Selling a house. Price tips needed!

Emp_Fab · August 2017

I've finally got my late mum's house up for sale. The estate agent suggested we list it for £200K. It's had two viewings and one firm offer... of 175. It needs a fair bit of modernising but similar houses in the area that are in better nick are going for between 220 and 235.

No way am I taking 175. That was probably a builder chancing his arm for a quick profit as a doer-upper.

So, who has sold houses ? If the agent reckons it's worth 200 why is she now ringing me asking what my lowest price would be?

Has anyone got any tips on how to decide on what offer to accept? As you can tell, I've not done this before!

mellowsun · August 2017

Depends on how keen you are on a quick sale. Evidence is mounting that the market is slowing down as buyers stay away for all sorts of reasons (falling real incomes, Brexit, political uncertainty, nuclear war imminent, take your pick!).

'A fair bit of modernising' could easily add up to 30-40k of work. So maybe 175K is not unreasonable.

Maybe counter with 'I'll take 190/185' and settle for 185/180?

Iamnobody · August 2017

The agent wants it sold. They get pretty much the same commission regardless of the sale price when you are talking about those figures.

If if you have time leave it on the market and stick out for your £200k or at least hold the decision off until you get a few more viewings.

I've sold two houses and never accepted the first and (usually the lowest offer).

Then again I don't know what the market is like there? Do houses usually sell in weeks or months? If it's months I'd be seriously considering the £175k offer.

Does the agent have more viewings lined up for this weekend?

Iamnobody · August 2017

What modernising does it need by the way?

Just basic new glazing, doors and a kitchen and bathroom could set the new owner back well over £20k...

Emp_Fab · August 2017

Well, I had three valuations done. One reckoned it was worth about 180 but that we should put it on for 175 (?!). I think she had some kind of bidding war scenario in her head!

The next one reckoned on 200 but said we should seriously consider offers above 185. The one we've employed said to put it on for 200 and see what offers come in.

It's only been on the market one day so far, so I would prefer to see a few more offers before I can pitch it's real worth. Trouble is, if you turn down an offer because you want more data coming in, you might not get another one at that price! Though that's the same with everything you put up for sale I suppose.

boogieman · August 2017

Work out what's the lowest offer you will accept and then stick to it. The agent doesn't really give a shit what it sells for, they just want a sale. Think about it: everyone goes in with a lowball offer at first, knowing that it'll probably get rejected, but are actually prepared to go a bit higher.

Emp_Fab · August 2017

Iamnobody said:

What modernising does it need by the way?

Just basic new glazing, doors and a kitchen and bathroom could set the new owner back well over £20k...

Carpets in at least three rooms, the garage is derelict and needs to come down and be rebuilt, kitchen needs new flooring, a bit of tiling, back garden wall needs rebuilding. All the doors and windows are good. Redecorate in at least three rooms. Other than that, it's good. Structurally solid, new roof, new central heating, modern wiring. Just needs tidying up visually.

The valuations have taken all this into account though, hence the price being 20-30K lower than similar properties in the area.

TTony · August 2017

Would you take 160?

guitarfishbay · August 2017

Did you stage it and make it look as nice as possible?

People are probably going to change it regardless of what you do, but making it look nice and like you could move right in and deal with things in time, rather than feeling they need to fix things before they enter, can help with getting a good price.

We're (extremely slowly) going through the same thing with my g/f's mum's house. Parts of it had been redecorated and parts of it were looking a bit tired... she decided to spend a small amount (relative to the hoped gains) on getting the less good parts tidied up.

She got two evaluations - one guy said yeah it'll sell fine as it is for X, the other guy suggested tidying it up would be beneficial for the sale price by up to £10k (with a similar price projection).

I don't know if you've ever read the book Freakonomics, there's a section on realters that puts it nicely into perspective about why they'd be happy to tell you to sell for less... it's your call at the end of the day. https://www.nachi.org/forum/f11/exerpt-freakonomics-book-regarding-real-estate-agents-57929/

boogieman · August 2017

TTony said:

Would you take 160?

I reckon he would, but you'd have to arrange collection.

Iamnobody · August 2017

Emp_Fab said:

Iamnobody said:

What modernising does it need by the way?

Just basic new glazing, doors and a kitchen and bathroom could set the new owner back well over £20k...

Carpets in at least three rooms, the garage is derelict and needs to come down and be rebuilt, kitchen needs new flooring, a bit of tiling, back garden wall needs rebuilding. All the doors and windows are good. Redecorate in at least three rooms. Other than that, it's good. Structurally solid, new roof, new central heating, modern wiring. Just needs tidying up visually.

The valuations have taken all this into account though, hence the price being 20-30K lower than similar properties in the area.

That doesn't sound like a lot. Most people would probably want to redecorate to taste and put new carpets in anyway.

The garage might put out some people off - if it's an asbestos roof you might be talking £500-£1k just to remove it from site.

A new prefab garage and site clearance would be £5-10k I reckon.

If you wanted to squeeze every penny out the sale you would have been better getting the work done first.

£2k on decorating and carpets + £10k garage and £1k for a builder to do the wall. + 5 years for you to put down new laminate in the kitchen...

CabbageCat · August 2017

It depends on how happy you are to hold onto it. If it's a terrible drain and you need it to be gone then take the first offer you get. If you are happy to hold onto it for years or aren't sure you want to sell then put a big price on it on the off chance that someone is desperate to buy in the area or falls in love with it.

A property is only worth what someone is willing to pay for it. If no-one wants it at £200k then it's not worth £200k.

HAL9000 · August 2017

Don't feel that you have to take the first offer. There will be others. If the estate agent is taking 1%, then £30,000 under the asking price is only a £300 loss for them, plus they get their money sooner so it's in the agent's interest to get a quick sale. It's a £29,700 loss for you!

I'm also in the process of selling my mum's house. Admittedly it's in leafy Surrey where prices are on the steep side, but the difference between the (cheeky) first offer and the offer that I've accepted is over £40k. That buys a lot of beer/guitars/Porsche or whatever. It might as well be in my pocket.

TTony · August 2017

boogieman said:

TTony said:

Would you take 160?

I reckon he would, but you'd have to arrange collection.

Isn't it annoying when someone doesn't put all the details in the ad? I'd assumed that he'd ship it.

chillidoggy · August 2017

TTony said:

boogieman said:

TTony said:

Would you take 160?

I reckon he would, but you'd have to arrange collection.

Isn't it annoying when someone doesn't put all the details in the ad? I'd assumed that he'd ship it.

And we've no idea how much it weighs, either.

ronnyb · August 2017

Spruce it up and rent it out? If you stick the money in the bank after you've sold it the interest is pathetic.

boogieman · August 2017

chillidoggy said:

TTony said:

boogieman said:

TTony said:

Would you take 160?

I reckon he would, but you'd have to arrange collection.

Isn't it annoying when someone doesn't put all the details in the ad? I'd assumed that he'd ship it.

And we've no idea how much it weighs, either.

It'll be one of the weight relieved ones, with nothing inside it.

chillidoggy · August 2017

TBH, the estate agent will be working on turnover rather than hanging it out for the last quid, and if you have a lowest figure in mind, don't forget all the other fees charged by the leeches and hangers on in the industry.

Someone already said this, but counter-offer is a good move. My mate got offered £10K less than his £300K asking price for his house, and should have suggested splitting the difference instead he rejected it outright, and then never had a better offer. He ended up selling for less than £280K. Twat.

ESBlonde · August 2017

Tell the Agent you're thinking of putting up the price £15k on reflection, but would accept the asking price of anyone thats viewed already. Make them work for thier fees.

Fretwired · August 2017

How many similar houses are for sale in the area? What are they on the market for? I'd leave it for a month, as people are on holiday, and see what happens next month. Stick with £200K for now and let people make offers.

Almach · August 2017

Dibs on the windows if he decides to part it out !

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Selling a house. Price tips needed!

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