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Houses Appearing On Land Registry For Very Low Prices

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I have seen a few houses appearing in the land registry for prices that seem far to low both at 250000 wiht similar properties at 350-400000. does anyone know why this might be?

These properties have NOT been advertised on rightmove but i cannot tell if they have been elsewhere.

Is it a tax avoidance tactic?

Thanks

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I have seen a few houses appearing in the land registry for prices that seem far to low both at 250000 wiht similar properties at 350-400000. does anyone know why this might be?

These properties have NOT been advertised on rightmove but i cannot tell if they have been elsewhere.

Is it a tax avoidance tactic?

Thanks

Almost certainly. Could be a probate sale - sold to a relative cheaply to reduce inheritance tax. Or a parent selling an ex BTL to a son or daughter cheaply, both to help them and cut down or avoid capital gains tax.

We once had an offer rejected because we could not exchange contracts in the ridiculously short time they asked. The place sold soon afterwards for WAY below our offer. It had been a BTL so we had to assume it was scenario B above. But in this case they had gone through the motions of putting it on the 'open' market. It had been owned by someone at the EA - enough said.

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If you don't know the exact type of property another slight possibility is that in a street with mixed types of properties (for example a mix of say flats, terraced, semis and detached houses) it seems that sometimes the registry describes the property incorrectly as say as a semi when it's actually a detached (or a terrace when it's actually a semi etc). So if you're just going by the registry you might be thinking you're comparing like with like when in fact you're not.

Presumably the error is made by whoever reports the sale to the registry and presumably no checks are made.

From observation where it happens it would generally seem to result in higher average prices for each type of housing on the register (that is average prices falsely high) - rather than lower average prices. Whether that's an intentional result is another matter .

Edited by billybong

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From the thread title, I though it was going to be "low prices" something like this.

To help hardworking people you understand - people make their own decisions.

I recall a thread going back some time with photos of similar yellow boards left at roadside, titled "Buy my Home' rent to buy, which I think were Gloucester area too - and separately there was a Cheltenham guy walking around with one for his house a couple of years ago.

June 10, 2014
Hardworking families in Gloucester who are struggling to get on the property ladder are set to receive a helping hand from a former London banker.

...He claims to have an alternative solution for disillusioned and credit-worthy househunters who see saving up to £25,000 for a mortgage deposit as an impossible task.

Dr Davies, 43, said: “For a deposit on a house you need to be earning some serious amounts of money these days. I think you would have to be earning £40,000 to £50,000 and not have children at school. It is totally unrealistic.

“Police officers, teachers, nurses and people who are doing unbelievably decent jobs but don’t have stratospheric salaries are struggling to get on the property ladder.”

6194990-large.jpg

http://www.gloucestercitizen.co.uk/Meet-London-ex-banker-buying-properties/story-21210901-detail/story.html

Example 1: http://www.rightmove.co.uk/house-prices/detailMatching.html?prop=44094317&sale=50544728&country=england

Sale Date: 06 Jan 2014
Paid price: £100,000

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  • 407 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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