Housing Market Bungalow Sale: Price Drop or Wait? (1 Viewer)

[whiskyman]

Opinions on where you see the housing market and prices in 6 months time would be appreciated to help me decide our best course of action.

We are committed to buy a bungalow and should complete by the end of June, the problem is our buyer pulled out of buying ours very early on and we are not attracting any interst at the moment.
To keep our present home caries a cost of £1500.00 a month.
Do I drop the price now or perhaps leave it as is in the hope the market takes off and ours then looks attractive to the buyers out there?


Looking forward to the helpfully advice and opinions of the colletive.

Cheers Colin

 

[Happy Jim]

If you’re not attracting interest then a drop in price is the sensible option.

 

[The Wino]

I'd ask the agent. They want to acheive a sale and are presumably on a percentage so want the best price too they should know the local market better than anyone on here.
The agent should be able to advise on the likelihood of a price drop encouraging an earlier sale it could be worth it or it might take just as long to sell but return less. I certainly wouldn't let any buyer know that you're in a position where you want an urgent sale!

 

[PhilMary]

If it's not selling it's overpriced. This applies to sales.

 

[DavidG58]

Can you rent it out for £1500 or more? If so keep it and buy bungalow

Housing market round here is still really strong

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[Riverbankannie]

Houses in our immediate area all built rough the same. Those on sale for a reasonable price have sold immediately those for about 100k more hanging around and one for 200k more been on sale for a year even though on an extra wide plot. Prices have definitely dropped a little.

 

[PeterCarole29]

Bungalows are normally in demand and hold a premium if you feel inclined feel free to pm the Rightmove details and I’ll happily give you a constructive feedback on it maybe you are missing something

 

[Steve and Denise]

We have just recently got one of our rentals back and our plan is to sell them off as they become empty (due to our age) this particular one went on the market 3 weeks ago at a sensible price but as yet no viewings, we know the housing market well and yes it has definitely slowed down for the time being.
We could definitely re-rent but want to get out of the rental market.

 

[Guigsy]

So the question is, do you think it might have increased in value by at least £9k in 6 months time?

We'll probably be around an election about that time. Generally people don't move when there's uncertainty.

 

[dash300]

We have just recently got one of our rentals back and our plan is to sell them off as they become empty (due to our age) this particular one went on the market 3 weeks ago at a sensible price but as yet no viewings, we know the housing market well and yes it has definitely slowed down for the time being.
We could definitely re-rent but want to get out of the rental market.

Ditto. Sold all mine bar one which is going on the market. Labour will hammer us even more than the current lot did with reducing CGT threshold! Definitely time to shed rentals.

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[The Wino]

So the question is, do you think it might have increased in value by at least £9k in 6 months time?

We'll probably be around an election about that time. Generally people don't move when there's uncertainty.

Not quite because that asssumes that reducing it by 9k now would result in an immediate sale. The question is how much would a reduction need to be to hasten a sale and what would it reduce the selling time by. Probably there is no definite snswer but the agent should have a sense of what's likely to happen if they're any good

 

[Steve and Denise]

Opinions on where you see the housing market and prices in 6 months time would be appreciated to help me decide our best course of action.

We are committed to buy a bungalow and should complete by the end of June, the problem is our buyer pulled out of buying ours very early on and we are not attracting any interst at the moment.
To keep our present home caries a cost of £1500.00 a month.
Do I drop the price now or perhaps leave it as is in the hope the market takes off and ours then looks attractive to the buyers out there?


Looking forward to the helpfully advice and opinions of the colletive.

Cheers Colin

What you will have to take into account @ £1500 a month it won’t take long to be in double figures, only you know your financial situation, it may be worth reducing it by 12 months £18,000 might just move it on and depending on the cost of your new place consider stamp duty on second home.

 

[Coastal Cruiser.]

Sold all my rentals a few years back as can see the government shafting landlords more and more!! Just sold my Mums bungalow for the third time, other 2 they lost their buyers so hopefully this will go through.
Been averaging 1-2 viewings a month and have got full asking as I priced it sensible, plenty of overpriced ones on the market..
Have sold 5 properties in the last few years and they have all been spotless and decorated neutral so as they are ready to move into….

 

[vkr15s]

Property values can be a bit of a lottery. If your property is similar to others in the same area have you checked values of sold properties or those on the market.
Many years ago I sold my property within a week and was well impressed by the agent 27500 3 bed semi. Sale went through quickly and four months later my immediate neighbour sold the identical for 32500. Both houses were 18 months old when I sold.
Many properties later I always get three valuations and do my homework.
But at the end of the day a property is only worth what someone is prepared to pay.
Although if it had sold once and the sale had fallen through no problem with the property I would think it should sell again

 

[kimndon]

We have just accepted an offer on our bungalow at full asking price within 10 days of going on Rightmove. Very disappointed with estate agents initial valuation of £250k. I knew our bungalow was in perfect condition to sell. Nothing else as good locally. Agreed to market it at £280k and to reduce if little interest. If we had gone with the so called expert valuation we would be out £30k.
I always feel you price something high to bring it down.

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[Stoosal]

It’s usual for the property market to get busier at this time of year. I might leave it another couple of months and then reconsider options.

 

[Lenny HB]

Hard one to call, now that Easter has gone the market normally picks so worth giving it another month at least.
Down here the bottom end of the market around £300k - £350k often sell within days.

 

[pampam]

Ours was valued and put up for sale two years ago we didnt get any offers and decided to stay ,then circumstances changed and last september we decided to put it on market , but id been keeping a close eye on rightmove and knew the value of our house , prices had come down ,and our original valuation i thought was inflated, so we reduced by £65,000 from previous years price ,and sold within a month,ive watched others of a similar ilk but higher price,stay unsold until reduced, i suppose it depends how much you want to move and what you can afford to reduce,im happy we did what we did and didnt have to stay and keep reducing price,its a hard choice,good luck

 

[Dutch 68]

In Cheltenham it’s definitely picking up, prices are up and property selling fast if priced right, and of course it depends , is it decluttered , fresh looking, neighbours presentable ?

 

[Nonna]

A lot depends on your local market. It differs area to area & even town to town

I sold my house in October at asking price to a couple who wanted to put in an offer, unseen, on the day it went on the market but I already had 4 other viewings booked which I felt I should honour. They viewed & offered 4 days later

Your agent is the one to advise as they should know exactly what is happening in your area.

It's easy now to see how long a property has been up for sale & details of any reductions made. A long period on the market can make buyers believe it is a) overpriced or b)'has some problem which is putting people off

If you go for the rental option (personally I wouldn't) be very thorough with tenant checks as you could quickly find £1500 gone in rectifying damage/repairs - particularly if the no fault evictions are stopped

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[Nonna]

Oh & check the cost of landlord insurance!

 

[Jo May]

Bungalows are normally in demand and hold a premium if you feel inclined feel free to pm the Rightmove details and I’ll happily give you a constructive feedback on it maybe you are missing something

Not selling the bungalow though as I read it??

 

[whiskyman]

Bungalows are normally in demand and hold a premium if you feel inclined feel free to pm the Rightmove details and I’ll happily give you a constructive feedback on it maybe you are missing something

Thats very good of you, I gave the offer a little thought and decided that I would open It up to all, you never know I might just get the golden nugget of advice that I may be missing.

Just a bit of info' first.
I am buying the other bungalow (down sizing) with vacant possession on completion (empty now) for the location and price.

I have had three properties rented out for 18 years (pension) all sold 2021.
Bought and sold at auction several times over the years for ourselves and to flip them.

I am ok holding on to ours for a while but the wino's musings are spot on:
"Not quite because that assumes that reducing it by 9k now would result in an immediate sale. The question is how much would a reduction need to be to hasten a sale and what would it reduce the selling time by"
Anyone got the mathematical equation for this


If all else fails I can always put it in the auction, estimate from them is £325.000 I would be disappointed at that but It Is a safety net if needed.

Link to particulars

Check out this 2 bedroom detached bungalow for sale on Rightmove

2 bedroom detached bungalow for sale in Derby Road, Chellaston, DE73 for £395,000. Marketed by Hannells Estate Agents, Chellaston

www.rightmove.co.uk

Please be gentle with us as we do love what we have created here and would stay if circumstances were different.

Again thanks' for the posts, very interesting so far.

 

[whiskyman]

A lot depends on your local market. It differs area to area & even town to town

I sold my house in October at asking price to a couple who wanted to put in an offer, unseen, on the day it went on the market but I already had 4 other viewings booked which I felt I should honour. They viewed & offered 4 days later

Your agent is the one to advise as they should know exactly what is happening in your area.

It's easy now to see how long a property has been up for sale & details of any reductions made. A long period on the market can make buyers believe it is a) overpriced or b)'has some problem which is putting people off

If you go for the rental option (personally I wouldn't) be very thorough with tenant checks as you could quickly find £1500 gone in rectifying damage/repairs - particularly if the no fault evictions are stopped

Definitely not going to be a landlord again

 

[vkr15s]

Thats very good of you, I gave the offer a little thought and decided that I would open It up to all, you never know I might just get the golden nugget of advice that I may be missing.

Just a bit of info' first.
I am buying the other bungalow (down sizing) with vacant possession on completion (empty now) for the location and price.

I have had three properties rented out for 18 years (pension) all sold 2021.
Bought and sold at auction several times over the years for ourselves and to flip them.

I am ok holding on to ours for a while but the wino's musings are spot on:
"Not quite because that assumes that reducing it by 9k now would result in an immediate sale. The question is how much would a reduction need to be to hasten a sale and what would it reduce the selling time by"
Anyone got the mathematical equation for this


If all else fails I can always put it in the auction, estimate from them is £325.000 I would be disappointed at that but It Is a safety net if needed.

Link to particulars

Check out this 2 bedroom detached bungalow for sale on Rightmove

2 bedroom detached bungalow for sale in Derby Road, Chellaston, DE73 for £395,000. Marketed by Hannells Estate Agents, Chellaston

www.rightmove.co.uk

Please be gentle with us as we do love what we have created here and would stay if circumstances were different.

Again thanks' for the posts, very interesting so far.

Looks very saleable to me and if the auctioneers are talking 325 I would think your asking price is reasonable.
I too have previously sold through auction, I had a rental portfolio of 9 units and in my mind they were worth around 1.4 million auctioneers valued around 1.25 achieved 1.35 money in bank 28 days later. Well pleased .

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[Coastal Cruiser.]

I too have previously sold through auction,

Do you not have to pay fees on that though?

 

[whiskyman]

Do you not have to pay fees on that though?

Last one we sold at auction all fees inc' our solicitors paid by the buyer, quite normal now.

 

[vkr15s]

Do you not have to pay fees on that though?

Yes I agreed 1% fee with the auctioneers,but the legal pack included a 1000 per lot to be paid by the buyers for legal fees.

 

[lorger]

Your house is lovely but for that money up here I’d be expecting minimum of 4 bedrooms, I hope it sells as I’m sure where you are it’s worth the money. The housing market really has gone crazy, I thought houses here in Dumfries were going crazy. A brand new 4 bed detached with double garage are coming in around £300k and I thought that was expensive. We just downsized to a two bed bungalow in a lovely small estate and it was around half yours.

Good luck

 

[St3v3]

I'd ask the agent. They want to acheive a sale and are presumably on a percentage so want the best price too ...

The agent gets their commission no matter how long it takes to sell so whilst they have some useful input they may have their own interests.

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