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LittleSteroid

Asking Prices Going Up Again!

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this is disgraceful! 24h after rightmove announce a small drop in asking prices these bastards rising them again! Vendors or EA? See yourself: Link1 Link 2

Why disgraceful ? take the emotion out of this. They are trying to maximise the profit on an asset, which is fairly common. The market will dictate what it is worth and anybody with the propertybee plugin will give it a wide berth (anyone who increases in this market, is not of sound mind IMHO and I would not even countenance the property)*

* Also there are occasionally good reasons, one house I knew upped their price by 10K apparantly randomly, it wasn't, they opriginally were going to keep possession of the garage/workshop in teh sale, then they changed their minds and added it in and therefore upped the price. Not necessarily logic I agreed with, but logic - of a sort - never-the-less..oh and it has sold....

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This is what I have been going on about seeing happening in my area.

A report comes out that HPs have risen and the asking prices go up.

A report comes out that HPs have fallen and the asking prices go up.

I can only conclude that the sellers have decided on what sum they must sell for and are adjusting asking prices accordingly.

As I posted yesterday, a house I looked at in Swanseac West for 320K asking price last year now on with different EA for 390K asking price. It was over-priced at 320K so what on earth they think they are doing it beyond me. Likewise, house on for last year for 239K now on with another EA for 290K asking price.

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this is disgraceful! 24h after rightmove announce a small drop in asking prices these bastards rising them again! Vendors or EA? See yourself: Link1 Link 2

What?????? On the links you gave, most of the houses are showing asking price reductions. You have found 2 sellers that have increased their prices and you think this is significant?

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This is what I have been going on about seeing happening in my area.

A report comes out that HPs have risen and the asking prices go up.

A report comes out that HPs have fallen and the asking prices go up.

I can only conclude that the sellers have decided on what sum they must sell for and are adjusting asking prices accordingly.

As I posted yesterday, a house I looked at in Swanseac West for 320K asking price last year now on with different EA for 390K asking price. It was over-priced at 320K so what on earth they think they are doing it beyond me. Likewise, house on for last year for 239K now on with another EA for 290K asking price.

I had a conversation with an agent a few months back about a house, and he confirmed that the asking prices are often set by what the vendor needs to cover the debt, plus a bit.

Went to see one a few months ago that looked abit pricey, ascertained the owner, a recent divorcee bought it at the 2007 peak and had aded a further 15% or so on.

Offered the 2007 price minus 10% - unsurprisingly no go, though the agent at the time accepted my rational. Had previously been on for £210k

http://www.rightmove.co.uk/property-for-sale/property-31634270.html?premiumA=true

But it seems to keep getting sold and comming back on - no idea what others are offering.

We'll see

Edited by Flob

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Would have thought it as simple psychology. Overprice something in the first instance and allow it to be knocked down on price thus offering real savings to any purchaser and minimal losses to any seller.

People on here forget a large proportion are not so literate with regards to researching. So a Joe bloggs punter will think he has got a bargain when he gets 20% knocked off the asking price.

Bit like used car yards that suddenly offer big sales, just nobody saw them Jack the prices the night prior. Just my 2 cents or pence or whatever your preferred currency.

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If it is blatantly overpiced from it's 2007 price, then the valuations from the bank will be reflecting that - in the good bad old days you could just increase the ltv and proceed. Thats not going to be an option now due to banks deeply held desire to make sure buyers eat each every penny of the ongoing price correction. So that leaves the buyer to find the difference which can be substational

Say agreed selling price £190K, 80% LTV, borrow 152K and deposit 38K - bank say it's only worth £165K (which is only a 14% reduction), 80% LTV , borrow 132K, and unless the vendor is dropping his price based on the mortgage valuation, then the new deposit needed is 58K. Thats a whopping 20K to be found - and I'll bet for most people dumb enough to buy right now, the only cash they have is equity gain from a selling property. No wonder property goes sstc to available to sstc to available and on and on.

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And if the EAs are happy tp spend money on marketing something that will not sell all's well and good ... and there is always some mug punter out there. Main problem will be the banks who will lend based on their valuation not what some punter is willing to pay. Is this why there are so many SSTC that go back to 'available' a couple of weeks later?

Very true...a professional bank valuer sets the price, not the vendor or agent. ;)

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These folks obviously don't need to sell.

I recall one housing expert saying that the future direction of prices is going to come down to which side breaks first; buyers or sellers. His money was on the sellers breaking first.

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And if the EAs are happy tp spend money on marketing something that will not sell all's well and good ... and there is always some mug punter out there. Main problem will be the banks who will lend based on their valuation not what some punter is willing to pay. Is this why there are so many SSTC that go back to 'available' a couple of weeks later?

I guess it is too much of a simplistic view to be true :(

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this is disgraceful! 24h after rightmove announce a small drop in asking prices these bastards rising them again! Vendors or EA? See yourself: Link1 Link 2

Maybe they're not that keen to be buying and selling over the xmas holiday and are increasing the price now so that they can reduce it in the new year and get a bit of interest from the price reduction. It's the only thing that kind of makes sense to me.

Perhaps when the EAs marketing these properties are doing even less than they are now they'll delete the rightmove account history so that the price reduction looks like a 'good deal'.

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Maybe they're not that keen to be buying and selling over the xmas holiday and are increasing the price now so that they can reduce it in the new year and get a bit of interest from the price reduction. It's the only thing that kind of makes sense to me.

Perhaps when the EAs marketing these properties are doing even less than they are now they'll delete the rightmove account history so that the price reduction looks like a 'good deal'.

On a related point, I've noticed that in my area (Colchester, Essex) 2 EAs (Bairstow Eves and Abbots) re-listed all their properties on rightmove last week thereby deleting all the account histories accessed via property bee.

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  • 276 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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