Dingdongler

Had my house valued literally just before the down turn. I took this as its value at the very top of the market.

Had it valued again yesterday and guess what? 10% more than last time!

Now I distrust estate agents as much as the next man, but they are very long established around here and both times the agent who came around was mature and been in the game a long time, ie no greasy 21 year old.

It was a different agent this time, and they are trying to sell me a new house so there is that. However from the off I told her that I know the local market well and so I'll know if she over values it to egg me on.

And to be honest it tallies with the prices I've seen other local houses sell for in the last 6 months or so.

Even if its 10% too high that still means we are back to where we were at the very top of the market.

I know interest rates are low, but the economy is still teetering on the edge, so how have prices recovered so much so quickly? Or perhaps never really dropped?

Tidgy

try selling it at that price nad it wont sell, simple as.

GC8

We're still too full, so demand outstrips supply. Even though property is massively over-valued, people who are able to pay, still are doing.

If we could remove all of the country's new residents (and when the BtL house of cards crashes down, as well it should) prices would drop massively as supply exceeds demand.

GC8

We're still too full, so demand outstrips supply. Even though property is massively over-valued, people who are able to pay, still are doing.

If we could remove all of the country's new residents (and when the BtL house of cards crashes down, as well it should) prices would drop massively as supply exceeds demand.

Dingdongler

Not true Tidgy. All the houses around me that have come up for sale have gone for similar prices. Quite a few have been the subject of bidding wars, where they have actually sold for over the asking price.

Believe me I take no solace or pleasure in this, firstly it scares me and secondly as I'm looking to move upwards it hurts me more than it helps me

Terminator X

iTrader: (7)

Trouble is who's gonna buy a house today when we may have 5yrs+ of pain ahead of us

TX.

pslewis

If you are part exchanging for a new house then the figure will appear very good (as the new house will be a silly high price).

It's the same as car buying ......

P1Fanatic

When exactly did you get it valued the last time?

Petem95

Sales volumes are much lower than 'normal', so it would suggest a lot of sales are people who already own a property moving.

FTB's are at very low levels because it's very hard to borrow the required sums to buy, and many would say very risky due to the state of the economy, interest rates only really going to rise, and significant public sector job cuts on the horizon.

Supply and demand does not mean prices will remain high - just look at Japan.

FlightMan

Simple. House prices will never one down again. Interest rates will never go up.

Happy days.

Dingdongler

No not a new house and not part exchanging. I'd never buy a new house, I like period properties

speedymonkey

Having been saving a deposit for the last year with my girlfriend, i have always kept an eye on these sorts of threads, as the arguments seem to help educate someone like me (who knows bugger all about how the market is affected and what drives prices up and down!)

What i do know is that for the last year i have had my eye on 5 different houses, all of which have been slightly reduced within that time (approx 5%) and all have sold within the last 6/8 weeks

Like i say, I'm no expert, but it seems like houses round my way are starting to sell again (Manchester -didsbury/withington/gatley)

Dingdongler

Can't give you the exact date, it was in about mid 2007 and very soon afterwards prices started to fall and I remember thinking that valuation would therefore represent the value of my house at the very peak

njkmrs

I dont think prices actually fell as much as people thought to be honest ,probably 10- 15 % in most cases .Persimmons stated the other day that they are now selling plenty of houses again and at 11% more than they were selling for last year ,hence your property is probably where it was at your valuation last year .!!!! Simples !!!!!

Supply and demand you see, as I have said many many times .

GlesgaKiss

Could there be more inflation going on than first thought?

Dingdongler

That's what springs to my mind as well, I wanted to see if anybody else thought the same

billythekid

I agree, quite a few houses have sold on our estate in the last 3 months - but it is the right time of year. Also, they have sold for quite a bit less than the asking price. We paid £187k for ours 5 years ago (new build) and a guy round the corner with the same house put his up for £165k and let it go for £150k.. ouch! Thats a 4 bed house for 150k! We sold our tiny 2 bed flat in Fallowfield for that 5 years ago! Scary stuff!

We missed out on a repo, there was a nice house on the estate that was a repo. It was £315k new 5 years ago, came on the market at £250k... by the time we saw it and rang the estate agents it had already sold.

jaytc2003

iTrader: (1)

what you have to remember is some agents will under price the houses for a quick sale as they earn their money on sales not value.
A few years back when prices really dropped 1 agent valued our first house at £85k, we ended up geting £105k for it in px for a new house. It was then sold for £110k literally within a month of us selling. (this was 2007 as well)