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Eas Asking Prices Vs. Rm Sold House Prices - Big Discrepancy

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I don't know how it is in your areas, but every few weeks I click on Rightmove sold house prices for my area (E8, E9 and E5), and bar a few sales am not really seeing much actually appearing near the crazy asking prices published? Of course there is a delay of a few months, but still....

For example, note this house with north facing garden for £1.5million:

http://www.rightmove.co.uk/property-for-sale/property-32141598.html

Yet the highest sale I can find for the street is £1,015,000.

http://www.rightmove.co.uk/house-prices/detail.html?country=england&locationIdentifier=OUTCODE%5E762&searchLocation=E8&referrer=listChangeCriteria&index=25

I was told by an agent that something in the street went for over 1.2million, but wonder if these sales will be stopped by surveyor valuations as had heard from one agent that surveyors have been told to "calm it down"?!

Curious to know if this is the picture across London, and generally how many months out is the land registry sold prices index?

Also, I can imagine in EA offices they must be panicking now to close the sales at the bubble prices. There have certainly been a few properties return to market. I just hope more of these sales at the silly prices fall through and sellers get a bit more real about what they can ask.

Even if you add on 20% to 2013 sold prices, you don't quite get to the current asking prices for most property (specifically houses, not flats).

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Could well be.

Still, a lot of homes not appearing that the estate agents I was chatting too seemed to be selling in Feb/March during the peak of the bubble.

Let's just hope most of those sales don't happen. You'd have thought buyers would start having cold feet with all the press coverage etc.

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Its been a similar story in my bit of the East Midlands for a couple of years now - admittedly I'm paying no attention to the sub 250k which is where i believe the transactions are - but what i'm seeing at 300-500k makes a mockery of the hometrack figures in terms of time on market and percentage of asking price agreed (though since hometrack simply appear to ask the agents for the data that should perhaps not be a surprise). I guess the house that was marketed at 350K reduced to 325 and then 300 over 2 years but which some mug then paid the full 300k for (agent had indicated to me that vendor would probably accept 280) went down in the hometrack figures as 100% of asking, with time on market the few weeks following the final reduction...

from what i'm seeing 2/3rds of property in this bracket doesn't sell and comes off after a year or so - RM sold prices of stuff that found a buyer tends to reflect 10% off final asking and 20% off initial asking.

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Best one anywhere near here was a £5m asking price - very fancy and frankly weird new build next to a pedestrian gate to Richmond Park.

It was on the market for ages - albeit a few yrs ago - and finally sold for £2.38m, God bless nethouseprices - seeing that made my day. The owners had been on Grand Designs with a previous project and were obviously very thrilled with how clever they were. They had paid at least £1m for the site of the £5m AP and God knows what the place had cost to build.

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I have also been wondering if some of the sales are being registered to companies as I think these do not appear in the published sold prices?

Repossessions don't appear in the land registry (it would skew the market doncha-know). If you looked on the LR for my house it appears to have changed hands last in 2007 whereas I bought it in 2011 when a bank repo'd it from a serial BTL landlord who didn't understand leveraging has its down side and bought 50+ properties on leveraged credit. So presumably that is over 50 houses that came on the market and sold below the 'market price' but don't appear in the figures.

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A identical house 4 doors up from where I used to live was repoed and made £50k in auction, 3 years earlier we had paid £127k for an identical house.

It was to our advantage that the next mug had no idea that they could have saved themselves £77k in 12 months.

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Repossessions don't appear in the land registry (it would skew the market doncha-know). If you looked on the LR for my house it appears to have changed hands last in 2007 whereas I bought it in 2011 when a bank repo'd it from a serial BTL landlord who didn't understand leveraging has its down side and bought 50+ properties on leveraged credit. So presumably that is over 50 houses that came on the market and sold below the 'market price' but don't appear in the figures.

Are you sure? I bought mine from receivers last year but it's on LR.

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Chatted with some agents today as did some viewings in London.

One of the properties I viewed was a disposal from a property company - clearly the yield was not worth it given what they *may* be able to sell it for. This is only the 2nd property I've viewed which was previously tenanted and then put on the market, but I would expect more London landlords to be disposing of their assets now, personally.

An agent also said to me lettings are picking up more now because prices are high! I thought that this was telling!!!

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