To think current home sellers are living in a fantasy world?

[CanStopWillStop]

We are looking for a new home (out of necessity unfortunately!) so I am now deeply buried in Rightmove.

The most significant pattern I'm noticing is that dozens of sellers, who according to Land Registry bought their properties in 2019/2020, are listing their homes at £100-200k more than they paid two years ago.

Considering the current dire outlook for mortgages &cost of living etc, AIBU to think that this is absolutely ludicrous money they are chasing?

I understand some people may have remortgaged or are looking to upgrade but a £100,000 mark up on a 3-bed bungalow you've lived in for a couple of years is mind-blowing to me. What's happening here? Greed? Desperation? Do they really think people can actually get mortgages on overvalued properties? AIBU?

At the end of the day if someone is out there willing to pay that money then what can you do? The demand where we are (nice suburb of city) still hugely outstrips supply and estate agents have loads of buyers on their books. Yes some peoples affordability will obviously change sadly but plenty won’t.

Our house has been valued by a few
different EAs and is worth 200K+ on what we paid for it 3 years ago. We only got the property
valued as EAs kept asking us if we were planning on selling. We’re not, but feeling curious we let them come and value the house. They now call us regularly to check if we have changed our minds as they have long waiting lists for property like ours in this area. Price obviously not putting some folk off. We have redecorated but definitely not refurbed 🤷🏻‍♀️

www.merriam-webster.com/dictionary/home

The vast majority of properties around here, Mid Norfolk are selling very quickly and people whose house is under offer can't find anything.

I can totally relate, I'm only looking now as we need to move but otherwise I would have sat and waited this one out. Curious to see what happens though...

Prices will start to come down but that said why are you looking at £500k bungalows?

Honestly it's bonkers. Bought for 400k in 2017. Just before pandemic it was valued at 450k. Now valued 550 to 570. Huh?

This tickled me more than I can say

I definitely think there’s a rush to make a quick buck from a lot of people rn. The amount of houses which have gone up for sale round here in recent weeks is wild, and the prices are still way above and beyond what they were a few years ago, but interestingly they have already dropped by tens of thousands here. They also don’t seem to be selling nearly as fast as they did just 6 months ago either.

And whilst you’re looking out of necessity, the thought of people just putting there house on the market for the sake of it or purely to make some money seems absurd to me.

Wishing you luck, seems wild out there.

Ultimately, it really only affects first-time buyers. For everyone else, the price differences are all proportional to their homes' values so it evens out.

Nope, it will sell for whatever someone is wiling to pay.

Estate agents are largely unregulated and do as they please. The RICS have residential surveyors who are much more accountable for their valuations, they can’t just pluck numbers out of thin air basically. They are reporting this week that growth has slowed for the third month in a row and sales have fallen to their lowest level since May 2020 - the height of pandemic lockdown measures.

Their chief economist is also predicting that the boom in property prices that has happened since 2008 is to end next year and expect prices to fall by a 10% minimum in 2023.

Because lending is insane. Because re TS keep going up. Because housing demand increases.

A flat across the street from me went on sale two weeks ago for half a million. I thought they were delusional and when I didn't see loads of people being shown around I said "ha - knew it". But then the sold sign went up, and it turns out I was wrong - sometimes sellers aren't crazy.

I'm so curious about this, just seems like so so many sharp valuation increases recently with no obvious reason, especially considering the pound is tumbling, we're on the verge of a recession, mortgages are being pulled etc

Haha very good question, I have an alert for 3 bed properties in my desired location.

My jaw has been on the floor regarding the prices that are coming into my inbox, hence this thread!

Can we just acknowledge that we have been infiltrated by these house price crash members? This is not a hot topic of conversation generally speaking in normal circles and yet day after day we are finding ourselves reading post after post arguing for one side or the other.

I've known quite a few mortgage valuations go the wrong way lately and buyers having to pull out and vendors having to remarket. Few are accepting their house is worth less than what they were told by the EA and are relisting at the same price.

I think lenders are trying to reign in the salivating estate agents

My parents sold their house in 2005 for 217

it cam back on the market last year for 450

nothing had changed…..at all.

they’d not even redecorated their daughters bedroom (I was in my 20s when I moved out and their daughter was around 8 when they bought the house)

not a lick of paint or a new tile anywhere.

I'm pretty sure this happened in 2008 sellers put their houses on big money and couldn't come to terms with that their house was worth less than the estate agent said. Many just sat for a long time.

We agreed a price a little under the asking price. Had an offer accepted on a house we really want and out buyer dropped out. Their mortgage was pulled or had to be at new rates.

We are going to become accidental landlords again.
Two families that came to view are moving because their landlord is selling up. To me that seems about the worst decision to make.

Every price that we hear is near the Estate Agents estimate.

I think this is more than acceptable though, for a house to double in value over ~20 years. I'm seeing properties almost "double in value" in the past two years...

@Jessiesthedog this is a hot topic for people who need to buy/sell, which many more people will need to once their fixed rates are up in spring.

Sorry to hear this, hope you find new buyers soon!

@CanStopWillStop ok then.

it’s just an amazing coincidence that we’ve had probably about 100% increase in these conversations just in the last 72 hours.

You don’t have to have done improvements to see a significant uplift over the pandemic period. You just have to have what buyers want now which is one or all of a garden/home office/further out than standard commuter belt.