What's the deal with 'fixed price' houses?

[lecce]

I am looking to move in a year or two, so this is not a gripe based on bitter personal experiece, but dh and the dc are away and I've been idling away time on Rightmove .

I just don't get it, surely people will pay what they can/want to pay? How can you specify a fixed price? Even more odd, when it says 'sale' or low price for a fixed time only. Really??

would love to know if anyone has bought a house this way, or feels they acheived a sale using these tactics.

No reason, just being nosey and have had , so you know...

[mamatomany]

Oh they make me laugh and the offers over as well, so basically you'd like £165,000 would you Mr Vendor, it's for a limited time only I'd better hurry or I might miss out [sides splitting]

[CrispyCakeHead]

It's pretty normal in Scotland, where houses are either "offers over" (scary closed auction thing), or if you want a quick sale without any uncertainty or the market is a bit depressed or you live in a less desirable area, "fixed price".

Not seen it used much in England, but I can imagine people are putting it on at a fixed price that is lower than the valuation in order to try and sell quickly. Same with the "for a fixed time only" thing; trying to get interest up for a quick sale.

times are hard, dontcha know

[mamatomany]

but I can imagine people are putting it on at a fixed price that is lower than the valuation in order to try and sell quickly

That's what makes me laugh though they aren't 2007 prices, they are at least 10% more and the limited time only is about 6 months

[Ciske]

We had our house on fixed price for a while. It indicates that you've already priced the property at your lowest price and can't afford offers below that.

Property developers and builders aside, people price their property to reflect what they need for it in order to move on. Just because it's not selling doesn't mean you can afford to drop the price.

That's the harsh reality for sellers these days. :(

[TheBolter]

I don;t think there's anything wrong with a fixed price - it just means that the vendors have specified what they want for the property and aren't prepared for all the cat and mouse bullshit that goes on in the price negotiation stage.

More houses really should be priced accordingly IMO.

[eviscerateyourmemory]

You are still entitled to offer whatever you like. Maybe it means more in Scotland where an accepted offer is binding, and if you offer the fixed price on a house you can therefore be confident that the offer will be accepted and you will be buying the house.

[Jeremyess]

I would ignore the 'Offers above' or 'fixed price' tag and offer what you think it is worth, I have seen houses advertised as both 'offers above' and 'fixed price' drop this price after a few months of no offers.

[mamatomany]

Exactly as Jeremyess says it just makes a complete mockery of the whole thing.

[mylovelymonster]

It's just a marketing tool, that's all.
The 'reduced/sale price for one weekend only' makes me laugh. And also the 'but it's already been reduced by such & such' - meaningless. Like it's a bargain. Do houses have an RRP?

Also - many more occurrances of 'Make an offer week, on participating properties'. Erm, is that special/different to every other day?