We dropped our house price by 105k in first week - yikes!

[PhyllisDietrichson]

We put our house on the market for a specific house we really want earlier this week. And we priced it at the in-between price suggested by two EAs.

We can see house prices in our part of SW London are going a bit mental. There are 37 similar4 bed houses like ours on the market right now - probably a bit of a glut, buyers are spoilt for choice. In the' popular' roads, there's some 4 bedders on at 1.35m (clearly over-priced) others in the same roads are priced nearer 1m and even £995 (probably under-priced or mores-to-the-point, correctly priced for falling market).

We went on nearer the top end on Tuesday. In a buoyant market we'd have viewings lined up for the first weekend. Houses in our road usually go within a couple of weeks, but we did not have a nibble, not 1 enquiry for this first weekend. The EA contacted their clients looking at 4 bedders and they did not want to see the house - bit of a blow tbh. We've had good feedback from the EA and friends about how the house is presented and our last house sold in a week, so it had to be the price. We decided to immediately bite the bullet and to quickly re-list it just 5 days later at just under the lowest price suggested by the EA. It feels like we're now in the realistic ball-park for a rapidly falling London market, but it's very scary to do that when we can see so much over-priced competition still out there, (sat there!). The house we want is also very over-priced, but we're hoping that we'll sell quickly, whist other house prices will fall including the house we want. That's the theory

It all feels very risky indeed. Have any of you ever had experiences of this?

Exactly, Merton. My little part of 'cheap' London.

Lucky you Lego! A little oasis.

If you're not getting viewings it's price at issue, I'm afraid.

It worries me when people claim their area is immune from house price drops because it's all FTB can afford. We were looking to buy in Croydon, one of the last affordable London areas on the budget we had. Prices started coming down in our preferred area of SW17. As more expensive areas become more affordable cheaper areas will start to look over priced & will have to reduce in turn.

Did l say immune Kamma

I've read your replies on other threads SW16 is not the same area of SW17, there hasnt been the drops you're banging on about in my area. You still probably definitely overpaid in SW17 but you seem happy enough delighted with the 'discount' you got so good for you.

Let's hear your 10p worth in 12 months eh.

@Lego your hostility & defensiveness suggests you're a little worried. Also bits of SW16 are dropping hard. I Don't take pleasure in house prices dropping or rising. I am delighted at the price we got our house for as it was a lot less than we had banked on. Also bought anticipating large drops & negative equity. Won't start to worry until our fixed term is up though so I'll get back to you in 5 years.

Nope wrong again Kamma. I've got nothing to be defensive of, but you popping up telling everyone on these threads how much you negotiated hard in SW17 makes me laugh. Be honest and tells us what you paid??

Update

Now the EA wants us to drop our price again in less than a month of being on the market. That would take us to 200k less than any agents LOWEST predicted price. We're getting some viewings but not many and feedback's good re decor garden etc. the EA reports that it's the price that is the sticking point even now.

Are all 3 agents' asking prices so out of whack? If we drop so massively again, we'll sit oddly in the market, yes we may get some offers but we will not be able to downsize to the house we wanted. EA says the house we want to downsize to is on for way too much. Interestingly it's on with the SAME agent who predicted their price too - lol's, but really Grr Grrrrr Grrrrrrrrr!

If it helps you're not alone. A flat I offered on last year has dropped in asking from 675 to 525 now so a 150 drop

Wow Plural that's harsh!