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Having been told that the market is stable or rising for most of the previous 12 months today's news that house prices have fallen for an 11th consecutive month must come as a hell of a shock to the general public.

Confusion such as this is not condusive to a healthy market and can only lead to more mistrust and scepticism.

Todays headlines are full of the usual bulls*** "Housing market starts to stabalise", "Housing market reaches turning point" (Again), etc.

Now that the most bouyant time of the year for house purchases is drawing to a close and the slack summer period followed by the notoriously inactive autumn and winter seasons, any notions of a property boom are now well and truly history.

Enjoy as the crash steps us a gear or three.

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Must add to that - two sellers I know at the moment are INSISTING on getting the asking prices for their properties.

Both in different places - one out of London, one in London, but are sitting tight, waiting for the asking price to roll in.

Both have had offers 10% below or more on their asking prices and both are incensed at not being offered the full asking price. Really angry.

Apparently the estate agents have been putting pressure on them both to take the offers they've been given - of course, EAs know their jobs are on the line if this sluggish volume level keeps up for much longer.

One seller has even said he'll tell the other 2 people in the road trying to sell their places, and in another road of similarly priced properties, to form a pact not to reduce their selling prices - that way they think they'll get the full asking price and no buyer will be able to knock any of them down.

Cunning, but very stupid in the long term!

I've suggested to both of them that they've made tidy profits on their places and it would be wise to go for a sale now but neither of them think the market will go down any further, so are just sitting......... waiting.......

It's hilarious! If one of them wasn't a close friend I'd be laughing hard at the whole thing.

Will report back when/if they ever manage to sell...

Anymore stories like this?

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A similar story based on my personal experience: -

Flat for sale in W14 for £289k.

We put offer in January at £274k - rejected.

3 months later, we offer again at £267k - rejected.

One week later flat comes down in price to £280k. We do nothing.

One week after the reduction, it's taken off with the previous agent and on with a new agent at £285k!!

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One seller has even said he'll tell the other 2 people in the road trying to sell their places, and in another road of similarly priced properties, to form a pact not to reduce their selling prices - that way they think they'll get the full asking price and no buyer will be able to knock any of them down.

Cunning, but very stupid in the long term!

How naive is the said seller? Does he not realise that the other people in the road will be more than happy to tell him to his face they will collude in his (illegal) cartel, only to stab him in the back come the first acceptable offer?

And even if these lot stick together like deluded Kanutes, do they really believe their houses to be so unique as to consitite a cornered supply? DREAMERS!

This reminds me of a tw@t on the old Marketeye.com site during the first panicked sell-offs in dotcoms. "I see their game," he asserted, "They're dropping prices in the hope that we'll sell our shares on the cheap! I say stick together and don't given them your shares." Wonder what became of him. The site itself folded.

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A similar story based on my personal experience: -

Flat for sale in W14 for £289k.

We put offer in January at £274k - rejected.

3 months later, we offer again at £267k - rejected.

One week later flat comes down in price to £280k.  We do nothing.

One week after the reduction, it's taken off with the previous agent and on with a new agent at £285k!!

I think what's happening with these properties and their stubborn sellers is a mix of greed and desperation. I see tons of property each day here in North London that's been on the market for months and hasn't sold. I aways ask myself how much debt many people have got themselves into over these properties? I guess they find themselves in a situation now where they 'must' sell for the peaked market value of last summer, or they are in deep sh1t. Of course the problem is no-one is prepared to pay the silly prices of last summer...

Nomadd

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Must add to that - two sellers I know at the moment are INSISTING on getting the asking prices for their properties.

Both in different places - one out of London, one in London, but are sitting tight, waiting for the asking price to roll in.

Both have had offers 10% below or more on their asking prices and both are incensed at not being offered the full asking price. Really angry.

Apparently the estate agents have been putting pressure on them both to take the offers they've been given - of course, EAs know their jobs are on the line if this sluggish volume level keeps up for much longer.

One seller has even said he'll tell the other 2 people in the road trying to sell their places, and in another road of similarly priced properties, to form a pact not to reduce their selling prices - that way they think they'll get the full asking price and no buyer will be able to knock any of them down.

Cunning, but very stupid in the long term!

I've suggested to both of them that they've made tidy profits on their places and it would be wise to go for a sale now but neither of them think the market will go down any further, so are just sitting......... waiting.......

It's hilarious! If one of them wasn't a close friend I'd be laughing hard at the whole thing.

Will report back when/if they ever manage to sell...

Anymore stories like this?

You would think they would take the offers and run before the prices fall and fall. I have 2 friends who recently bought at high prices and surprisingly they think prices are going to carry on going up!! I don't know what colour the sky is where they are!! I have been telling anyone who will listen for the last 2 years a crash is brewing, but still no one believes me!!

Bring it on.

:D

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Angry? Not quite as angry as those of us priced out of the market by the rampant greed of people like this  :angry:

Is the resistance to lowering asking price related to the level of debt these people are in? I mean, if I had a few credit cards outstanding, a hefty car loan, no savings, and payments on a pad in the costa lotta I'd be clinging to my idea of 'market value' tooth and nail...

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I overheard my colleague get a call today from her agent. Her flat on at 160k has only had only one person look round it in 2 months. The agent called to suggest that she reduce it to 155k. The same converstation that is happenning all over Britain.

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Is the resistance to lowering asking price related to the level of debt these people are in?  I mean, if I had a few credit cards outstanding, a hefty car loan, no savings, and payments on a pad in the costa lotta I'd be clinging to my idea of 'market value' tooth and nail...

The psychology of these people is pretty clear - if they are in the south east or London and have been in the same half-decent property for the last 5 years there's a good chance they are around at least £100,000 richer.... but only on paper. And at the expense of FTBs. So for the last 24 months they've been feeling very chuffed with themselves for getting rich for doing nothing, and either MEWing the imaginary money to blow on Lifestyle products or imagining all the wonderful shiny things they can buy with it. But now a bunch of scruffy oikish poor upstarts (FTBs) have upset the applecart by refusing to pay 3 times as much as those before them did for the same right... and they can't handle it.

Stuff em :lol:

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WalktotheW

They have both made tidy profits - the one in London - bought flat for

100k 5 years ago now selling for

215k

got an offer for 190k and rejected it.

Said he'd invested 25k into doing up the place and wanted to 'make some money on the place'.

I thought 65k wasn't bad as profit.... he was a FTB after all 5 years ago

But no

The second seller, out of London, bought the place for 400k in 2002, invested 120k in the property, now selling for 700k. Neither want to come down even a fraction....

and to answer your question:

Neither of them have any debts at all, except less than 50% mortgage on the properties. Both well-heeled earners... I'm afraid the only word to describe these people is GREEDY oops and one other one... FOOLISH! :D

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A similar story based on my personal experience: -

Flat for sale in W14 for £289k.

We put offer in January at £274k - rejected.

3 months later, we offer again at £267k - rejected.

One week later flat comes down in price to £280k.  We do nothing.

this is typical beginners trading psychology - you have something to sell and you set your offer price - the bid price is lower than you wanted so you do nothing - the bid price falls so you think, 'well maybe i shoud have taken the first bid' and drop your offer price to the level of the first bid - by then you are chasing a falling bid (unles you change to another muppet EA)

this is how people lose money on the stock market

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When we sold last year we had about 20 viewings with no offers, we changed agent and reduced the price after about 10 viewings and then took the first offer we could get.

Many people have the fantasy that their house will sell within days of going on the market, when it doesn't they still expect it to go at full asking price.

My personal opinion was that as long as the offer wasn't stupid we'd take it. The first offer was for £20K less than the original asking price (something like a 15-20% reduction) we finally took one which was £5K less than asking which was actually only about 3-4%.

What we realised was that if 20 people had viewed it and not offered anything then it wasn't going to be greatly desirable, therefore we would have to accept what we got for it.

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What we realised was that if 20 people had viewed it and not offered anything then it wasn't going to be greatly desirable, therefore we would have to accept what we got for it.

I had the same attitude with my flat sale (currently going through).

Firstly I chose the lower of the 2 valuations from the estate agents which came round to look at the place.

After 2 weeks on the market, 8 viewings, some useful feedback, and no offers, I reduced the asking price by 3%.

2 weeks later I got an offer which I managed to negotiate up to about 2% below the new reduced asking price.

Unfortuately most people can't think that way.

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  • 442 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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