Presentation – It’s a bore but good presentation is essential if you are to attract the attentions of a serious buyer.
Tidying the garden, a lick of paint and a spotless interior are all essential tasks to tackle. At this time when the nights are drawing in it’s also worth giving a little thought as to how to make your house feel warm, bright and inviting.
Viewings – If your estate agency service does not include accompanied viewings, make sure your able to show you house at a moments notice.
There aren’t many buyers around at this time of year so it’s important to make the most of every viewing opportunity. Even if it’s at an inconvenient time (like a Friday evening or a Sunday afternoon), think twice before turning down an opportunity to get a buyer through your door.
Marketing Materials – Still using the same particulars and marketing approach that you were using in June? You’re going to need to rustle up fresh interest in your property. First step is to think about using the Internet to speed up your house sale.
Next step is to see if your agent will agree to new photographs, newspaper ads and possibly even upgrading your listing on the property portals.
Conveyancing – Instruct a Solicitor now! There are a number of weeks worth of mucking about that can be saved by instructing a Solicitor before you’ve found a buyer. As time is tight, every day you can save on paperwork based tasks will make a difference.
Drop Your Price – This is the most important piece of the puzzle. In the face of a cooling market, buyers are nervous enough as it is. Unless your property looks like good value there is no chance you’ll make the sale.
Nick Rudge, a director at Savills in Banbury suggests that if you’re property has already been on the market for two months or more, a price reduction of 5-10% would be appropriate.
When only a few buyers are in the market, your property has to be the light that attracts the moths. A low asking price will do this and can actually be an excellent way to start a bidding war.
All your competitors will soon be dropping their price so it’s a good idea to be the pioneer (and get all the attention) rather than be a follower and just get left with the scraps.
Mortgage Approvals Fall to the Lowest Level in Two Year
The latest figures from the Council of Mortgage Lenders show yet another warning that the UK housing market is about to stall.
The Bank of England echoed this with the news that new home loan approvals have dropped to 102,000. That’s down from 108,000 and is the worst figures on record since July 2005.
Approval figures are a key indicator of which direction house prices are heading. Figures from Hometrack (the UK’s leading property market research company) showed that last month house prices had fallen for the first time in two years with London and the South East being the worst affected.
It just goes to show that what goes up must come down but the real question is whether we’ll be in for a soft landing or an out and out crash.
One thing is for certain, first time buyers need to beware. Banks are still eager to issue 100% loans and loans that are 6 times earnings. This will leave new homeowners open to the real risk of tasting negative equity and a hair’s breath away from repossession.
Those lucky enough to tap the Bank of Mom & Dad should definitely do so and those who can’t would do well to hold off from any purchase until the middle of next year. Now is certainly not the time to take a risk with your finances.
Boring advice I know but given that the UK’s love of cheap credit, there’s going to be a lot of people receiving repossessions orders next year - I just hope you’re not one of them.