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Went into EA today to enquire about a repo (more out of curiosity than desire you understand). House bought in 2004 for £495k, repossessed in April this year, price just reduced to £399k as no interest. I asked when house would go to auction but EA very bullish :huh: , she said doubt it would go especially with new price but my gut feeling is it is still £100k over priced and the 2004 purchaser wanted their head examining. There are no houses nearby remotely that expensive, it has no land or garage, the garden has three large houses built in it and the Coach House at the rear was sold off cheaply to family so you have four houses with two seperate entrances immediately either side of this house. Add 200 new build homes, mostly poor quality flats with one car parking space due on street within a year and a Lorry factory right behind it would you pay half a million pounds? Admittedly, it is a big house and has survived being converted into flats although it needs quite a bit of work (at least £20k) when you look up close. Most of the over £300k houses in Morley are sticking, there are at least a dozen and they have mostly been available for the last 12-18 months. Sub £150k properties (except two bed chapel conversion flats) still seem to be selling well though.

http://www.home.co.uk/guides/house_prices_...=ls27&all=1

http://www.sequencehome.co.uk/detail.asp?t...mp;id=MLY101546

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Brookroyd House, Brookroyd Lane, Birstall (near Ikea off M62)

This one is nice looking and apparently Charlotte Bronte once did No2's there :lol:

Area is okay-ish though not quite Leeds, I add it just as it shows over £200k houses are slowing up rapidly all around Morley and the South Western commuterland to Leeds.

Nethouseprices shows house bought in July 2002 for £150k, then sold in September 2005 for £300k, now on and specially promoted on their front page with a local agent at 'Reduced to' £299,950 (Part Ex Considered). Place is empty and looks like it might have been tarted up with a view to flipping it. Flipping lost loads of money more like - just Stamp Duty, Solicitors and EA fees would be around £4/5k both ways so actually if sold for say 10% under asking total loss £30k!

http://www.watsonsweb.co.uk/

If it drops off the 'Property Spotlight' just search properties over £200k where you will see seven other houses 'reduced', well actually one is 'drastically reduced' :lol:

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I've just moved out of Morley, took me 9months to sell a nice 3 bed house on the new estate close to that big house on America Moor Lane. The whole area round Asda, Harrops is a dump and no-one in their right mind would pay over £250k, no matter how big the house they were buying is.

quote name='2112' date='Sep 16 2006, 12:02 AM' post='449577']

Brookroyd House, Brookroyd Lane, Birstall (near Ikea off M62)

This one is nice looking and apparently Charlotte Bronte once did No2's there :lol:

Area is okay-ish though not quite Leeds, I add it just as it shows over £200k houses are slowing up rapidly all around Morley and the South Western commuterland to Leeds.

Nethouseprices shows house bought in July 2002 for £150k, then sold in September 2005 for £300k, now on and specially promoted on their front page with a local agent at 'Reduced to' £299,950 (Part Ex Considered). Place is empty and looks like it might have been tarted up with a view to flipping it. Flipping lost loads of money more like - just Stamp Duty, Solicitors and EA fees would be around £4/5k both ways so actually if sold for say 10% under asking total loss £30k!

http://www.watsonsweb.co.uk/

If it drops off the 'Property Spotlight' just search properties over £200k where you will see seven other houses 'reduced', well actually one is 'drastically reduced' :lol:

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  • 1 month later...
  • 4 weeks later...

These are flats in K2 (postcode LS2 8ES) sold since 2003.

If you bought after April 2004 you've probably lost money.

Flat 80, from £250k in June 04 to £210k in August 2006, down 16%

Flat 61, first couple of flippers made a profit to £214k, then a 35% drop to £138k in April 2006.

Flat 66, nice drop from £249950 to £210k in Nov 2005, down a good 16% over 3 years.

http://www.houseprices.co.uk/e.php?q=LS2+8ES&n=100

K2_Leeds_LS28ES.bmp

K2_Leeds_LS28ES.bmp

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If you bought after April 2004 you've probably lost money

Yes, in general terms, my figures also seem to bear out that the market kind of peaked around 2004/2005.

There are an awful lot of city centre properties (1/2 bed flats) still being built along with the usual marketing machinery, aimed at selling the “dream”.

I think that property prices have risen to such a level that BTL must be marginal, given that people can only afford so much rent.

If rents will not cover BTL outgoings and the prospect of capital gains has diminished then things will start getting tight.

Sox

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property_prices_magellan_house.doc

Thought I would share the following piece of research.

I downloaded the attached information from Land Registry, via a third party web site. The information concerns Magellan House sale transactions, starting with the developer’s original sale in Aug/Nov 2003 and a subsequent number of private sales ending in November 2005.

A total of 185 properties were sold originally, of which 30 have now changed hands. Of these, 22 have sold profitably and 8 have sold at a loss (or such a marginal profit that the vendor would most likely have not covered his buying/selling costs). The profitable sales I have identified in gray and the “losses” in pale blue.

The following observations can be made:

1) Properties sold in 2004 have generally been at a profit.

2) Properties sold in 2005 have generally been at a “loss”

With the (literally) thousands of new apartments that will soon flood the Leeds City Centre housing market, what will the future hold?

Regards

Hi there

Flat 75 Magellen House belonged to one of my best friends & the quoted prices match up exactly with what he told me - ie. a £5k loss. What the figures don't reflect is that the property was on the market for around 2 years, his initial asking price was £250k, he'd improved the flat ( underfloor heating in the bathroom, expensive lighting throughout ) & that he had to throw in a plasma screen TV & expensive sofas to clinch the sale! He was desperate to get rid of this property in the end, especially as it was right above the bin store, creating a bloody awful reek. The strange thing is, this friend works with loads of people in the building trade & is very shrewd & succesful - if he makes this mistake, plenty of other less savvy people ( ie. newly qualified professionals with no common or 'street' sense but good earnings ) will make worse errors. We used to say that the ideal buyer would be a 'rich mug' - a rare breed indeed but sure enough one turned up - a newly qualified somethingorother who's father was buying her the flat to make her happy! As more and more flats are being built throughout the city, it gets increasingly difficult to offload the ones which have been pre-lived in. We used to look out over the River Aire from my mate's balcony at all the newly built property ( or 'life-space' as it was marketed! )in central Leeds & laugh at how this would all become either 'social' housing or car parks in 5 years time. I think that as there are so few council properties & so many exec flats, the council will seize lots of the flats which have been empty for some time & move in people on benefits - once this happens, the residents who've bought their flats in the same block will find them completely unsellable.

My mother's house has been on the market with Alan Cooke for over 2 years now although I don't think she's that keen on moving ( emotional ties to the property, doesn't want the upheaval, no mortgage to pay off ). A person who has been working for Alan Cooke for around 6 years did a viewing around a week ago. She stayed & had a cuppa with my mother afterwards & moaned about how glad she was to get out of the office as business was dead. My mother told her that I was keen on buying a flat ( don't worry - won't happen for at least 2 years, working as a cruise ship Dr right now ) & the rep from Alan Cooke said herself that this wasn't a good idea as flats are taking longer to sell than any other property because there are so many & so many more being built. She only advised buying a flat if you plan on living in it for a long time. How many people plan on staying in a flat for the long-term!!?? She was absolutely amazed that new blocks of flats were still being built & predicted an absolute bloodbath in central Leeds. Even flats in Alwoodley have not been selling & this is one of the best areas of the city to live in ( see another post I made about a block of 23 flats on one of the best streets in the city - only 5 have sold, the rest either went straight to be rented out or are still for sale ).

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  • 9 months later...

Please can someone explain how the hell asking prices are decided ?

Been looking at Rightmove for Leeds (£90K max). So its mostly South Leeds (Beeston etc)

A few months ago, houses in some streets were sticking for weeks and were only sold after a 5K - 7K price drop.

eg - £85K to £78K

But now the same style of house on the same street or set of streets are popping up at around £90K.

If they didn't sell a few months back at a lower price why do EA's put them up at these higher prices?

Are they trying it on? , or have they actually no idea of the previous pricing history of the area?

I'm a tad perplexed.

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Please can someone explain how the hell asking prices are decided ?

Been looking at Rightmove for Leeds (£90K max). So its mostly South Leeds (Beeston etc)

A few months ago, houses in some streets were sticking for weeks and were only sold after a 5K - 7K price drop.

eg - £85K to £78K

But now the same style of house on the same street or set of streets are popping up at around £90K.

If they didn't sell a few months back at a lower price why do EA's put them up at these higher prices?

Are they trying it on? , or have they actually no idea of the previous pricing history of the area?

I'm a tad perplexed.

been watching an area for over a year now and have observed the calc is:

Last sale in street + 10%

This may have to change now, -10% may work..

Edited by Quokka
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There really are three types in this huge city. There are thousands of low income people across the city (same as any other large place).

Then there are the nicer suburbs where most housing is above even the local average price (which is lower than the national average) and probably above that national average.

Finally there are thousands of mainly younger waged people who are choosing to live in the city centre in converted or new flats.

So where are we in 2006? Well this is purely anecdotal but I hear from friends involved with the flats in Leeds that disaster could well be looming; the problem is simply oversupply and poor quality of the newer flats available (quality of area I mean). If the economy does hit a rock soon, this will be where it hits first and badly.

Also purely anecdotal but I see from my travels that lots of houses which went on sale in October-November near me (Leeds NW) have now sold including my own. A friend in a local agency (she just works there, and is leaving soon anyway, so no vested interest) tells me that business in the suburbs has been the best at this time of the year for some years.

Well everyone else throws anecdotes so I thought I'd join in. My news is good and bad depending on where one sits.

Glad I turned down a chance 18 months ago to invest in a flat conversion...

:)

Looks like its prices at the top end of the house market that are suffering first in Leeds...BTL will follow but for now the figures are masked by 'seller pays deposit' type fraud.

see: http://www.home.co.uk/guides/house_prices_...&lastyear=1

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