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Two in five homesellers face price cut from valuation: The Nottingham

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Online research conducted for Nottingham Building Society has found that a lack of sound estate agency advice could cost homeowners thousands of pounds.

The nationwide study, carried out for the Nottingham by market research firm Consumer Intelligence, found 41 per cent of homeowners, who have sold a house in the past five years, said the price they finally sold for was lower than their original target.

It also showed that around one in 12 had to settle for a considerably lower price than they had originally hoped for.

The building society, which also offers estate agency services, claims the research highlights the variable quality of estate agent advice across the country and highlights the need for realistic valuations as well as support throughout the sales process.

The Nottingham head of estate agency Su Snaith, says: “Price is not all that matters when you are selling your house but it can be absolutely vital if you are relying on a certain price for your next purchase, which means realistic valuations are essential.

“The research emphasises the need for independent advice focusing on what is important for sellers at the start of the process and particularly so when so many are taking substantial price cuts.”

The Nottingham’s research found sellers in London beat the national trend – just 6 per cent had to accept a price reduction while in Yorkshire & Humberside around 56 per cent ended up with less than they had expected.

Around one in four (25 per cent) of people who tried to sell during the past five years, did not complete the deal, the study shows.

REGION HAD TO TAKE A PRICE CUT ACHIEVED A HIGHER PRICE THAN EXPECTED
LONDON 6% 56%
WALES 17% 42%
SCOTLAND 27% 43%
EAST ANGLIA 39% 39%
NORTHERN IRELAND 40% 20%
WEST MIDLANDS 41% 20%
EAST MIDLANDS 42% 25%
SOUTH EAST 44% 19%
NORTH EAST 50% 6%
NORTH WEST 55% 10%
SOUTH WEST 55% 17%
YORKSHIRE & HUMBERSIDE 57% 14%
UK

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  • Chris Hulme 16th November 2016 at 2:30 pm

    This is a widespread issue of too much reliance on internet to sell houses resulting in a significant loss of true estate agency and negotiator skills. All too often agents list houses at a price to get them on the market and then target them for price reductions to make their life easier. Worse though is the now seemingly acceptable estate agency process of listing a house on various websites and search domains and sitting back waiting for the internet to ring.
    Where has the skill gone of listing a house on the market and ringing potential buyers with a view to selling the house to the buyers specific identified needs?