Weird market - houses overpriced

[Rhica]

My sister is looking to move nearer to where I live. She has found a town she likes but the market seems bonkers to me. She is after 3 bed - semi or detached. There are loads on the market. But... They are all asking for about 30-40k more than they were asking 6-12 months ago. Demand is low and supply is high so not sure what is driving this increase other than perhaps estate agents competing to get listings? So. Should she buy or wait? What do you think?

[Rhica]

Budget is 200-250k (north west) so 40k increase in house values is a huge amount

[lastqueenofscotland]

If it’s manchester or Liverpool chances are people are paying those prices, the housing markets there are booming.

[DownUdderer]

Search all houses that have sold recently to get an idea of what people are paying.

[Rhica]

Not Manchester or Liverpool. I have search sold prices and 30-40k lower. Definitely no boom. Houses have been on market months. One house she saw at weekend was bought for 195 in Jan 18. He out a new bathroom in only said it's been renovated and put it on for 145. Don't get it

[Blobby10]

In my area, 4 bed detached houses with integral single garage, 3 double beds - that were going for £425k early last year are now struggling at £350k but IMO the 350k is a more realistic price ! EA said that vendors this year have seen what their neighbours sold for last year and want the same but they aren't selling at that price. On the other hand, 4 bed detached with integral double garage and 4 double beds are going for £450k+ when last year they were selling at £450k. It is a bonkers market right now.

[JoJoSM2]

If you order houses on Rightmove by newest listed, is nothing under offer out of the properties listed in the last few weeks?

If your sister doesn’t feel the properties are worth their asking prices, she can always go 30k lower or whatever she thinks is a fair offer.

[Nyon]

It's odd - prices in our area (se) are very slowly starting to come down - there are the odd three beds coming on now at 400k, instead of the 425-450k they were when DP and I were looking. Too late for us tho as we're waiting to see what Brexit does for jobs likely to be affected due to specific industries before I get accused of 'project fear-ing', prices etc.

[Rhica]

She has put in a few offers and explained why but just got a flat no. Think she is of the opinion now that they will have to come down as there are so many similar properties available. Interestingly I just looked on the sold price history for that town and only 7 properties sold in June. Historically there have been 20-30 sold each month including going back post credit crunch so 2009 and 2010. My village prices are just levelling out but demand has been higher here so can explain price increases over the last12 months

[Rhica]

@blobby bonkers is definitely the word

[Rhica]

@DownUdderer just did as you suggested and yes all houses under offer reduced to a sensible amount. Thanks for the advice