Below Market Value Chancers Thriving Post Brexit Vote

Below Market Value Chancers Thriving Post Brexit Vote

It seems that some hungry below market value property hunters are taking advantage of the Brexit Referendum result to try to force an even better deal!

One London estate agent said many buyers were automatically asking for a 10% discount off the asking price because of the Brexit vote! Needless to say, many sellers are not taking this attitude lightly and are pulling out of potential sales.

To get the best price for a property it is perhaps better to target home owners who have held their property for a while as they have probably done quite well on the rising value of their house and would therefore be more likely to sell at below market value.

The Brexit Effect

Brexit has had some effect however.

Property prices fell by 0.9% this month (July 2016) as an immediate result of Brexit.

Enquiries on Rightmove regarding home values were at least 16% down compared to the same period last year in the two weeks before and after the Brexit vote.

Of course it was widely predicted that property prices would fall following a vote to leave the EU – some experts stated that the fall could be 5% over the second half of 2016.

Here’s some advice if you are looking to sell your property at the moment.

You need to be asking for the right price to move quickly.

Rightmove’s Miles Shipside said: ‘If you’re putting your property on the market and are keen to sell, then pitching your asking price too high would be counter-productive in the current environment. Buyer affordability is already stretched and they will be looking for extra reassurance that they’re getting the best priced home to suit their needs.’

‘Pricing competitively will tempt buyers, some of whom are sitting on their hands.’

Jeremy Duncombe, director of Legal & General Mortgage Club, said:

‘It’s clear that demand for property still exceeds the housing supply on offer, just as it did before the referendum. The recent report from the House of Lords calling for 300,000 new homes to be built per year will provide some much needed pressure in this area.’