The Property Sales People

This week I heard about yet another professional suggesting to clients that buying a property now was a daft decision. He's entitled to his opinion but what worries me is that the only way any of us are able to look at the market is through the 'rear view mirror'. We can now accurately pinpoint the start of the current market problems as October of 2007 and the previous market 'blip' as August 1988. What we can't do is accurately forecast the bottom of the market and the beginning of the recovery – until we've already passed by it. My belief is that we are nearer the bottom of things than a lot of so-called experts predict. The 'media' is reporting prices falling back about 15% from the peak of the market. Any truthful agent will confirm that property is being sold at 25 -30% less now, which is about the level that prices have fallen by in previous market downturns (1988-1993). So, when prices start to go the other way they will do so rapidly. It is ...

  Extracted from the BBC web site reporting on today's reduction in Base Rate to 2%   'I am dead keen to buy a flat or house. This is all good news, surely? The interest rate on your prospective mortgage will probably be lower. But, frankly, paying your monthly repayments will not be your big problem, so long as you keep your job. The main way in which mortgages are being rationed is by lenders demanding large deposits. Most mortgage deals now require 15%, 20% or even 25% as a down payment. And the best deals require deposits of 40%. There is a good reason for this, by the way. House prices are still falling fast and some experts think they could fall another 20% this coming year. How happy will you be if our home has lost a fifth of its value in 12 months' time? Think before you buy. '   What I'd really like to know is who are the 'experts' and how do they calculate the 20%? Quoting it virtually makes it a self-fulfilling prophecy. Well this 'ex...

The Bank of England today announced 1.5% off base rate down to 3% and that's the lowest since before I was born in 1957!! I have never seen a graph of base rates that looks like this and I only hope that the High Street banks and Building Societies now feel able to pass on some of this cut, but it will depend on the rates at which they lend money to each other. Thinking out loud maybe people should think about investing in property now that borrowing is getting cheaper and houses are all such good value! Follow this link to see Hometracks latest stats http://www.hometrack.co.uk/commentary_survey_271008.aspx

In line with my philosophy of not being negative (realistic but not negative!) I have good news to report on the month of October 2008. We sold more homes in October 2008 than we did in October 2007. Now I don’t suppose that will make headlines in the national papers or the BBC but it is an encouraging sign and I think has been brought about by a number of factors: · Sellers becoming realistic about asking / selling prices. · Persistent, but not harassing, sales techniques. · First time buyers being encouraged to buy by attainable lower prices. · A mortgage service from Independent Financial Advisers, Bright Mortgage Advice that’s second to none. If anyone reading this would like to benefit from our approach to selling homes then please call us or call in at Market Place – we’d love to help you move!

Someone said the other day that they hadn't had anything new to read on my blog for a while. After I told them they should get out more I realised that I was just building up a head of steam!   This week has been exasperating. For estate agents all over the UK that is probably an understatement and I think even my favourites in Government might have something stronger to say about the way the country's lenders have responded to being bailed out by the tax payer i.e. you and me.   To step away from the 'Big Picture' for a moment my exasperation has been caused by so called fellow professionals at a local level.   We have sold a development of high specification 2 bedroom apartments in a very central location, all bar two plots. Our client told us to get them sold and I found a first time buyer prepared to pay £120,000. This offer was duly accepted on a property where similar apartments had sold between £184,950 and £190,000 in the last 9 months. I make that a reduction ...

Do we need to say more? Only Ely agent with a satisfaction score! (8.8/10) Printed from OEA website 8 September 2008

Today has made me certain, if it was ever in doubt, that there are only two 'professions' worse than estate agents. Media journalists and politicians.   That fumbling idiot today announced with great fanfare the abolition of Stamp Duty for 12 months up to the sum of £175,000. Just a few first time buyers may save themselves a few pounds but I suggest that in the main it's more of this government's 'Spin' – something it really does know how to do well.   By refusing to make a proper comment earlier in the summer he probably cost the jobs of thousands of people employed not just in the property industry but all those trades and manufacturers that follow on its train. A stalled property market was given another reason for buyers to wait and see what the great announcement would be.   So now we have the announcement only to find that hardly anyone in the UK will benefit so the delayed purchases, caused by the inept leak and fumbled comment, were all for next to not...