Jump to content
House Price Crash Forum
Sign in to follow this  
Alfie Moon

Fixed Prices - Why?

Recommended Posts

I've been keeping my eye on the Worcester house market for a while as I'm considering moving there when I eventually buy. This will mean I will have to commute to B'ham for work. I'm getting fed up of living in a big city and like the idea of moving to more pleasant surroundings that Worcester can provide.

I noticed, for the first time, this morning that on Rightmove a small number of Worcester houses have 'fixed prices'. Why are they doing this? Is it indicative of Estate Agents and vendors being aware that buyers are now seeking significant deductions before agreeing a purchase price? Or is it supposed to be a sign of confidence? Or perhaps it is desparate BTL'ers who cannot afford to sell at a lower price? It's almost tempting to contact the Estate Agents to say I would be interested if the house was £15k - £20k cheaper, but since it's a fixed price I won't bother viewing it.

Share this post


Link to post
Share on other sites

so many people seem to be interested in worcester :( and there is a great train service into birmingham, personally i think there is confidence in the city, because its a nice place to live.

Share this post


Link to post
Share on other sites

moosetea, if you look on the BBC's website Land Registry data page they report that terrace house prices in Worcester have fallen over 5% in the last 12 months and semi-detached houses have falleen by over 4%. So, perhaps we can take comfort from that. Having said that I think there has been a significant boost in asking prices. No doubt this is Estate Agents hoping to benefit from a Spring bounce. This is possibly why Rightmove nearly always reports a large rise in asking prices in February each year.

Share this post


Link to post
Share on other sites

I noticed, for the first time, this morning that on Rightmove a small number of Worcester houses have 'fixed prices'. Why are they doing this? Is it indicative of Estate Agents and vendors being aware that buyers are now seeking significant deductions before agreeing a purchase price? Or is it supposed to be a sign of confidence? Or perhaps it is desparate BTL'ers who cannot afford to sell at a lower price? It's almost tempting to contact the Estate Agents to say I would be interested if the house was £15k - £20k cheaper, but since it's a fixed price I won't bother viewing it.

It would be interesting to see what would happen if you contacted the agent and said that you would be interested in the property if the venders were prepared to consider offers but not at that fixed price.

Billy Shears

Share this post


Link to post
Share on other sites

I noticed this recently too. Probably agents are getting fed up with people like me trying offers 15-20% off.

What I would do is is let the vendor sweat for at least 6 weeks from first putting it on the market. Chances are the fixed price will put viewers off unless it really is a relative bargain. View it, and if you want it, make an offer anyway. Just ignore the fixed price bit.

Share this post


Link to post
Share on other sites
Guest prudence

An interested buyer should ignore it and make an offer. It might be that the vendors are testing the market. They will sell if they get the price they want, otherwise they will stay put.

Share this post


Link to post
Share on other sites

moosetea, if you look on the BBC's website Land Registry data page they report that terrace house prices in Worcester have fallen over 5% in the last 12 months and semi-detached houses have falleen by over 4%. So, perhaps we can take comfort from that. Having said that I think there has been a significant boost in asking prices. No doubt this is Estate Agents hoping to benefit from a Spring bounce. This is possibly why Rightmove nearly always reports a large rise in asking prices in February each year.

I agree, asking prices are now out of touch with sale prices... but alot of people are interested in worcester, and some are buying, IMO there was a spurt of sales in august and september which has increased confidence.... The problem is worcester is a nice place to live.

http://www.nethouseprices.com/index.php?co...1ns&town=&year=

I was in the middle of developing an application that would scrape some of the data, so i can get a better picture of worcester

Edited by moosetea

Share this post


Link to post
Share on other sites

I've been keeping my eye on the Worcester house market for a while as I'm considering moving there when I eventually buy. This will mean I will have to commute to B'ham for work. I'm getting fed up of living in a big city and like the idea of moving to more pleasant surroundings that Worcester can provide.

I noticed, for the first time, this morning that on Rightmove a small number of Worcester houses have 'fixed prices'. Why are they doing this? Is it indicative of Estate Agents and vendors being aware that buyers are now seeking significant deductions before agreeing a purchase price? Or is it supposed to be a sign of confidence? Or perhaps it is desparate BTL'ers who cannot afford to sell at a lower price? It's almost tempting to contact the Estate Agents to say I would be interested if the house was £15k - £20k cheaper, but since it's a fixed price I won't bother viewing it.

Worcester agents (one or two in particular) are well known for ramping prices. There are a lot of agents (and vendors) trying it on. I always ignore any reference to 'fixed price', 'offers above', 'offers based on'... it is simply a reflection of someone's hopeful expectations. But it is the market that sets the price - not just the seller.

Anyway, I quoted a recent example the other day - one house in Worcester went on for £795k and just two weeks later it is down to £695k...

I viewed another farmhouse that was originally on for £795k and recently came down to £750k - despite two other agents valuing it at no more than £695k (and the owner even made the mistake of telling me!).

No doubt there will always be a shmuck who has fallen for the VIs and pays these prices... but luckily there are enough people looking who now do their research.... BTW - there about 700 jobs at risk at Kays in Worcester... there aren't that many major employers left in the area - many people commute to Birmingham - but I wonder how long that will last now that cheap oil is behind us...

I agree, asking prices are now out of touch with sale prices... but alot of people are interested in worcester, and some are buying, IMO there was a spurt of sales in august and september which has increased confidence.... The problem is worcester is a nice place to live.

http://www.nethouseprices.com/index.php?co...1ns&town=&year=

I was in the middle of developing an application that would scrape some of the data, so i can get a better picture of worcester

A mate of mine has written a fantastic application that monitors a Rightmove search on a daily basis and shows you instantly whenever a property's price changes or something moves to Under offer or SSTC. I get to see whats going on in Worcester - there are still reductions coming through each week - but the number of reductions has fallen in the last couple of weeks - I guess people are going to wait and see what happens during the Spring...

AND prices seem to be VERY flexible - there's absolutely no reason to offer anything like the asking price - I'm convinced that most new prices have an element of wiggle room added - as everyone expects yoou to take 10-15% off minimum...

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 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%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.