Jump to content
House Price Crash Forum
Sign in to follow this  
Guest unregistered

What Is The Average Price Reduction?

Recommended Posts

Guest consa

Land Registry

Q2 2005 IS £184,924

Rightmove

April 05 £197,539

May 05 £198, 147

June 05 £198,642

Average asking price = £198,109

Therefore Actual Average Price reduction per property to acheive a sale =

-6.65%

We can track this!!

This will tell us on a quarterly basis how much people are having to reduce their propertieson average to achieve a sale.

it is possible to go back to whenever, say last july and plot a graph, any volunteers, I will do it if no-one else wants to, but am very busy at work this week

so I am not just being lazy OK. :P

Share this post


Link to post
Share on other sites

For what it's worth I have tracked two recent sale completions in Bedford.

Asking price £315K Sold £267K 15.2% down

Asking price £285K Sold £240K 15.8% down

Source: Rightmove and Nethouseprices.

Share this post


Link to post
Share on other sites
Guest consa

By tracking the reductions on the UK averages it will give us a good indication of what is happening without fear of VI rubbish figures, I am sure each quarter we will see this extend until the point where EA's are reducing prices accordingly when they market the properties and hence we will see consistence in the reductions, ie: they will remain at virtually the same level.

This will give more insight to the resilience of the EA's, ie: "their snapping point" which I believe we are already reaching.

This was why I may backtrack on the figure. to where we started seeing reductions.

Share this post


Link to post
Share on other sites

CONSA

Not sure if you can use this approach.

land registry includes all properties sold including new builds from developers

rightmove will only be including 2nd hand houses or private new build sales

not sure what the price influence is .

Share this post


Link to post
Share on other sites

Hometrack does keep data on this - and it ties in very well with your figures. I think they are quoting around 93.4%-93.5% of asking at present.

Their website says that a value below 95% is a sign of a weak property market :)

Changes in the ratio between achieved and asking prices are an early indicator of market shifts. In a strong market this percentage is close to 100%, in a weaker market it drops to below 95%.

Share this post


Link to post
Share on other sites
Guest consa
Hometrack does keep data on this - and it ties in very well with your figures.  I think they are quoting around 93.4%-93.5% of asking at present.

Their website says that a value below 95% is a sign of a weak property market  :)

Changes in the ratio between achieved and asking prices are an early indicator of market shifts. In a strong market this percentage is close to 100%, in a weaker market it drops to below 95%.

Thanks RD, I am glad they compare well. I will keep an eye on this!!

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.