it is MORE competitive than your neighbours property, wait for an offer, reluctantly accept it, and then, re-coup on the house you wish to purchase.

Statiscally,only 1 in 5 houses are selling at the moment, and locally to where I live, 2 EA's have just shut up shop. Sign of the times.

guyrulius

Has your neighbour not dropped his price through the stamp duty threshold?

That's going to save a purchaser bundle as well.

If he manages to sell at 250k then that is the going rate for your property whether you like it or not.

Sorry fella, you are receiving a lesson in Economics 101. Markets are made at the margins.

Kez100

No point in both being on at 273 and neither of you selling. You now know what to do if you want interest and a chance to bag a buyer. I would start by waiting and seeing if the losers on his move onto yours, but I doubt it as the difference, when SD is taken into account, is a big saving.

Also, if I were you don't be so defensive with the EA. I can fully understand why you might want to get a reduction on the next buy if you have taken one on yours but arrogantly stating it does no one any good. You will be able to buy at what the next house vendors will accept and it may be deal or no deal - you can't make anyone do anything.

dontshootthemessenger

Looks like your neighbour is about to set the new ceiling price on your road.

Nuff said.

Altarf

Two issues -

How long has your house has been on the market for? If more than a few weeks, your neighbour may have decided that your lack of a sale shows that it is overpriced and has decided on a more realistic valuation.

However then they fell into the problem is the stamp duty threshold. Who in their right mind is going to buy a property just over £250k. If your neighbours decided that the current value was £5k less than yours, then I doubt that they would get anybody offering over £250k.

People either want to pay £250k or way beyond £250k. Your property is priced in that region where people know that you wouldn't take a £23k price cut, so unless your property is genuinely worth £273k then people won't bother looking at it, as all properties worth between £250k and at least £265k sell for £250k.

And I wouldn't read this thread - http://forums.moneysavingexpert.com/showthread.html?t=928473

epz_2

another issue would be if the house sells then that becomes the most recent price in the street and hence valuations will be based on that, that could pose an issue for buyers as even if they do pay more the LTV will be reduced and may make the mortgage rates less attractive.

frankly 275 is still withing the stamp duty band in most people mind these days, i would drop it and sell as well.