A new report has suggested that home buyers are becoming increasingly unwilling to pay overly inflated asking prices.
The report comes after Quick Move Now’s own study into homeowners overvaluing their property. Our study found that homeowners overvalue their property by an average 6.8%, and it seems it’s putting potential buyers off.
The report has suggested that overly ambitious asking prices are standing out as poor value in a cooling property market. 75 percent of estate agents questioned said buyers are reluctant to even enquire about property they feel is over-priced.
When houses are overpriced, it makes buyers unwilling to pay
Danny Luke, managing director for Quick Move Now, commented:
Overly ambitious asking prices are nothing new, but in a thriving property market are a little more easily disguised.
In a market where growth is slowing, over-valued property sticks out like a sore thumb. Incorrectly pricing your property at the outset means you’re likely to miss out on the initial interest you can expect when your property first goes on the market.
If the price isn’t rectified quickly, you risk your property staying on the market longer than its competition. This can lead to potential buyers seeing your property as old, stagnant, undesirable stock.
Managing home owner pricing expectations is one of our biggest challenges as a business. It’s easy for homeowners to see overly ambitious asking prices and think that is what a property is worth.
To get a true idea of a property’s value it’s important to look at sold prices rather than asking prices. It’s also important to consider any other external factors affecting the market and seasonal highs and lows. In order to get an accurate valuation we carry out thorough research and get valuations from three independent estate agents.
If you’ve got a property to sell, it’s advisable to follow a similar strategy. Don’t just select the first or highest valuation. Luckily for homeowners, information about recent sold prices is easily available on property portals such as Rightmove and Zoopla.
This data will give you an idea of your property’s value, with independent estate agent valuations able to give a more accurate, property-specific expectation.
Got a property to sell fast?
If you’ve got a property to sell and would rather avoid the hassle of selling your property on the open market, Quick Move Now could buy your property in as little as 7 days, leaving you free to progress with your onward move, chain-free and hassle-free.
For more information about how Quick Move Now can help, call the friendly team today on: 0800 068 3366 or fill in the free, no-obligation estimate form.