27/11/2007 by Damian.

With the numerous stories about house prices at the moment, it’s hard to know what to believe.Whether house prices are going up, down or sideways, it makes sense to put in the hours to get the best home for you at the best price possible. Less2sell Estate Agents eluded in a previous post titled ‘Pre-Christmas Slow Down comes Early’, that we feel that a series of interest rate cuts are needed in 2008 to re-stimulate the market. Since then rumours are emerging that the Bank of England have declared the need to reduce interest rates next year.Anyway, if you’re looking to buy, Less2sell Online Estate Agency would like to share some top homebuying tips with you.

1. Do Your Own Research

One top reason many parents choose to move home is due to the fact they have a child about to start school, and unsurprisingly, properties in excellent state school catchment areas tend to have a hefty premium slapped on. 

The trouble is, catchment areas usually vary from year to year, the way they are worked out can be mind boggling (involving the school, the local County Council or both) and very few estate agents take the trouble to check.  So if you’re looking to buy in a school catchment area, don’t simply trust the seller’s/estate agent’s word that the property is within it. Call the school yourself and ask. Most should also be able to supply you with a copy of the latest catchment area map. Schools are typically very friendly and more than willing to help.  And remember you can find out all about applying for schools at the DirectGov website, and read the latest school reports at the Ofsted site.

2. What did next-door go for?

When you find something you’d like to make an offer on, check out websites such as NetHousePrices or Mouseprice. These brilliant sites can tell you how much similar properties on the road (or within the postcode) actually sold for and when, and all for free. Use this information when deciding upon your offer, and make sure you mention your reasoning to the estate agent when putting forward the deal.

3. Don’t be afraid to make a low offer

Just because the guide price on a property is set high, it doesn’t mean that’s what it will sell for. Remember, most traditional estate agents try to drive prices up when valuing properties, regardless of the current market.  And the thing is, August is traditionally a pretty slow month for house buying anyway, exacerbated by the fact we’ve seen five interest rates rises in the past year.

4. Extras, extras..

If you can’t do anything to drive down the price, see what you can get thrown in. Dishwashers, washing machines and fridge freezers can save you a few hundred pounds - and good quality curtains and blinds, especially for large or awkward windows can cost a small fortune.

5. Snag it..

Don’t forget to draw up a “snag list” on your second viewing. Check around the house and note down everything that needs to be looked at, fixed or negotiated on, before making your offer.  Many people make the mistake of not snagging a house as they feel this is only done on new builds. Don’t forget this is the most expensive single item purchase you will make!

6. Be a snake..

If you’ve only just started looking in a particular area and would like to know if any of the properties you’re interested in have been reduced, check out PropertySnake — this great site will let you search by postcode or area and find out who’s had to drop their price!

7. It’s not over until you exchange!

One in three property chains break down - so just because your dream home is under offer does not mean it’s lost forever.  Keep in touch with the estate agent to check on the progress of the sale and ask them to call you should anything happen. If its chain should collapse its owner may need to find a new buyer in double quick time - if you’re in a good financial position you could take advantage, and if you’re lucky you could even find a cheeky offer is gratefully snapped up!

8. Be aware of flood affected areas

Remember you can check for free with the Environment Agency whether or not that new property has been built on or near a flood plain before making an offer.

9. Affordability

Crucially, you must also consider whether you can afford your new home.

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14/10/2007 by Damian.

A recent survey of estate agents by GE Money highlights that the right DIY project can add as much as £22,300 to the price tag of an average property.

But what are the most value-adding home improvements?

Less2sell estate agents believe that increasing the square footage of your property is likely to add the most value:

Top 3 Home Improvements Most Likely To Improve The Value Of A Home according to Halifax’s valuers

A similar survey from GE Money breaks down approximately how much money different types of home improvement could potentially add to the price of a property:

Estate Agents’ Top 10 DIY Projects, according to GE Money

Recommended Top 10 DIY projects	Average £s Added
1) Loft conversion	£22,300
2) Add an extension	£19,27 1
3) Build a conservatory	£11,90 4
4) New kitchen	£8,250
5) Add central heating	£6,147
6) New windows	£5,239
7) New bathroom	£5,155
Redecorate	£4,576
9) Resurface the driveway	£3,928
10) Add decking to the garden	£3,617

Of course, to some extent, the most value-adding improvements will depend on the property. Perhaps, rather than trying to say what is the most value-adding project, it can be just as helpful to look which home improvements can seriously detract from the desirability of

a property:

What Detracts Value From A Property, according to Less2sell Online Estate Agent.

What’s the solution?

If you’re planning a home improvement project this autumn, it’s a good idea to take professional advice. Check out homeimprovementadvice.co.uk for some top tips on how to plan small and big projects. And if you’re planning an extension, visit growyourhome.com to calculate an estimate of the costs.

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01/08/2007 by Damian.

Showing your home is a vital element of the selling process. The latest figures from Less2sell Online Estate Agents  suggest that you can expect an average of twelve viewers through your door before you confirm a sale. However, inviting so many strangers into your home could place you in a vulnerable position.
 
 It is with this in mind that Less2sell,  member of the National Association of Estate Agents provides advice on how you can ensure your personal safety whilst selling your home.
 
 

1) Be sure to obtain all of the viewer’s details from the agent when arranging times and dates. Check you have the right name and contact details of each viewer, and ask the viewer to confirm all the details to you upon their arrival. If you are going to be alone in the house, it is probably a good idea to ask a friend or a neighbour to accompany you whilst you show your home.
 
2) Be friendly whilst conducting the viewings but don’t be lured into giving away too much personal information. Be cautious of conversations that inform people of your movements, for example holiday plans and work schedules, anything that informs the viewer of when the property is likely to be empty.
 
3) You might prefer for your agent to conduct the viewing on your behalf, make sure that the agent has accurate information regarding alarm codes and locations. Also check that the alarm location is not referred to in any of the sales literature about your property. If you do decide to leave keys with your agent it is a good idea to ask for a receipt and ensure that they will inform you of any viewings they will be conducting.
 
4) Using a sale board is a great way of marketing your property. However from time to time this does encourage people driving past to knock on the door and ask to view. If this happens refer them to your agent and arrange a time that suits you and that you are comfortable with. 

Related Links

Seven Simple Tips to Increase Your Chances of Selling Your Home Beginners Guide to Predicting the Outlook for the Housing MarketGuide to Choosing an Estate Agent

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06/07/2007 by Damian.

Studies show that most home buyers make their minds up about a property within the first seven seconds.  So if you’re thinking of selling your home, it’s vital that you make a good first impression.

A clean and tidy interior often reflects well on the rest of the property being sold and could be the key to a quick and easy sale.

www.less2sell.co.uk has Seven simple tips to help you sell your property.

1. Your front door can say a lot about you and your property - a quick make over of the front door can make a difference and set a tone for the rest of your home.
2. Make sure that your doorbell works (if you have one) - a simple chime will apeal to most.
3. Keep your wheelie bin hidden.
4. Ensure any hedges or lawns are neat and trimmed. Remove litter, dead leaves or weeds from the drive.
5. Plant seasonal flowers and plants to inject colour and highlight your gardens strongest assetts.
6. Clean your car or park it around the corner for a while.  Make sure there is somewhere for your viewer to park.
7. Do not take on anything too ambitious with regards the house make over.  Keep it simple and promote your homes strong points and this will work wonders.

Related Links

Beginners Guide to Predicting the Outlook for the Housing Market

Guide to Choosing an Estate Agent

Posted in Tips | Print | 1 Comment »

04/07/2007 by Damian.

Everyone who is involved with property knows that it is extremely difficult to predict its future.  So why am I bothering writing a post about it!  I would like to impart a bit of knowledge on the 5 key drivers that affect the market.  Even with these key drivers, it is still difficult to estimate what the future hold for property but it will arm you with important information in order to make a sensible and informative decision.

Although my attempts at predicting the outcome of the housing market have rarely been correct, I still keep an eye on a number of demographic, financial and socio-economic factors which are believed to influence demand for housing. In alphabetic order, here are five of the various indicators which I monitor in an attempt to get a feel for the UK property market:

1. House price indices

Although I take house-price predictions with a huge pinch of salt, I do study historical changes to house prices in order to take the temperature of the UK housing market as a whole. However, several different organisations produce house-price indices (you’ll find seven listed here), so it’s hard to know which index to track!

2. Inflation

The Consumer Prices Index (CPI) is the government’s target measure of inflation (which is the tendency of consumer prices to rise over time). Although the CPI doesn’t include housing costs, it’s still worth keeping an eye on. That’s because the Monetary Policy Committee (MPC) of the Bank of England has a target to keep CPI around the 2% mark. When inflation markedly under- or over-shoots this target, the MPC votes to lower or raise the Bank’s base rate in order to return CPI to its goal over the medium term.

You can follow the CPI here:  ONS inflation statistics

3. Interest rates

As the CPI measure of inflation has been above its 2% target for quite a while, the Monetary Policy Committee has started raising interest rates. Since last August, the MPC has raised the base rate four times, each time by a quarter-point, increasing the base rate from 4.50% a year to 5.50%.

The next MPC meeting is this week, and as CPI is currently at 2.5%, it’s a done deal that the base rate will be hiked to 5.75% on Thursday, in my opinion. Of course, a rising base rate is bad news for homeowners and homebuyers, because it translates into higher mortgage interest rates, which mean higher monthly repayments for borrowers who don’t have fixed-rate home loans.

You can follow the Bank of England base rate here: Bank of England MPC decisions

4. Savings ratio

I like to keep an eye on the savings ratio, which measures the proportion of our take-home pay which we save. Generally speaking, when house prices are rising fast and consumer optimism is high, the savings ratio is low. Conversely, when the future looks tough, we tend to save more as a hedge against upcoming financial difficulty.

The savings ratio has collapsed to a 47-year low of 2.1%, which is just a quarter of its long-term average.

You can follow the savings ratio here: ONS savings statistics

5. Unemployment

Of course, when people are out of work and struggling to make ends meet, buying property is one of the last things on their minds. On the other hand, when unemployment is low and demand for workers is high, this puts upward pressure on wages, which usually translates into house-price stability or inflation. The unemployment rate has been on the rise since 2004, and presently stands at 5.5% of the ‘economically active’ workforce, but this is almost half what it was in the recession of the early Nineties.

You can follow the unemployment rate here: ONS employment statistics

Of course, the factors which impact the housing market don’t stop there: I also have consumer confidence, housing transactions, immigration, mortgage lending, wage increases, etc. on my watchlist.

Finally, I’ve no solid rules on how to weight each of these factors based on its impact on demand for housing. Indeed, I suspect that this task is all but impossible, given the massive scale of the UK housing market and the complex interplay between these variables. Anyway, when all’s said and done, demand for housing usually depends more on local factors than national trends.

Related Links

Guide to Choosing an Estate Agent

Seven Simple Tips to Increase Your Chances of Selling Your Home

Posted in Tips, UK Interest rates, General | Print | 1 Comment »

26/06/2007 by Damian.

Selecting the company to sell your biggest asset, your home, can appear a daunting process to the uninitiated.  Your choice can be made much simpler by following a few straightforward rules.

1) The first principle when searching for an estate agent is to check that they belong to a professional body like the NAEA.  This is because all members have to complete a minimum entry qualification on valuing properties and are bound by rules of conduct to offer you a fair deal, without overvaluing your home.  They also provide access to a complaints procedure and a solid understanding of the market.  Selecting an agent who is a member will ensure your peace of mind, as well as the highest level of integrity and service.
 
2) Reputation can also be a great aid in selecting an agent. If friends, family or neighbours have had a good experience with an agent this can really help.  Another trick is to look at the number of ‘sold’ and ‘for sale’ signs around the local area.  This will tell you which agents are most popular. 
3) Look for an estate agent who will answer telephone calls and emails quickly and post details of your property on their website within 24 hours.  They will also have a history in the area, with returning clients to prove the quality of their service.  A great estate agent will also bring a list of buyers with them, and will have a contingency plan in place in case it cannot find a buyer.
 
4) When you find a good agent, agree the top 5 selling points of your property and what kind of contract you sign.  Ask to see comparisons of valuations and actual sale prices in the area, and finally make sure you get on well with your chosen agent – this will be invaluable if your house sale is long and emotional!