BUYERS are now “back in the driving seat” and can expect lower bids to secure the house of their dreams, a property expert has said.
Jonathan Rolande said the current situation within the market favours those searching for a place to buy.
His comments come days after it emerged Simon Cowell had accepted £30m under the asking price of his London home.
Although the X Factor star is believed to have sold the house due to security issues, Mr Rolande said the staggering case does also underline a wider trend in the market.
“Buyers have the X Factor right now,” he said. “They hold all the aces. I’m regularly asked when – if ever – is the right time to accept a lower offer.
“My advice is to consider everything up and if a property is a weight around your neck, now is the time to chop the price and get rid. Money can be earnt again but we never get our time back. If your life is on hold because you can’t sell, it might be time for you to get ruthless with the price.”
On the factors to take into account when deciding on whether to reduce the price you accept for a property, Jonathan continued: “There are two main things to consider when trying to decide whether to drop the price of a property to get it sold, or hold in the hope of getting more later.
“The first is the market and your views on it. Ask, what is the national picture and try to decide how that is reflected locally? Sometimes certain areas can weather better, or worse compared to the national picture. Does it look like the ingredients are in place to see a change in prices?
“Also take into account supply and demand, interest rates, the buy-to-let market, second home purchasers as well as local buyer demand. Right now it is hard to find much good news about the market but that was also the case immediately after the Brexit vote and during the pandemic yet the bounce back came quickly. As the saying goes, it is often darkest just before dawn. Things look quite bleak now.”
He added: “Sometimes, like in the case of Simon Cowell, we have to do what is right for us at the time, regardless of cost. Every day I hear from people who are desperate to get on with their lives but are being held back by an unwanted property.
“A case in point was that of an elderly lady who contacted me and explained that a close friend had left her a property in his will. She was quite hard up and the gift was life changing for her. The trouble was, being empty, it attracted double council tax – £600 a month that she didn’t have. It was on the market unsold and making her sick with worry – each month that ticked meant another £600 council tax, another month of insurance, more gardening to keep it tidy. By slashing the price, she sold it quickly and lost all of the worry and freed up the cash.” Sometimes being ruthless is the right approach.
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