AIBU to wonder why our fairly priced new-build house is not selling?

[Housesellinghelp]

We have a 5 year old ‘new build’ is a very mumsnet ‘naice’ area in the catchment area for some of the best state schools in the UK. A big 4 bed with four bathrooms, decorated very neutral and fairly high end - it’s definitely a nicer than usual new build. Garden isn’t overlooked, triple driveway, neighbours are staggered so not cramped. Three large doubles and a single bedroom (that could get in a double at a push).

We had our house valued by 3 separate agents. All valued the house between £675-£700k. We listed at £675 as we’d like a fairly fast sale. That was 8 weeks ago. 4 weeks ago we reduced to £649k as we’d had 8 viewings and no offers, and we’ve since had a further 2 viewings but that’s it.

I’ve looked at houses for sale in the area and also houses that have recently sold. We aren’t priced above what seems average. We had our house for sale a couple of years ago very briefly and received an offer for £690k but we changed our minds and pulled out of the sale.

The estate agents have no feedback for us either. They say nobody looks around and criticises anything. The only after viewing feedback we’ve had is that a couple of viewers wanted something a bit bigger/a 5 bed.

Any ideas as to why the house isn’t selling?!

Yes it was new builds only , FTB could borrow up to 20% of the purchase price
When stamp duty was paused the market went wild.
They couldnt get them up fast enough and many people bought off the plan and watched their house being built.
Imho quantity over quality

The issue
H2B plus zero stamp duty got many people on the ladder but it was a bit kick the can down the road .This created demand for new builds and the market went crazy
Imho it meant NB house prices were vastly inflated

House prices have dropped from the 2022 peak.
After 5 years the H2B loan starts to accrue interest.
You can either pay it off or its repaid when you sell.
This is the issue
If you are looking to move up the ladder you cant as you have lost the NB premium plus you have to pay back 20% of your sold price to H2B if you took out a loan

Total trap

I should add that I think this is just one issue currently affecting the market, particularly the 4/5 bed newish builds.
2/3 bed H2B owners cant afford to move up,CoL, interest rates, job insecurity, ME war

Anecdotal evidence here - affluent part of the south west - two professional couples I know in their mid to late thirties have both put their plans on hold to upscale from their three bed semi-s to a four bedroom detached because of the present uncertainty regarding mortgage interest rates and the geopolitical uncertainty.

My personal opinion is that all bets are off with the housing market at present. I live in a supposedly desirable village where there are two excellent four bedroom properties on the market - older than yours with excellent size gardens - both excellently upgraded and maintained - both been on since January with absolutely no interest. Ironically for much less than yours, but of course that's down to the area - both £500k. No other house going right down to about £250k has sold either. Usually our village is very popular.

How desperate are you? I would re-think your plans - as someone suggested up-thread maybe use the playroom as a bedroom instead?

Your house will probably only appeal to aspirational fairly young people - and again they're all being held back by the present uncertainty of the job market due to AI and the aforementioned mortgage interest rates. And as many have said, if they do buy, they will want a brand new house with all the safeguards that gives them.

So I see your strategy as either - massively reduce your price to make it more competitive with the new builds in your area, or withdraw for the present and see how things develop in the near future.

As I said previously — it’s not a good time to be selling

We are probably the same income bracket as you and honestly I wouldn't even buy a new pan set in John Lewis the other day as I'm so concerned about the economy for the next six months so I can't imagine anyone wanting to buy a house!

Do you have to pay maintenance/ground rent? How much is that on top of a mortgage?

Yabu to not post the house. Anyone can say 'why isn't my house selling' and how can anyone make an informed choice about why your house isn't selling without seeing it!!

This. They’re only asking so they can attack the decor and tell you to buy cushions, throws & pot plants.

Some people might make nasty comments, @Aluna - but others might offer constructive advice. We are not all the same.

If there’s a link people can comment on layout, advert, photos, similar properties in area. Yes some people will pick apart trivial decor things but I’ve seen genuinely useful comments on similar threads eg there was one where boundary wasn’t clear at all, so op got that useful feedback.

Do you think people at the time thought the house would shoot up so much in value that they could cover all this easily and still be in profit?

Have you’ greiged’ it? So many dire grey houses out there

It really wont be helpful hints about layout and decor that will sell OPs home, it really wont

From her description, she has 4 ok sized rooms, a big downstairs, a garage, nice decor, a landscaped garden, nice area

It is simply price.

Quibbling over moving a sofa round or taking a picture from a different angle really wont make any difference at all

What safeguards do you get by buying a new-build, it seems to me it is a big financial mistake and there are endless stories about poor workmanship?

Exactly, but it is also demand, if new build sales can fall 60% there obviously isn"t enough demand, too many units have already been built.

Warantees I think, but often there are complaints that developers are slow to respond, dont follow through with legal obligations etc

You'd think that house prices would have plummeted if we literally are building too many homes (Im not convinced we are building too many homes but this seems to imply we are)

If sellers don"t drop price the prices can"t plummet, there is a slow down-drift from "down-valuations" but even then a lot of sellers won"t accept it and cling to the belief that the next buyer (if there is one) will get the "right" valuation, people are totally brainwashed about house prices in the UK now. Everyone viewing a house to buy or rent already lives somewhere so there are definitely enough units.

NHBC ten year warranty and builders correct any snagging issues. My daughter and her husband bought their house through Linden Homes and they were excellent. But I think it depends on the site manager, to be fair.

I think the market was so hot and zero Stamp duty, they didnt want to miss out and just put it on the deal with later pile.

With interest rates on the mortgage at sub 2% I dont think anyone anticipated the jump that followed .
It all looked affordable
My DS was about to buy but has put it off for now
I think there will be a gentle slide to around -30% , I agree @KeepPumping people are deluded

With the fact that the housing market is likely to crash people are only moving if they actually have to as no one wants negative equity.

I haven’t found this to be the case, many buyers are hundreds of thousands away from negative equity.

OP said that it is a very "young family" area. It seems that not many in this demographic could afford a 650k house!

Fair enough, probably does vary from site to site actually because not everyone is unhappy obviously.

In this area, you would have no choice but to spend this sort of money on a family home. It’s an expensive area. We’re looking for a 5 bed and anything detached, 5 bed and ‘nice’ is £850k+.