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Look At This Reference Barratts

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This is the best thread in Singing Pig, please all read.

Infact can this be put in the top with all of the others.

This has to be followed.

I do feel for the investors, they simply have no idea at all what is going on around them.

READ THE THREAD

"Thanks for replying. We have had four valuations by estate agents. These have all been £30,000 below the Barratts list price. While opinions can vary on the valuation of a property, the estate agents seem to be reading from the same hymn sheet, whereas our surveyor, who was supposedly working for us, and was paid by us, appears to have been reading from Barratts price list.

I asked one surveyor whether it was possible to sell the property at Barratts list price and he burst out laughing, and said, "Not in your wildest dreams!". So I think it is fairly easy to prove that the list price was inflated."

This is not even the best quote in the thread.

But do pity them.. its horrible, they have been conned by the false belief in a failing market which has entered its downturn.

They have been fooled by a surveyor who has either lied or has simply been ticking boxes in an inflating market for years and hasn't noticed the downturn.

Why would they ( Barrets) sell it for BMV?

Would you?

Edited by apom

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A fascinating read.

Caveat emptor, unfortunately for Meg. She failed to do her research.

I struggle to understand her complaint. She buys a house then later on discovers it has fallen in value by £30K. She's trying to blame the 'professionals' when in fact this could be evidence we are in the middle of a HPC.

On what she has said, she has no cause of action as the law stands, depite the obvious sharp practices. There's been no deception. The price she paid is the price she considered reasonable at the time. She's assuming there must have been some kind of deception operating because of the reduction in value.

Why?

Because house prices always go up, and any reduction could only have been caused by other people's fault, not market forces and her naivete.

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This is another thing we are angry about - they told us a colleague and ourselves were buying the last two houses on the development. The Sales Office is still open, however, and even a cursory search on the Internet shows other houses on the same road were sold after we bought ours, and it seems unlikely these were all second-hand sales.

How many times have we said this practice is going on. Putting up sold signs to create an air of urgency.

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She buys a house then later on discovers it has fallen in value by £30K.

Sorry. She's not saying this. Clearly there's been a drop in value somewhere, but it's not clear by how much.

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First thought is good, the sooner that these muppets are out of the housing supply of this country the better and there is no quicker way to get the speculators out by frazzling them. Their stories will get into the press eventually and people will generally wise-up to the littany of bad bractice and outright fraud that has been fostered within the bubble.

Second thought - will never believe absolutley what a surveyor tells me, will never believe at face value what the stats say (not even "actual" local sales values), actually will never trust anyone within the housing industry. It really must be one of the shabbiest, most dishonest sectors in the UK.

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As if she is going to get anywhere by taking Barretts to court. Such stupid statements as BMV which incidentally means nothing - she paid a price so that is the market price. Also Barretts could argue that there is depreciation like with any other good and also that low and behold house prices have fallen. Maybe she should take Rightmove to court and ask for her 3% rise in a month :)

She has been stupid and is looking for someone to blame. Nothing worse than an amateur investor that expects some sort of rigged race i.e. you can't lose if you win you brag about how good an investor you are if you lose you claim compensation or your money back.

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We cannot let it and if we sell it we will make a substantial loss because of mortgage payments and penalties/legal costs. I realise many other people have been caught by this, particularly novices to property investment like ourselves.

If she was a first time buyer and not a greedy BTL parasite I'd actually care.

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That Clottie is a piece of work.

This statement:

"Having newcomers ask basic questions, is so helpful, as it makes us more experienced folks really think about what we are doing, and why we are doing it !"

- makes me hope like hell that her BTL portfolio evaporates into a stinking pile of negative equity.

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The key thing that most people fail to realise is that most new builds are AMV (Above market value) when they get a reduction or buy 'off-plan' they get a reduced AMV value... not a BMV value.

The problem occurs when people accept inflated valuations as the market price... failing to realise that the valuation is simply a bank checking that a property has the potential to realise a price... and is not a guarentee that others in the market would be willing to offer said price.

AMV is the issue here caused by unprofessional and exuberant surveyors/valuers.

It just confuses the greedy - but then house prices always go up.... don't they? :P

- Pye

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That Clottie is a piece of work.

This statement:

"Having newcomers ask basic questions, is so helpful, as it makes us more experienced folks really think about what we are doing, and why we are doing it !"

- makes me hope like hell that her BTL portfolio evaporates into a stinking pile of negative equity.

dont you mean into a pile of shit

without anything in writing she dont have a leg to stand on

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I bought a Barratts house in 2002 and sold in early 2005 - made very little profit from it.

Who was to blame? Me. Although Barratts were sneaky ba****** by not mentioning the

road widening out the back (which also didn't show up in the survey).

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someone just told me of a site called housepricecrash.co.uk

Bless them, as if property ever goes down in value..

If you track it since 1950 its costs far more now to buy a house then it did back then..

Find me another assett that goes up every year,

Love this quote from fastwomenslowhorses :lol::lol::lol:

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I bought a Barratts house in 2002 and sold in early 2005 - made very little profit from it.

Who was to blame? Me. Although Barratts were sneaky ba****** by not mentioning the

road widening out the back (which also didn't show up in the survey).

Funny, isn't this just the sort of information that would have to be included in a seller's pack?

btp

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Yes, the purchaser may have been naive and too trusting of sales peoples "statements".

But that should not excuse any lies and mis-representaions.

I have already made my opinion clear on the correct treatment of discounts for SDLT in other threads.

Nonetheless, I still consider that involving HMRC is possible means of obtaining redress for any malpractices which may have occurred.

I wonder how much this type of over-pricing is keeping the property bubble inflated.

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Never again will I buy a new build.

Good life lesson. Shame its put me in a position where I have less equity had I made

the right choice, and now can't afford even the first house I ever bought (72K in 2000) - about

£130-140K now.

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When novices invest in a BTL property they dont seem to realise that they are effectively starting a business.

I think this is important as the general public have got very used to a society in which they are very protected by the law. For example if you buy something from a shop you can take it back for a full refund without much reason at all. Even if you are refused a refund you could take the retailler to court you would probably win, even if the retailler has done nothing wrong.

Everyone has got used to this and they dont need to check the smallprint.

In the business world everything is different, you need to read the small print and you are expected to know what you are doing. If you sign something then the contract is binding and the empasis is on you to understand what you are signing.

Up to now this has not been important but if the s**t hits the fan, people with BTL mortgages are not going to be let off the hook. Many people would not only lose their BTL investment but they could be forced out of their own house as well. Also banks dont like to evict homeowners from their houses if they default on a residential mortgage. But these rules would not apply to BTL investors, the banks would use everything in their power to evict them from their homes.

Or am I completely wrong??

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When novices invest in a BTL property they dont seem to realise that they are effectively starting a business.

I think this is important as the general public have got very used to a society in which they are very protected by the law. For example if you buy something from a shop you can take it back for a full refund without much reason at all. Even if you are refused a refund you could take the retailler to court you would probably win, even if the retailler has done nothing wrong.

Everyone has got used to this and they dont need to check the smallprint.

In the business world everything is different, you need to read the small print and you are expected to know what you are doing. If you sign something then the contract is binding and the empasis is on you to understand what you are signing.

Or am I completely wrong??

No youre completely right, big difference between consumer law which looks after the small guy and contract law where both parties are assumed to be big and ugly enough to look after themselves.

Would she complain if the current valuation was over the 15% discount offered ?

I think not. No then she would be a shrewd investor :lol:

Muppet ;)

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  • 301 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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