How far will house prices fall [volume 4]

[Thankyou4calling]

Saleen836 said:

My house requires a huge amount spending on it (Approx £30k worth refurb/modernising on a 1930's 2+box semi) but the agent insists they have had sales recently over over asking price, my comment regards Rightmove and most of the property for sale having 'price reduced on..' against it was met with "those properties were over priced to start with"

Fair enough. Have you put it on the market?

[stuckmojo]

Thankyou4calling said:

Fair enough. Have you put it on the market?

This. Not a price increase until it sell for that. However, happy for you. I just hope you don't plan to release any equity.

[Saleen836]

Thankyou4calling said:

Saleen836 said:

My house requires a huge amount spending on it (Approx £30k worth refurb/modernising on a 1930's 2+box semi) but the agent insists they have had sales recently over over asking price, my comment regards Rightmove and most of the property for sale having 'price reduced on..' against it was met with "those properties were over priced to start with"

Fair enough. Have you put it on the market?

No, not put on the market was just baffled with the apparent increase when everywhere else prices are dropping, less people are buying, mortgages are more difficult to get etc

[Thankyou4calling]

So the estate agent said all the other houses are over valued, prices everywhere are dropping, mortgages are harder to come by but your house has gone UP in value by 18%.

Amazing. If i were you I'd cash in immediately.

[Saleen836]

Thankyou4calling said:

So the estate agent said all the other houses are over valued, prices everywhere are dropping, mortgages are harder to come by but your house has gone UP in value by 18%.

Amazing. If i were you I'd cash in immediately.

No all the agent said was regarding other houses being over valued, I know Zoopla is a bit hit and miss with it's valuations (next door is valued £15k les than mine) but the agent put mine at approx 5% more than Zoopla even with it needing so much work needing to be done, i've no faith in estate agents as previously mentioned on here they are only after the business.

[TheLordJohn]

Thankyou4calling said:

So the estate agent said all the other houses are over valued, prices everywhere are dropping, mortgages are harder to come by but your house has gone UP in value by 18%.

Amazing. If i were you I'd cash in immediately.

Touche.

[Sheepshanks]

Thankyou4calling said:

So the estate agent said all the other houses are over valued, prices everywhere are dropping, mortgages are harder to come by but your house has gone UP in value by 18%.

Amazing. If i were you I'd cash in immediately.

A house that's "right" will always sell well, but anything at all compromised will suffer big time in a soft market.

[lord trumpton]

With this decline in asking and selling prices; what are reasons people attributing to this fall?

[Pork]

Sheepshanks said:

A house that's "right" will always sell well, but anything at all compromised will suffer big time in a soft market.

That's certainly evident near me. "Right" sells quickly and still above asking. Compromised is sitting on the market and either stagnating or getting reduced....and still, in some cases, stagnating.

[okgo]

lord trumpton said:

With this decline in asking and selling prices; what are reasons people attributing to this fall?

Confidence.

[Welshbeef]

There is naturally going to be a pause to see how BREXIT will end up.

I can see possibly a change to the stamp duty in the Autumn budget as it's adding to stagnation in the market - plus crucially pulling in far less tax than expected. Top end houses people are simply staying put

[kingston12]

Welshbeef said:

There is naturally going to be a pause to see how BREXIT will end up.

I can see possibly a change to the stamp duty in the Autumn budget as it's adding to stagnation in the market - plus crucially pulling in far less tax than expected. Top end houses people are simply staying put

It will be interesting to see how far they go. The one thing this Government has been successful at is keeping house price inflation going, but it obviously gets harder to keep doing so once more of the tools have been used.

I wouldn't be surprised to see U-turns on both stamp duty and some of the BTL tax relief recently cut. There isn't much else they can do to keep the plates spinning short of zero interest rates, mortgage deregulation or bringing back wage growth.

Edited by kingston12 on Sunday 3rd September 08:29

[g3org3y]

Welshbeef said:

There is naturally going to be a pause to see how BREXIT will end up.

I can see possibly a change to the stamp duty in the Autumn budget as it's adding to stagnation in the market - plus crucially pulling in far less tax than expected. Top end houses people are simply staying put

I was under the impression it was pulling in more tax than expected.

Article:
http://www.telegraph.co.uk/news/2017/08/23/governm...

Discussed here:
https://www.pistonheads.com/gassing/topic.asp?h=0&...

[powerstroke]

lord trumpton said:

With this decline in asking and selling prices; what are reasons people attributing to this fall?

Oversupply .. PCP type deals on new houses , less attractive BTL situation ,

[Welshbeef]

g3org3y said:

Welshbeef said:

There is naturally going to be a pause to see how BREXIT will end up.

I can see possibly a change to the stamp duty in the Autumn budget as it's adding to stagnation in the market - plus crucially pulling in far less tax than expected. Top end houses people are simply staying put

I was under the impression it was pulling in more tax than expected.

Article:
http://www.telegraph.co.uk/news/2017/08/23/governm...

Discussed here:
https://www.pistonheads.com/gassing/topic.asp?h=0&...

That's the BTL3% surcharge - fact is the market is essentially stopped apart from have to sell above a set value.

12% is redicilous/that already is the Wealth tax

[Sa Calobra]

Ex landlord house gone up for sale near me. It's been run into the ground (bought from a deceased OAPs estate 9years ago) and it's a wreck. But they want £180,000 for it. The pics are flattering. SSTC (fallen through)

http://dahomes.co.uk/property/details/10031433

[Welshbeef]

Sa Calobra said:

Ex landlord house gone up for sale near me. It's been run into the ground (bought from a deceased OAPs estate 9years ago) and it's a wreck. But they want £180,000 for it. The pics are flattering. SSTC (fallen through)

http://dahomes.co.uk/property/details/10031433

No idea if that price is good bad or otherwise - BuT it say it's nearly universal that if the garden is in a state then the house will be too (owners don't give a flying duck).

As for this house it looks tired but easy to fix up for not mega bucks. Bake that renovation cost into your offer.

[Sa Calobra]

If it was in better condition we'd be interested in offering on it but the rear two windows need replacing and there's a long crack running down the rear of the house

I'd say that's worth 120-130 in average condition looking at prices on that road. The owner now has asked for offers over 180 which puts it at 20-210.

[Pork]

Welshbeef said:

There is naturally going to be a pause to see how BREXIT will end up.

I can see possibly a change to the stamp duty in the Autumn budget as it's adding to stagnation in the market - plus crucially pulling in far less tax than expected. Top end houses people are simply staying put

Receipts from SDLT are up though so I suspect changes are unlikely.

[turbobloke]

Pork said:

Welshbeef said:

There is naturally going to be a pause to see how BREXIT will end up.

I can see possibly a change to the stamp duty in the Autumn budget as it's adding to stagnation in the market - plus crucially pulling in far less tax than expected. Top end houses people are simply staying put

Receipts from SDLT are up though so I suspect changes are unlikely.

Record receipts as of April iirc.