Rightmove - asking prices falling

[Alexalee]

Can't believe fabuloussophie hasn't started a thread on this

www.dailymail.co.uk/money/mortgageshome/article-6077995/Asking-prices-slump-7k-month-Rightmove-data-shows.html

I feel like prices have gone up quite considerably over the last 6 months, I’m in the west of Scotland.

I think it's a very London issue

I've noticed a drop in prices in London and the South East, they were massively overpriced to begin with.

They have shot up where I had my first house. I'm guessing because of competition for affordable houses in commuting distance of a major city centre.

It seems to depend where you are. Here in Shropshire prices have raised considerably and continuously over the past 1yr. Most properties are selling within less than a month too.

Wiltshire they have risen considerably the past year, very fortunate for our sale but the purchase on the other hand 🙈 valued by the surveyor 50k under sale price. Let battle commence!

We've just gone on and had one offer and another 5 viewings booked. Depends on house size as to wether vendors are getting the asking price. Small houses selling well, 4/5 beds are having to reduce.

Wow jadette what are you doing about the 50k gap?

3-5 bedroom houses where I am are really struggling. So many on Rightmove day reduced under the price. I’ve particularly noticed it in the last few weeks.

Alexalee just trying not to freak out until we’ve spoken with estate agent and surveyors, we expected a discrepancy due to the area (refurbed house on an old council estate I believe) we have done our homework and we were happy with price compared to similar in the area plus how the area is developing, however, 50k is vast so something has to give, we are so close to exchange v disappointing!!

Jadette.. if you can find 3 similar sales in the past 6 months then send them to the surveyor... the selling estate agent should be able to help with that. Good luck

Thanks we’ll look in to it!! 🤞

Here in rural East Sussex, there are plenty of houses for sale at massively-inflated prices languishing on Rightmove for months (and sometimes years) on end.

A few make it to 'Sold STC', but fairly quickly become available again.

Some are reduced by negligible amounts, and when they still don't sell, they're listed with a new agent at the original price!

Sellers here clearly haven't got the memo.

Here in Birmingham the market seems very active.
We put our house on the market in March and it sold in just over a week with 5 offers, highest 20K over asking price.
I know that was in March and the market has changed a bit since then but I've kept on eye on the local market and similar houses to ours are still selling very quickly (would say they are first time buyer houses)
Some of the more expensive properties are maybe taking longer to shift, and I've seen some reductions but the good houses still seem to be going quickly.
I think there is still a lack of supply that's keeping the prices up, but Birmingham is also becoming increasingly popular I think for people to move to.

We’ve had to reduce ours from £320k to £285k since January. Nothing is selling round our area! We’re north east.

Worth mentioning this doesn't include subesquent reductions either, only applies to initial listing prices too so actual figures on an individual basis could be far more of a drop. My search radius today has two new listings and five reductions for example.

We have seen a lot of reductions in London and SE, however asking prices don’t seem to have any science to them as EAs will price one house with no correlation to another (a better house on the same street at 15k less?!)

We are looking to buy, anything in great condition sells very quickly, and everything else seems to hang around. Prices are hugely inflated anyway and I think some sellers just aren’t being realistic.

I don’t think you can say it is a London thing.

London has many areas and each area has its own microclimate.

Where we are house prices are reasonable and everything priced correctly and was put up for sale since May has completed and new people have moved in.

All apart from one house which has had the most unfortunate thing happened to it in the past year (Nothing can be done to improve the situation) and I don’t think will sell unless virtually given away.

Atm there is only one property for sale which went on last week for £5million

Friend (Home Counties) is looking to move after her divorce and panicking because there are no houses for sale. Even if she raised her budget it doesn’t add any houses into the search results.

Sorry dabbed post by mistake.

I can see houses that have gone up for sale at ludicrous prices have not sold in different areas but for the most part there is just a lack of housing stock.

Which is a self fulfilling prophecy. People are not putting their homes up for sale because they can’t see where they could live.

With interest rates rising and no one knowing what BREXIT will hold I think things will stay like this for at least the next 9-12months. If nothing much changes for people after BREXIT and people’s lives need to move on then you will get more people taking the plunge and selling and then housing will start moving again.
We were in this position in 1997. But we had to move for work.
It was pre internet so no rightmove we sold our house in 7 minutes and moved in 3 weeks into holiday cottage accommodation.

All the other people who were residing in the same holiday cottage “complex” were not there on holiday but in the same position as us. Sold and looking but estate agents didn’t have anything for sale.

People like my friend can’t do anything atm. She wants to move but is stuck in this cycle others must be in of wanting to move but in a years time she will need to move regardless and have to take the plunge and sell and hope she can find something or go into rented while she looks.

It is a strange time as otoh interest rates are rising and BREXIT is an unknown but otoh the lack of housing stock usually means housing is going to rise.

Oh for a crystal ball

In my area, the main problems are sellers expectations. Prices here are ludicrous.

There's houses sitting on the market for months that would have been snapped up in a day previously. Eventually they drop prices, but it's just an exercise to be refreshed rightmove again and appearing in the lower bracket to attract buyers they previously wouldn't have reached. When you speak to the estate agent you find it's actually 'offers over', they still want their original price and won't entertain lower offers.

I understand you'd want the maximum price for your house, but if they are not selling, some that did sell were down valued by the bank and if sellers don't get the price they want, they just remove the houses from the market completely.

Unrealistic sellers is the big problem in my area of south east london. People are still asking 20% more than they paid 2 years ago without doing any work. To be honest they would be lucky to get what they paid 2 years ago... don't seem to see the market has turned.
Until the reductions come at all levels I can't see anything moving... and either way brexit will have a huge impact. People lose jobs becoming forced sellers at the same time btl landlords are paying their newly increased tax bills and also becoming forced sellers.
We have given up trying to move for at least 12 months

I don’t think the market has turned rather it has stagnated

A lot of people don't seem to appreciate that the property market is changing continuously, and is not static. Areas where prices are increasing are gradually getting fewer, and areas where prices are falling are gradually getting more plentiful. Areas that are currently increasing may just be lagging behind areas that are falling. It looks like only a matter of time before the falling prices reach everywhere. The falls used to just be in central London, but they have now gradually spread out across southern England and beyond.

Cheap money fuelled the boom; continuing cheap money keeps it from crashing. Extremely low interest rates are the only thing “strange” about this time. People are pretty much tapped out now, except for those with monopoly money, whose main problem is being able to reach the next rung or downsize in style because they can’t find buyers with enough monopoly money themselves.

To those who can’t sell even though they priced “reasonably”: the market is still so inflated most places (yes, even the north, at least if you go by that old-fashioned notion of salary multiples) that we passed “reasonable” a while ago.

With laggardly wage rises and a limit to the number of new help-to-buy schemes that can be rolled out (unless we want the budget to be completely given over to making sure every last available pound is stuffed into housing), I’m continually surprised at the attitude of sellers who figure they’ll just wait it out and try again later, presumably at the same price for which there’s no demand now. What’s going to change?

They are certainly falling around here (outer SW London) but that is from the ludicrous heights they'd reached in 2016. A neighbour's house has been on the market for 2 years. Of course it's overpriced but they can't or won't reduce it to a level where it would probably sell.

In a non fashionable area of Sw17 I particularly watch, 2 bed maisonettes doubled in price between about 2010 and 2016. It was crazy. But prices of those have now come down, though not by enough. I'm sure the new tax rules for landlords are having an effect.

Some are having to sell because they can't make the sums add up any more - at least not without raising the rent to a level which nobody is going to,pay, . but at current prices they're no longer being bought up by landlords, and they're still beyond the reach of many first time buyers, hence many languishing on the market for a long time, and being reduced in little bits instead of being priced to sell in the first place.