Selling price v Asking Price

jackbhoy

Was just wondering what your experiences of the actual selling price versus the original asking price of properties. I've been told it's generally around 10%. I have an offer of 285k (asking price) on an apartment and am wondering how high i can expect it to go???

ambro25

Answers to just a few Qs might help

* are you buying or selling?

> "I have an offer of 285k (asking price) on an apartment" = is it the offer you have made for buying the flat, or is it the offer you have for selling your flat?

* if you're selling, how quick was the offer in after you put it up FS?

> If you put it on the maket yesterday and got that offer in today, wait awhile (and you may have priced low, but don't worry too much about that - market will adjust it for you)

* if you're buying, (i) do you know when it went up FS first and (ii) how quick did you put in your offer?

> same as above, but reverse roles obviously. Unless the apt has been on the market months, seller is likely to wait awhile. Then again, maybe seller wants a quick sale (emigrating or needs to close chain or whatnot). It's always useful to go meet the seller.

* what have you heard from the estate agent (if anything and if you're willing to post about it) when you put in the offer as a buyer OR when they told you the offer as a seller?

(there are a few standard 'lines' by estate agents that are becoming quite known, and can be indicative of the next phase/timescale)

* that 10% above window price seems to be brandied about regularly (and I hear up to 20% sometimes - that must depend on perperty/location/etc - so not enough details here)... so there's got to be something even half-right about it.

jackbhoy

Am Buying. The apartment is only on the market about a week. Put an offer in about 5 days after it went on. There are more viewings this weekend and have already had other bids so i expect it to heat up now! Havent had much contact with Estate Agent, what sort of "lines" should i be listening out for. If you havent guessed i.m new to all this:o.

FillSpectre

From what I read it is is 10-20% differnce in the prices. The amount depends on the value of the property, closeness to stamp duty limits and target market. GWD are apparetntly inclined to 20%, Gunne 15% and Sherryfitz 10%. I read it in an article where some of the agents were very clear about it. Apparently if you ring up the estate agents and ask they will tell you the general rule they use. I guess posing as a seller might get you the answer quickest.

sapper

I've been looking in and around Dublin since before Christmas and I've seen a few jumps. These are just the ones that I followed all the way through to the end...

Nov-Dec 05
Three bed 50's terraced Phibsboro, 1000sq ft - asked 430K, sold 475K
Three bed 50's terraced Harolds Cross, 1000 sq ft - asked 480K, sold 535K
Three bed 50's terraced Walkinstown, 1100 sq ft - asked 470K, sold 470K
Three bed 50's semi d Drumcondra, 900sq ft - asked 470K, sold 510K

Jan 06 - now
Four bed 50's semi d Lucan village, 1100 sq ft - asked 515K, sold 575K
Four bed 50's semi d Lucan village, 1000 sq ft - asked 450K, sold 495K
3 bed 2004 semi d Lucan village, 1500sq ft - asked 580K, sold 680K
3 bed 2005 terraced Lucan village, 1300 sq ft - asked 410K, sold 465K

Why doesn't everyone who finds out the sale agreed price on a house post it up on a sticky or something in this forum? That means we could keep track of how much stuff is going for - god knows estate agents go all coy when you ask them this stuff...

Oral Slang

Just to add to Sapper's list - one or two we viewed in 2006:

Tallaght - guide price: €385 - sale agreed: €426
Tallaght - guide price: €400 - sale agreed: €470+ (stopped asking at this stage)
Walkinstown - guide price: €420 - sale agreed: €480

FillSpectre

So 10-20% like I said

It seems pretty consistant at 10% but can. I would lke to point out nobosy really knows what the final prices is unless they are actively involved in the sale. I think this is the biggest problem driving up prices, if you actually knew the prices of houses sold in an area you could judge price better yourself

addie

Oral Slang wrote:

Just to add to Sapper's list - one or two we viewed in 2006:

Tallaght - guide price: €385 - sale agreed: €426
Tallaght - guide price: €400 - sale agreed: €470+ (stopped asking at this stage)
Walkinstown - guide price: €420 - sale agreed: €480

I've been looking at 2-bed mid-terraced homes in Crumlin with asking prices of €360k in recent weeks and of about six that have been sold, the selling prices have been between €366k - €387k.

addie

FillSpectre wrote:

So 10-20% like I said

It seems pretty consistant at 10% but can. I would lke to point out nobosy really knows what the final prices is unless they are actively involved in the sale. I think this is the biggest problem driving up prices, if you actually knew the prices of houses sold in an area you could judge price better yourself

??? All you need to do is contact the agent to find out. Some agents even make selling prices known on their websites (www.lawford.ie for example) Are you assuming that they lie about the selling prices? When our offer was accepted on the house we bought I rang the agents pretending to be another interested party to see if they'd still show the house if someone seemed interested enough. They told me that the house was under negotiation and no more viewings were taking place, plus they gladly told me the selling price (and didn't lie about it!)

FillSpectre

addie wrote:

??? All you need to do is contact the agent to find out. Some agents even make selling prices known on their websites (www.lawford.ie for example) Are you assuming that they lie about the selling prices? When our offer was accepted on the house we bought I rang the agents pretending to be another interested party to see if they'd still show the house if someone seemed interested enough. They told me that the house was under negotiation and no more viewings were taking place, plus they gladly told me the selling price (and didn't lie about it!)

I am not suggesteing or assuming they would lie I am saying they will if it suits them. The big agents do not give out the prices on their website and one small agent doing so doesn't make up for it either.

What you are saying involves you knowing which houses sold recently, with which agents and the agents then being truthful after you contact them. If there was a place you could look up the prices of property sold in the area the buyer and seller could make an informed decision as opposed to rely on estate agents "skill" when in fact it is mostly just information. The local council could handle it considering all the money they make out of property sales although I am more inclined to make the agents provide the information as they have the resources in place and the information.

aniascor

If you were to have a website that provided actual sale prices, it would have to be several months behind. What I mean is, that prices could only be posted after the house sold, not after the sale was agreed. Otherwise, the risk of gazumping would be greatly increased.

Still though, any type of information of this sort, even if it is 2-3 months old, would be of great help to buyers.

I remember the first house we wanted to bid on was advertised at 310,000. The day of the viewing, one of the other viewers put a bid in of 310,000 even though there were no other bids on the property. I thought he was mad, as I had assumed you would start your bidding below the asking price - but it turns out he was right. Two days later, I rang up prepared to make our bid only to be told that the property was already sale agreed at 317,500. If I had been able to check beforehand a site that compared advertised prices to sale prices, I would have understood exactly why the bids started so high.

FillSpectre

aniascor wrote:

Still though, any type of information of this sort, even if it is 2-3 months old, would be of great help to buyers.

I think it would help sellers too as they currently have to trust estate agents to tell them the market. I can't see the Estate agents having any legitimate complaint about providing the information. I am sure they will claim the sellers don't want the info known but the informaton is of public use. Either way a few months out of date is going to be more accurate than an estate agent basing it on the last property he sold in the area.

aniascor wrote:

I remember the first house we wanted to bid on was advertised at 310,000. The day of the viewing, one of the other viewers put a bid in of 310,000 even though there were no other bids on the property. I thought he was mad, as I had assumed you would start your bidding below the asking price - but it turns out he was right.

The offering under the ask price is gone the way of the Dodo as the estate agents now advertise 10%-20% below what they expect to get (hence this thread). Just ask them most will honestly tell you.