What would you offer on this flat?

[fourwalls]

We're looking at a flat in a very small block of six flats - flats occupy top two floors over ground floor of commercial premises mix of Greggs, Indian restaurant and accountants.

There haven't been many sales in the block so we're findng it hard to gauge what offer to make.
Asking price is £180,000. It was purchased for £72,000 in 2000.

As far as I can tell, pretty much identical flat next door has the following sales history:

2001 Also sold at £72,000
2006 Sold at £149,000
2007 Sold at £167,000
2009 Sold at £157,000

The two flats are identical in size and layout and facilities, car parking, and so on.
The only difference is that the one we're interested in has had a very new snazzy bathroom and decent kitchen installed and is generally tastefullly decorated.

Not sure how to value/what to offer! It's on at £180,000 and only been on a short time. Clearly the block values went down after the 2007 peak but we've got no idea where prices have gone since then - this is zone 4 London - a nice but definitely less desirable area of greenwich and flat is over shop and fronting main road.

We are tempted but think £180,000 is optimistic pricing - what do you think?

Anyone know any helpful statistics?

[Rockchick1984]

Maybe not much help, but I've recently had my flat valued with a view to selling. Estate agent told me they normally put it up for 10% over the valuation he gave me, so based on that I'd be looking to offer slightly less eg £160k tops :)

[ninjanurse]

Digressing slightly from what you are asking....I tried to buy a flat above a shop a few years back and I found it really hard to get a mortgage, a lot of banks wont touch properties above shops especially takeaways etc because of the increased fire risk. Just to warn you - although this could mean you could get a nice bargain.

[fourwalls]

Ooops I meant to say in Norwood/Anerley not Greenwich - although I am going shopping there later

Thanks Rockchick and Ninja - sound advice. I would think £160k is probably a good-ish figure.

The commercial premises, main road aspects, potential difficulties with mortgages will all point towards a 'hard to sell' property so there should be reasonable scope for negotiation.