Edinburgh house prices

k9p9

I agree with you MrDT and i didn't agree with him. But regarding the valuations my flat was valued at 240 only 3 months ago (was about to remortgage and re let), and similar flats in the street were selling for 250 last summer. I'm now looking to let it go for around 215. So who's going to gain, only the buyers and not me, if i didn't need the money i'd keep it until the market sorts its self out and then i'd sell it for 250 plus.

m00m00

IveSeenTheLight wrote: »

Definately sure.
I'm seconded out of the UK in Malaysia at the moment.
UK is still my home though and I will return at some point in the future

I was wondering about your posting times

cheap_charlie

jacko1747 wrote: »

After speaking to a Solicitor from the ESPC the other week, he suggested doing this, offering a cashback i mean or offering to pay stamp duty. He said it is more attractive than dropping the price, because the mortgage will still be based on the full price but you are giving something back to the buyer. He also went on to say that offering these sort of incentives is what the new house builder do, and if it sells your property, who cares in the long run.

I viewed a house in Trinity a couple of months ago offering stamp duty paid. Vendor hasn't budged on the price and guess what? It's still on the market.

So I remain unconvinced that its a tactic that works.

tryinhardtosavethepennies

Just like buying a house in the first place, you're taking a gamble. Prices are likely to drop, granted, but by how much? No one knows.

You'd need to factor in your costs for buying the place in the first instance, and selling it now, and probably even the costs of buying the next place, then work out how much of a percentage that figure would be of your original price to work out whether or not it's worth your while.

i.e. If your flat cost over £125k, then you'll need to add your stamp duty, legal fees, mortgage application fees etc. to the cost of selling it (EA fees, legal fees, mortgage exit fees), then add that to the stamp duty, legal and mortgage fees on the house you eventually buy, oh and let's not forget your rental payments in the interim. Say a year or two at £600pcm? It soon stacks up to many thousands of pounds. Then take that figure as a percentage of the cost of your flat. If it's less than 15% then it may be worth it. Any more and the "profit" margins seem a bit slim to me, and not really worth the hassle. Depends how money savvy you are I suppose.

IveSeenTheLight

tryinhardtosavethepennies wrote: »

Just like buying a house in the first place, you're taking a gamble. Prices are likely to drop, granted, but by how much? No one knows.

You'd need to factor in your costs for buying the place in the first instance, and selling it now, and probably even the costs of buying the next place, then work out how much of a percentage that figure would be of your original price to work out whether or not it's worth your while.

i.e. If your flat cost over £125k, then you'll need to add your stamp duty, legal fees, mortgage application fees etc. to the cost of selling it (EA fees, legal fees, mortgage exit fees), then add that to the stamp duty, legal and mortgage fees on the house you eventually buy, oh and let's not forget your rental payments in the interim. Say a year or two at £600pcm? It soon stacks up to many thousands of pounds. Then take that figure as a percentage of the cost of your flat. If it's less than 15% then it may be worth it. Any more and the "profit" margins seem a bit slim to me, and not really worth the hassle. Depends how money savvy you are I suppose.

Points worth considering, but you don't pay stamp duty when you sell. Only when you buy

tryinhardtosavethepennies

No, I missed a comma probably, the stamp duty was only on the house you bought in the first place, and then the house you buy when you eventually buy back into the market.