Selling House

RiseNshine

Trying to sell house in Dublin through leading Estate Agent. I am terribly stressed as agent is not drumming up enough interest in our house. Agent has one interested party coming in with low bid and also trying to get me to drop price if the house. I feel very very stressed. Don't know what to do. I was hoping for a few interested parties to express interest and I would get close to asking price. This doesn't seem to be happening. The agent is very defensive and keeps reassuring me they are doing everything they can to sell house. Can anyone guide me on how to proceed. The bidder seems to be looking to get my house for rock bottom price and could be in cahoots with agent for all I know. I just want a fair price. I cannot understand only one party is bidding for a family house in a prime suburb of Dublin. It flies in the face of what the media is peddling at the moment with people scrambling to get a home?

Saipanne

RiseNshine wrote: »

Trying to sell house in Dublin through leading Estate Agent. I am terribly stressed as agent is not drumming up enough interest in our house. Agent has one interested party coming in with low bid and also trying to get me to drop price if the house. I feel very very stressed. Don't know what to do. I was hoping for a few interested parties to express interest and I would get close to asking price. This doesn't seem to be happening. The agent is very defensive and keeps reassuring me they are doing everything they can to sell house. Can anyone guide me on how to proceed. The bidder seems to be looking to get my house for rock bottom price and could be in cahoots with agent for all I know. I just want a fair price. I cannot understand only one party is bidding for a family house in a prime suburb of Dublin. It flies in the face of what the media is peddling at the moment with people scrambling to get a home?

Mod might move this to Accommodation & Property forum, but my understanding is that demand has dropped off a little, of late. That might explain things.

zl1whqvjs75cdy

Where is the house in Dublin? What have similar houses in the area gone for? How long has it been on the market?

RiseNshine

donkeyoaty0099 wrote: »

Where is the house in Dublin? What have similar houses in the area gone for? How long has it been on the market?

Terenure. It's priced similar to others in same area. On market since end Aug.

RiseNshine

Saipanne wrote: »

Mod might move this to Accommodation & Property forum, but my understanding is that demand has dropped off a little, of late. That might explain things.

Perhaps but there is a huge under supply of homes in area for sale. The property is priced 40% below peak prices in 2007. It's a fair price for location and house type. Offers are coming in €40k below asking which is way way off the mark. The agent is pushing us to consider which concerns me as they priced my house in first place.

quadrifoglio verde

Link to ad?
Generally lack of interest is due to price being asked and things seem to have quitened down a little bit lately.

Saipanne

RiseNshine wrote: »

Perhaps but there is a huge under supply of homes in area for sale. The property is priced 40% below peak prices in 2007. It's a fair price for location and house type. Offers are coming in €40k below asking which is way way off the mark. The agent is pushing us to consider which concerns me as they priced my house in first place.

Id say you should request that the mod move this thread to the forum I mentioned. They know their stuff there.

Tristram

If you are unhappy with the service your agent is providing perhaps you could change to a different agent.

MarkAnthony

I've been looking for sometime, there seems to be a complete change in market over the last while with the associated drop off in demand for this time of year. No one knows what the market will do over the next few months.

Best of luck with it, but prices have been nuts over the last 12 months.

RiseNshine

Tristram wrote: »

If you are unhappy with the service your agent is providing perhaps you could change to a different agent.

I am considering this as a last resort. I am also considering taking house off the market and buyers will miss an opportunity to buy house at good price because if I go to market next year houses will have increased going by all the pundits. Don't need this stress approaching Xmas. Just bargain hunters out there looking for someone desperate to sell house cheap. Don't think that's gonna happen!

quadrifoglio verde

RiseNshine wrote: »

I am considering this as a last resort. I am also considering taking house off the market and buyers will miss an opportunity to buy house at good price because if I go to market next year houses will have increased going by all the pundits. Don't need this stress approaching Xmas. Just bargain hunters out there looking for someone desperate to sell house cheap. Don't think that's gonna happen!

Its hard to know, new central bank rules from January may cause prices to fall...the pundits could be wrong again you know

MarkAnthony

RiseNshine wrote: »

I am considering this as a last resort. I am also considering taking house off the market and buyers will miss an opportunity to buy house at good price because if I go to market next year houses will have increased going by all the pundits. Don't need this stress approaching Xmas. Just bargain hunters out there looking for someone desperate to sell house cheap. Don't think that's gonna happen!

No everyone is predicting a rise next year. The lending criteria and deposit requirements have been significantly changed which is causing people to be more wary. Cash buys have dried up or at least are biding their time.

Also the stress coming up to Christmas works both ways, and many people looking to make a move feel the same way.

NinjaTruncs

It seems like a bad time of the year. I'm trying to sell an apartment and we're getting about half the interest as was around during the summer. Now I'm not sure if this is due to christmas coming up or that the market has stalled waiting for the new year with the upcoming changes to mortgage approval. Either way we were given the impression it wouldn't be too hard to drum up interest but that is proving to be incorrect.

NinjaTruncs

MarkAnthony wrote: »

No everyone is predicting a rise next year. The lending criteria and deposit requirements have been significantly changed which is causing people to be more wary. Cash buys have dried up or at least are biding their time.

Also the stress coming up to Christmas works both ways, and many people looking to make a move feel the same way.

Do you mean predicting a fall?

RiseNshine

MarkAnthony wrote: »

I've been looking for sometime, there seems to be a complete change in market over the last while with the associated drop off in demand for this time of year. No one knows what the market will do over the next few months.

Best of luck with it, but prices have been nuts over the last 12 months.

Thanks for your reply. Property is still 40% below peak. ESRI says property expected to rise another 10% next year and possibly more in Dublin. Unemployment falling, country finances stabilising and 4.5% growth all point towards higher property prices. Big issue is banks still not lending. Cash buyers made up most sales earlier this year. Missed this window as all that's left out there are people who have mortgage approval but are falling short for 4 beds and are trying to drive prices down with cheeky bids as cash buyers have exited market.

Saipanne

quadrifoglio verde wrote: »

Its hard to know, new central bank rules from January may cause prices to fall...the pundits could be wrong again you know

well if people find it harder to borrow money then you would expect demand to fall

RiseNshine

Ditto...there's definitely a change in activity and the people viewing our property are "tyre kickers" or just sniffing around with little or no interest in purchasing. Even the agent says they have noted the current market trend is a bit lack lustre.

RiseNshine

Central bank can only introduce guidelines. They are not allowed to direct banks in the same way banks don't have to pass on rate reductions when ECB reduces rates. The banks will find a way around lending criteria. At the end if the day that's how banks make revenue. Lending. 2015 will see property prices rise by another 10/15% minimum. So a house priced at 350k now will be close to €400k this time next year. It's a no brainer. Buy now and save yourself €50,000 - that would take someone on average industrial wage 10 years hard saving so cannot understand why people are playing waiting game. They'll have to rent forever if they don't buy now.

zl1whqvjs75cdy

RiseNshine wrote: »

Thanks for your reply. Property is still 40% below peak. ESRI says property expected to rise another 10% next year and possibly more in Dublin. Unemployment falling, country finances stabilising and 4.5% growth all point towards higher property prices. Big issue is banks still not lending. Cash buyers made up most sales earlier this year. Missed this window as all that's left out there are people who have mortgage approval but are falling short for 4 beds and are trying to drive prices down with cheeky bids as cash buyers have exited market.

They won't reach peak prices again. If they do we'll have much bigger problems with the inevitable crash that will follow. Don't hold out for peak prices or you'll never move. I'd also be stunned if house prices rise by 10% next year. I'm not a professional economist or anything by the way just how I see things at the moment. The market is uncertain and will continue to be so until people get a better handle on the new lending restrictions and, on a broader scale, what the ecb are going to do next year.

You are also misinformation about the powers of the central bank. They can essentially do what they like with regards to banking sector regulations and are not beholden to the government in this regard.

Saipanne

RiseNshine wrote: »

Central bank can only introduce guidelines. They are not allowed to direct banks in the same way banks don't have to pass on rate reductions when ECB reduces rates. The banks will find a way around lending criteria. At the end if the day that's how banks make revenue. Lending. 2015 will see property prices rise by another 10/15% minimum. So a house priced at 350k now will be close to €400k this time next year. It's a no brainer. Buy now and save yourself €50,000 - that would take someone on average industrial wage 10 years hard saving so cannot understand why people are playing waiting game. They'll have to rent forever if they don't buy now.

Emm, I work in banking. And yes. The Central Bank can and will enforce these rules.

RiseNshine

Central Bank have only suggested guidelines. No one can save 20% deposit on a basic starter home priced at 350k. The central bank are just flexing muscle early due to stress tests on our banks which by and large passed. The gov have announced a new stimulus to get construction industry moving again so I would be inclined to think property will continue to rise as economy grows. We have fastest growing economy in Europe at 4.5% growth est for 2014.

RiseNshine

disagree. The deposit will fall to 10%. Watch this space. Don't be naive

Atlantic Dawn

RiseNshine wrote: »

disagree. The deposit will fall to 10%. Watch this space. Don't be naive

Or house prices will fall to where 20% deposit is affordable.

RiseNshine

Thanks for reply. Curious why banks don't have to pass on rate reductions when ECB rate falls. Central Bank " apparently" cannot interfere. The banks are independent institutions. When they were tasked with regulation in the past....ahemmmm

zl1whqvjs75cdy

RiseNshine wrote: »

disagree. The deposit will fall to 10%. Watch this space. Don't be naive

Credit availability dictates market price not the other way around. The first 6 months of the new regulations would see prices stay at their current levels but then they would have to fall in line with credit availability.

MarkAnthony

RiseNshine wrote: »

disagree. The deposit will fall to 10%. Watch this space. Don't be naive

Says the person with no vested interest what so ever.

As for a fall - I think what we're more likely to see it houses going for asking or around that. Earlier this year houses where going at bonkers money over asking price. I also think we'll not have the situation where you need to queue outside a place to view it. I really think EAs missed a trick in not charging people to view at the beginning of 2014.

Just calling out that this is not a consumer issue - if you're unhappy with your EA move.

dudara

Moved to Accomodation & Property

dudara

Saipanne

RiseNshine wrote: »

Central Bank have only suggested guidelines. No one can save 20% deposit on a basic starter home priced at 350k. The central bank are just flexing muscle early due to stress tests on our banks which by and large passed. The gov have announced a new stimulus to get construction industry moving again so I would be inclined to think property will continue to rise as economy grows. We have fastest growing economy in Europe at 4.5% growth est for 2014.

Nope. They will be introducing lending rules that banks must adhere to. You have no idea how much scrutiny the CBI places Irish banks under now. And, the European regulator is now in operation, and my experience is that they are even tougher than the new CBI. The "good old days" of lax regulation are gone, and for the better. But these "guidelines" are going to be enforced. Mark my words.

The values they announced are the likely values to be implemented, though the values might change, but I seriously doubt it.

I'm not reading this in newspapers, I know this because it affects my department. My job. My day to day. It is fact.

NinjaTruncs

For tracker mortgages they do need to pass on ECB falls, as will they increase your rate when the ECB rate rises. However Standard Variable Rate is not tied to the ECB rate so the bank can increase or decrease SVR as the like.

Saipanne

RiseNshine wrote: »

Thanks for reply. Curious why banks don't have to pass on rate reductions when ECB rate falls. Central Bank " apparently" cannot interfere. The banks are independent institutions. When they were tasked with regulation in the past....ahemmmm

No. The ecb rate is what banks pay to borrow money. They can charge what they like for it. The ecb doesn't tell banks what to charge.

P. Breathnach

RiseNshine wrote: »

disagree. The deposit will fall to 10%. Watch this space. Don't be naive

If you are right about prices rising so much and so soon, why the worry about not selling yet? Just hang in there for the higher prices.

It's my opinion that you are mistaken. I have had an eye on your market segment for a while. For about a year, up to about August/September, asking prices were generally achieved or exceeded (with some exceptions, of course). More recently, that has not been the story. It's now a struggle to achieve the prices that might have been easily achieved six months ago. I think that the market in Dublin 6/6W has hit its short-term peak, and will perform less well in 2015.

But you won't believe me.