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pajd

Stubborn Sellers

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Heres is one.

http://www.propertypal.com/1-springham-park-off-northland-road-lderry/7883

House on the market for 36 months. They reduced one week in 2008 by 10 grand and put the 10 grand back on again the week after.

By the way this house is right next to a very busy road (right side of the picture which you cant see). The house isnt on its own plot of land (the first picture seems to give that impression) but its in a street with around 10 other houses.

I drive by it every day after work and always glance over to see if the sign has changed.

If something doesn't sell in that time why wont they reduce? Maybe they aren't that fussed in selling?

Imagine they are in a chain! :lol:

Edited by pajd

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wile price to be asking pajd. not a hope of getting that price for springham park, even at boom times i would have thought theyd be doing well to get it. Nice house and street to live on, but as you say, northland road is always a nightmare.

have seen the odd house in derry reducing prices to more realistic levels, but alot are still too high, particularly in the cityside. Most people i know that have moved in last year or two have all been moving in to some of the new houses in the waterside ie woodside heights, woodland etc. and i am not sure what way those estates will turn out in a few years, have heard a couple of bad reports of the sorts of people you wouldnt exactly want as neighbours

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2 identical houses - look at the prices!!!

285k

http://www.propertynews.com/brochure.php?r=1&c=9&s=113784469&i=0&p=TROTRO51292&fp=1&sort=h2l

199k (now sale agreed)

http://www.propertynews.com/brochure.php?r=1&c=9&s=113784544&i=2&p=UPS11217-3-361984&fp=1&sort=h2l

If you take your house off the market maybe the EA charges you, I can think of no reason to keep it on at the 285k level?

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I don't understand the prices in Derry at all.

The earning to price ratio must be crazy.

I don't understand if banks are only lending up to 3X salaries how prices can be anywhere near this. even if you had a 100k deposit for this house you would need to be earning 66k to get the mortgage.

Either I'm missing something or not many people earn that in Derry.

Am I missing something or could prices fall another 40-50% in Derry yet?

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wile price to be asking pajd. not a hope of getting that price for springham park, even at boom times i would have thought theyd be doing well to get it. Nice house and street to live on, but as you say, northland road is always a nightmare.

have seen the odd house in derry reducing prices to more realistic levels, but alot are still too high, particularly in the cityside. Most people i know that have moved in last year or two have all been moving in to some of the new houses in the waterside ie woodside heights, woodland etc. and i am not sure what way those estates will turn out in a few years, have heard a couple of bad reports of the sorts of people you wouldnt exactly want as neighbours

There are some nice houses nicely priced in the Waterside area but as you say the cityside asking prices are a joke. Time for people to wake up

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2 identical houses - look at the prices!!!

285k

http://www.propertynews.com/brochure.php?r=1&c=9&s=113784469&i=0&p=TROTRO51292&fp=1&sort=h2l

199k (now sale agreed)

http://www.propertynews.com/brochure.php?r=1&c=9&s=113784544&i=2&p=UPS11217-3-361984&fp=1&sort=h2l

If you take your house off the market maybe the EA charges you, I can think of no reason to keep it on at the 285k level?

Delusion?

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I know when we were selling our house we had to pay the brochure and marketing fees up front which amounted to over £300. That was our incentive to keep our house on the market in 2008 during which time we had only 1 viewer. We eventually sold in 2009 after reducing our price considerably. You're right, sellers need to wake up to the fact that they've no hope of getting the price they're trying to sell at. I think they know that themselves (probably due to the lack of viewers they'll be getting) but until the 'house up the street reduces theirs, why should I reduce mine' mindset goes away, it'll be a long wait to the bottom. I have found recently that prices of 4 bed detatcheds in my area are creeping gradually down, albeit slowly. You'll get the very odd one (though very far and few between) with a realistic price. I reckon this next year or so of cutbacks and hardship will be a sharp shock to a lot of people and they'll wish they'd sold when they could of.

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I don't understand the prices in Derry at all.

The earning to price ratio must be crazy.

I don't understand if banks are only lending up to 3X salaries how prices can be anywhere near this. even if you had a 100k deposit for this house you would need to be earning 66k to get the mortgage.

Either I'm missing something or not many people earn that in Derry.

Am I missing something or could prices fall another 40-50% in Derry yet?

Maybe its not a first time buyers house. Maybe the owner doesn't wish to sell for anything less (may be still his choice) in which case he wont sell

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I don't understand the prices in Derry at all.

The earning to price ratio must be crazy.

I don't understand if banks are only lending up to 3X salaries how prices can be anywhere near this. even if you had a 100k deposit for this house you would need to be earning 66k to get the mortgage.

Either I'm missing something or not many people earn that in Derry.

Am I missing something or could prices fall another 40-50% in Derry yet?

Living in Derry i cant understand asking prices either.

The North West has always topped the unemployment table. There is a severe lack of investment for a city this size. Banks aren't lending like they used to yet someone wants 320k for the house in my original post.

Is it any wonder its being up for sale for 3 years

Edited by pajd

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I don't understand if banks are only lending up to 3X salaries how prices can be anywhere near this.

Don't know about Derry as such, but yes prices could fall that amount again in N.I.. You are missing something though, banks are still lending more than 3x your salary. Compared to the past, 3.5x main earner + 1 x secondary earner its more like 8x main earner + 1 x secondary nowadays. Actually the official line is 5.5 x joint salary, but I have translated it to compare with the past average.

The salary multiples have decreased a little since the peak after getting rid of the self certified loans, but the only thing that has really changed for most people is the deposit requirement and the general rules for acceptance. If you have poor credit history or earn less than £25K you have no chance. So plenty of money available for the right people, but very few buyers. You will notice if you use Property Bee that alot of houses go 'sale agreed' then 'for sale' again as people agree to buy then can't get a mortgage.

The main reason IMO, is that banks are allowed to hang to repossessed houses for a very long time but still count them as assets. We havn't really had the forced sales to push prices down. There is enough 'activity' to fool sellers into thinking that they just have to hang on a bit longer, but mostly all they are doing is chasing the market down.

Edit- forgot to mention that they will probably put the price up now that the number of web views has increased from 0 to 255 in 1 day ;-)

Edited by Ride_on

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Heres is one.

http://www.propertypal.com/1-springham-park-off-northland-road-lderry/7883

House on the market for 36 months. They reduced one week in 2008 by 10 grand and put the 10 grand back on again the week after.

By the way this house is right next to a very busy road (right side of the picture which you cant see). The house isnt on its own plot of land (the first picture seems to give that impression) but its in a street with around 10 other houses.

I drive by it every day after work and always glance over to see if the sign has changed.

If something doesn't sell in that time why wont they reduce? Maybe they aren't that fussed in selling?

Imagine they are in a chain! :lol:

There was a radio programme on weeks back where they talked to folk who had kept houses empty for up to 10 years . Unfortunately all that's happened in that time is that the decaying properites have gone UP in value.

Prog was about councils' attempts to reduce housing lists.

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There was a radio programme on weeks back where they talked to folk who had kept houses empty for up to 10 years . Unfortunately all that's happened in that time is that the decaying properites have gone UP in value.

Prog was about councils' attempts to reduce housing lists.

Interesting point you bring up. Don't understand the logic of not renting the house but that's up to the owner.

But yes, the houses will go up in price over a 10 year period. It always has. Not sure if it has always beaten natural inflation but, over any 10 year gap from our records began (1972) the houses have always increased. So hasn't wages, bread, oil etc. The only things that have went down, over 10 year periods are probably electronic goods and anything we can now manufacture in the low cost economies.

Interestingly the average 10 year growth figure for NI is 120%, since 1972. The current 10 year figure (Q3 2010) is well below that, but still a healthy 87%. The minimum 10y growth figure was 14% in 1990, well down from the over 200% figure in 1983. Our highest figure was, unsurprisingly in 2007 at 340%. But as I said, we are back to a figure, well below our long term average.

I appreciate the figures used are nominal values and natural inflation raged at different rates during this period.

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Remember the great BBC NI tv piece about a boomer lady who couldn't sell her house?

Stupid old biddy get's her dues

That is a stubborn seller - but with rates at 0.5% people can afford to hang on to the bitter death.

Debt doesn't matter - so long as you can clear the interest each month then hold on tight!

Brilliant article ... sums up the mentality of most sellers perfectly. Fav quote from it below;

Leo Mcilroy, estate agent, Ballymena 'The only people who are going to sell in this market are those who are prepared to be truly ruthless."You have to be honest. If you're trying to sell quickly, look at a realistic price, long term,

what happened before is no longer achievable. People right now just won't accept their property is not worth as much as they thought,"

Maybe all estate agents should tell their clients this before they put any more overpriced properties on the market. I think its fair to say that the 'wait and see' approach has passed.

The ridiculous house prices of recent past have sailed off to house price heaven, unfortunately they left a suicide note for the lady in the article. Grim :ph34r:

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  • 261 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%



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