Pressures on Prices in a Challenging Market
We continue to have a situation where confidence is low, banks are reluctant to lend and there is plenty of choice for buyers. This all results in downward pressure for property prices. There are buyers about however and property is selling, but vendors have to be realistic as these buyers are very price savvy. Realistic pricing is the key. Vendors who can achieve their goal to sell and move are in a great position to purchase in this market. More encouraging, is that there is a five times increase in visits to our property portals during last month over the month before.
There is obviously a great demand building for property and all we need now is some more favourable economic forecasts and the banks to be a little less cautious and I am sure the market will become much more active.
So Dartmouth finds itself in an unusual situation. We have buyers who would like to buy, but do not necessarily need to. We have sellers who want to sell, but may well not need to. With no expectation that prices will rise, buyers are keeping their cash in their pockets. If you are hoping to sell to such a buyer then sensible pricing will be a key factor in selling. Whilst we agents pride ourselves on our ability to get the best price we can through widespread, effective and targeted marketing, without the right price to work with, all our efforts on behalf of vendors will be in vain.
It now seems unlikely that there will be an imminent rise in interest rates although forecasts seem to change on a weekly basis. It is fair to say that most reports from the industry’s professional bodies show a disappointing spring market, although with the rising numbers of applicants and viewings, we certainly hope for a busier summer. As always in Dartmouth, properties with views and parking within the town are at greatest demand a- lthough good quality, well presented and correctly priced homes will achieve interest within the area. To sum up there is a local property market, there are buyers out there actively looking but it is critical that property for sale is priced correctly in order to achieve interest and an eventual sale.
Richard Blake 01803 832288 www.richard-blake.co.uk
First published July 2011 By the Dart
