Is reducing your house price always the best tactic??

38
Found 22nd Sep 2011
Good Evening All,

This may sound a silly question but id like to know,... my house has been on the market now for 2/3 months and i have had 3 viewings and no offer at all.......the area i live is not particularly affluant and im lead to belive houses in my area in general are simply not selling.

I have a search set up on Rightmove to provide me with the following info - I live in Postcode S63 9DH and i have set up a search in rightmove for all terraced houses (as mine is) in my local village - it brings up "53" records..........i can then also click "Sold subject to contract" and it now brings up "58" of which quite a few are literally the VERY low end of the market and immensly in need of renovations.
So in simple temrs "5" houses have sold similar to mine in my area within a certain timeframe............. so my question is, should i really be considering to reduce the price of my property as it just seems if a buyer really does want my house he will view/offer anyway and with the limited numbers in the market if i reduce the price too much to try and bag a sale im just cutting my own throat and it will inevitably mean im loosing out and wont have enough money to move myself.

38 Comments

Banned

Your area isn't the only area available to move to in the country, if I can move a 10 miles down the road from you where the area is nicer I'll pay more. If the area 10 miles down the road from you is loads cheaper for a bigger house I'll get that. My wife will not buy a house near us if it is in a rough area, so we're not just looking at the price.

You will probably find that the few low end ones that have sold have gone to people from outside the area who intend on doing them up to rent to people in the local area who cant afford to buy.

Another option might be to rent it out in the short term until the market increases. You would have to see how the figures add up and get some expert advise, but it may be an option.

Original Poster

Renting it out is defonatly something i am looking into, initially everything seems to tell me that this is the much better option then HOPEFULLY sell in a few years in the hope both property prices have picked up and the buying market has more people in a better position to buy.

GAVINLEWISHUKD

You will probably find that the few low end ones that have sold have gone … You will probably find that the few low end ones that have sold have gone to people from outside the area who intend on doing them up to rent to people in the local area who cant afford to buy. Another option might be to rent it out in the short term until the market increases. You would have to see how the figures add up and get some expert advise, but it may be an option.


Anything is worth only what someone is prepared to pay for it, reduce the price and it will sell.

Hi
Have you tried the site like propertysnake which gives you an idea of how long a property has been on Market and how much reductions it has had. Also sites like zoopla.co.uk and mouseprice would give you an estimation of your property value. All these are tools but like inactive said it's worth only what someone is prepared to pay.

Banned

looking4deals

HiHave you tried the site like propertysnake .



Can't believe how greedy some people are.

looking4deals

HiHave you tried the site like propertysnake which gives you an idea of … HiHave you tried the site like propertysnake which gives you an idea of how long a property has been on Market and how much reductions it has had. Also sites like http://www.zoopla.co.uk and mouseprice would give you an estimation of your property value. All these are tools but like inactive said it's worth only what someone is prepared to pay.



wow never seen that site before. pretty good!!

have you tried getting someone to give it a look over and appraise it honestly? i mean if its had 3 viewings there is interest...or ask your agent why? you need feedback!

If you have had 3 viewings, then it is one of two things.
The price is too high, or the marketing is wrong.

Banned

thesaint

If you have had 3 viewings, then it is one of two things.The price is too … If you have had 3 viewings, then it is one of two things.The price is too high, or the marketing is wrong.



exactly. three viewings in 2/3 months is bad, OP have you spoken to the EA to ask what he thinks the reason is for so few viewings?

Its September, property sales rapidly decline from now until the new year. If you've had 3 viewings and no offers then its likely there is something that the prospective buyers are seeing that you aren't. Have you asked the estate agent for the feedback received from them? This will help you work out why its not selling. It could be the price as others have said, but it could also be something else. Its a buyers market so people are wanting as much as possible for their money.

I have had one of my properties up for sale since June. There's been about 20 viewings and only 1 offer which I rejected as they hadn't sold their property and were overpricing it. In my case I know its not the asking price (as its £20k below the value and has just been completely renovated - hence the number of viewings) but its the fact that it doesn't have a driveway. So I'm sticking in a tenant for 6 months to pay the mortgage until the market picks up next year.

I'm afraid that it looks very much like the OP has overpriced his property, and is therefore unable to achieve a sale.

Anything will sell at the correct ( read real ) market value price.

thats just not true...houses can fail to sell for a variety of reasons and the OP just needs to find out why his isnt

have you ever watched house doctor?

Inactive

I'm afraid that it looks very much like the OP has overpriced his … I'm afraid that it looks very much like the OP has overpriced his property, and is therefore unable to achieve a sale.Anything will sell at the correct ( read real ) market value price.


plumberman01

thats just not true...houses can fail to sell for a variety of reasons … thats just not true...houses can fail to sell for a variety of reasons and the OP just needs to find out why his isnthave you ever watched house doctor?



List any property at the right price and it will sell to someone.

Put a property in to an auction without reserve for proof.

" House Doctor " is just a farcical joke.

Edited by: "Inactive" 23rd Sep 2011

lol i have seen auctions not sell! But i agree most places will sell if cheap enough thats obvious..
house doctor isnt a joke (the program may be!)...have you never viewed a house and not wanted it cos it stunk of dogs? or had the wiring down the outside of the walls? i have!
the last house i sold was sold because i had a wow bathroom and kitchen...cost little but looked fab. Things put people off and the op needs to establish what if anything is putting people off.

Inactive

List any property at the right price and it will sell to someone.Put a … List any property at the right price and it will sell to someone.Put a property in to an auction without reserve for proof." House Doctor " is just a farcical joke.


plumberman01

lol i have seen auctions not sell! But i agree most places will sell if … lol i have seen auctions not sell! But i agree most places will sell if cheap enough thats obvious..house doctor isnt a joke (the program may be!)...have you never viewed a house and not wanted it cos it stunk of dogs? or had the wiring down the outside of the walls? i have! the last house i sold was sold because i had a wow bathroom and kitchen...cost little but looked fab. Things put people off and the op needs to establish what if anything is putting people off.




I still suspect that the main reason that the OP's house isn't selling is because it is not priced at a realistic market value, if the price is right most problems can be sorted.

Inactive

I still suspect that the main reason that the OP's house isn't selling is … I still suspect that the main reason that the OP's house isn't selling is because it is not priced at a realistic market value, if the price is right most problems can be sorted.



What you saying is that if the property is reduced in price to a point where the actual problem is no longer such a issue, then it will sell. That doesn't mean the property is over-priced in the first place, it only means you've reduced the impact of an issue that you probably weren't aware of in the first place. The OP needs to look at the property objectively as if it was offered for sale to him and start by thinking "I don't want this property". Then go through the property and look for things that would support his first opinion. This helps you see things the buyers see.

You can make a property far more appealing on a minimal budget. Pick up a new bathroom suite from the clearance section in a DIY store, replace the kitchen unit doors with end of line reductions. People don't think this would make that much of a difference, but it has a massive impact on the perception of the property. Clean, neat & tidy and new looking all count towards a successful sale.

Inactive

I'm afraid that it looks very much like the OP has overpriced his … I'm afraid that it looks very much like the OP has overpriced his property, and is therefore unable to achieve a sale.Anything will sell at the correct ( read real ) market value price.


Not particularly helpful. Yes, in a perfect market everything will find its true value. But as any GCSE Economist knows, a perfect market needs a large number of sellers and buyers, so the housing market is far from perfect at the moment, the volumes are just too low. So the 'correct' price for marketing it is anybody's guess.

When I spoke to an estate agent about selling my current home about 3 months ago, he gave me 1 price if I was prepared to wait, and another price he thought he could sell quickly at. How quickly do you need this done? Six months? A year?

You do need to discuss with the agent why you are getting so few viewings. And you need to make sure you are maximising the impact your house has on potential buyers when they do come. What plumber man says is true, kitchens and bathrooms really do sell houses.

Having the house at the right price is one side of the coin, but just one. Presentation is vital also. Make sure the first view they get when get through the door is as fantastic as you can get it. The first minute they are in your house is crucial. Those daytime tv shows are mind-numbing but will give you tips on how to present your house. If it is not A1 already, rather than shaving a couple of grand off the price it might well be that a couple of grand is better spent on some paint, nice light fittings and maybe a bit of laminate floor.

Selling a house is an art, not a science, so there is not going to be a clear cut answer. Start by grilling your agent about why so few viewings, but also get some ideas about how you should be presenting it, because there are a few really quick wins you can make that will help your house appeal to viewers.

Original Poster

Hello Guys some excellent information you have provided me... anyway heres my house.
http://www.rightmove.co.uk/property-for-sale/property-34438064.html

With regards to internally how it looks, it has a decent kitchen and bathroom - i think (and i know its only a matter of taste) - but for what it is (2up 2 down terrace house) its decorated to a high standard in comparison to other similar properties.

With regards to price -my point was its at £72k..... if i reduced to say £50k (which i would never do)then i would expect it to get snapped up - however it would not serve me well at all as i would then have made zero profit on the house - i need some profit to contribute to the savings i have for a bigger house.
I guess its difficult in knowing what price people are happy to pay.

In the meantime the house continues to be up for sale but i do feel the estate agents arent exactly breaking their back in selling it for me.

We have seen it before, are you sure that you are not just using this to self promote the property on here?

Face reality, It is over priced for the market conditions, otherwise it would have sold.

Sadly you have no real equity in the property.

If you are not happy with the Estate Agent, change to another.

Banned

Haven't we had a similar thread on the same subject by OP recently?

Banned

i guess I would be a lot better off in the north, time to look for a transfer.

master_chief

Haven't we had a similar thread on the same subject by OP recently?




Indeed we have, almost identical.

blimey, I've never seen a house that cheap before......

master_chief

Haven't we had a similar thread on the same subject by OP recently?



Yes we have I think he is just trying to get someone on here to buy it

OP like I said before maybe get them to change some of the pics, for example the one of the living room makes the room look very small and cramped. Also maybe a pic of the second bedroom?

You may not be getting any viewings because people don't like the pics they can see so far, so they won't want to waste their time booking a viewing.

I know that can be silly as often the pictures don't do a property justice but I know that a lot of people don't want to have their time wasted.

Banned

I thought so. His house is starting to look as familiar to me as my own.

Emzy81

Yes we have I think he is just trying to get someone on here to buy it … Yes we have I think he is just trying to get someone on here to buy it :DOP like I said before maybe get them to change some of the pics, for example the one of the living room makes the room look very small and cramped. Also maybe a pic of the second bedroom?You may not be getting any viewings because people don't like the pics they can see so far, so they won't want to waste their time booking a viewing.I know that can be silly as often the pictures don't do a property justice but I know that a lot of people don't want to have their time wasted.



seriously if people are that fussy on a 2 up, 2 down they shouldn't be buying houses

Alfonse

seriously if people are that fussy on a 2 up, 2 down they shouldn't be … seriously if people are that fussy on a 2 up, 2 down they shouldn't be buying houses




Fussy? Not sure where anyone is being fussy.

But anyhow isn't everyone going to be fussy when they are buying a home? The chances are you'll be in it for a long while

master_chief

I thought so. His house is starting to look as familiar to me as my own.



Lol

Emzy81

Fussy? Not sure where anyone is being fussy. But anyhow isn't everyone … Fussy? Not sure where anyone is being fussy. But anyhow isn't everyone going to be fussy when they are buying a home? The chances are you'll be in it for a long while



for 72000, NO!

Alfonse

for 72000, NO!




But you can buy a bigger house nearby for £60.000.

Alfonse

for 72000, NO!



Lol Ill give you that it is cheap, but by the looks of it they are all cheap around there....amazingly cheap!!! Wish i could buy one for that price and pick it up and move it

http://www.rightmove.co.uk/property-for-sale/property-20023119.html

(_;)

Emzy81

Lol Ill give you that it is cheap, but by the looks of it they are all … Lol Ill give you that it is cheap, but by the looks of it they are all cheap around there....amazingly cheap!!! Wish i could buy one for that price and pick it up and move it



true, my house price has gone 30000 in 2 years, I didn't know that would happen but cool

Original Poster

Thanks for your advice and sorry but no im not trying to look for a buyer on here im trying to get advice because this site is good for that......for the record i wont link to my house anymore.
That house for 60k which somebody above linked to really is a good bargain........and for the record im not trying to plug it !!!!

I actually think in the current climate i will be better off looking to rent mine out for a couple of years as i cant afford to reduce if for the sake of sellings sake. I have some savings which hopefully will be sufficient to lay down as part of a depositi on a bigger house, and then put a few thousand in the bank account to manage repairs and voids periods on my current house.

Thank you to all that offered advice and sorry to those who feel i have replicated my post.
Edited by: "nick1981" 23rd Sep 2011

Is it me or is there a lot of schadenfreude in this thread? Does anyone actually need to take pleasure in telling the OP his house is worth £10k less than he hoped?

And I don't know Goldthorpe but these £60k houses, one on 'High Street', one with a neighbour who has built a shed on the roof... you know what, I don't think Kirsty and Phil are going to think they are in the perfect 'location, location, location'. And one of them has lovely old people decor. I personally would be willing to part with a little extra to avoid that.

Nick I would suggest you get some new photos done, as someone else said, I don't think they are great and that might be why you are not getting viewings. Looking at some of your agents other houses, they are not particularly well photographed either, which makes me wonder if he knows what he is doing. You need to make the place look more spacious. If there is any stuff you can get out of the house whilst you are selling, into storage with relatives or something, that is only going to help. Less is more in small houses.

Original Poster

Thank You for the constructive advice......in the grand scheme of things do you think its a good idea to maybe get an amateur/proffesional photographer in for the cost of say £100 to take some really good photos???
I guess if the photos bag me a sale then £100 out of £70k would be money well spent.

CoenFan

Is it me or is there a lot of schadenfreude in this thread? Does anyone … Is it me or is there a lot of schadenfreude in this thread? Does anyone actually need to take pleasure in telling the OP his house is worth £10k less than he hoped?And I don't know Goldthorpe but these £60k houses, one on 'High Street', one with a neighbour who has built a shed on the roof... you know what, I don't think Kirsty and Phil are going to think they are in the perfect 'location, location, location'. And one of them has lovely old people decor. I personally would be willing to part with a little extra to avoid that.Nick I would suggest you get some new photos done, as someone else said, I don't think they are great and that might be why you are not getting viewings. Looking at some of your agents other houses, they are not particularly well photographed either, which makes me wonder if he knows what he is doing. You need to make the place look more spacious. If there is any stuff you can get out of the house whilst you are selling, into storage with relatives or something, that is only going to help. Less is more in small houses.


nick1981

Thank You for the constructive advice......in the grand scheme of things … Thank You for the constructive advice......in the grand scheme of things do you think its a good idea to maybe get an amateur/proffesional photographer in for the cost of say £100 to take some really good photos???I guess if the photos bag me a sale then £100 out of £70k would be money well spent.


In the first instance I don't think you need to spend anything. Tell your agent you think you can present the house to make it look more spacious, and would he mind sending someone out to photograph again. If he won't do it you need to think about getting another agent. Then you need to prepare the house so that you maximise the appearance of light and space for the benefit of images. Practice in advance with your own camera at getting good views and layouts.

You've just got to get people through the door. Only once they are inside will they really start imagining living there, and that's when the buying goggles go on (if they are going to go on). Like I say I don't know your area and maybe your house is expensive, I've no clue. But before you go cutting the price make sure you have done everything else you can first.

Edit to say with photos... make sure curtains that are not in shot are right out of the way of the windows - even when open they sap light. And think about the time of day. Have the photos taken when the sun is on the most favourable side of the house lighting the key rooms.
Edited by: "CoenFan" 23rd Sep 2011
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