Mon 15 Sep 2014
Property Matters: Putting home offers into context
When you market your property, you will naturally want to achieve the highest price today’s market will pay. But how do you know what this is? Sadly, there is no almanac of ‘correct’ prices relating to an address and a date, so most people will take the advice of their chosen estate agent to guide them.
Our last article looked at how the statistical data that subscribing estate agents can access on sites such as Hometrack and Rightmove can be of tremendous assistance in assessing the correct asking price for a property. Here, we consider the benefit of using similar information when it comes to weighing up the relative merits of an offer from a prospective purchaser.
Whilst buyers do of course make offers, what one individual purchaser is willing to pay must be reflective of the maximum likely selling price in a given market if it is to be worthy of consideration.
This is where the stats come in. For example, if you receive an offer of say 97% of your asking price, you might be more inclined to regard this as a good offer if the recorded national or local figures suggest that on average, most properties are selling at just 95% of their asking price. Of course, if your offer is just 92% (God forbid) then it might be easier to reject the offer as too low.
Likewise, if your property has been on the market for say seven weeks, but collated data across thousands of other sales suggests that most properties sell in four weeks, then you know your property is in danger of going stale on the market; it might be worth accepting a lower offer before it’s too late.
Naturally, your buyer’s ability to purchase will be a prime consideration, and this is where your agent’s skill in assessing their situation, financing options and linked transactions will also be of particular value.
David Maslen Estate Agents, 290 Ditchling Road, Brighton, BN1 6JF
01273 566777, www.maslen.co.uk