Yorkshire’s newest online estate agency has urged sellers in the region not to allow talk of a new housing bubble to tempt them to ask too much for their properties – fuelling a new surge in prices in the north.
Recent reports in the media have indicated rises of between five and seven per cent this summer, with an average property now selling for around £170,000.
However, esaleuk.com warns the statistics largely reflect a trend not necessarily reflected in the north – at least not yet. In fact, if London and the south are removed from the equation, any hike in prices is much more modest.
Managing director Dave Rook said:
“We’re concerned there is a risk that talk of a new bubble could become a self-fulfilling prophecy, with sellers influenced to ask more for their homes in the mistaken belief the market is now robust enough to take it.
“There’s some evidence that Government’s Help To Buy scheme is certainly helping to bring buying a house back in range of some who may otherwise have been priced out of the property market – but that doesn’t mean there’s hard evidence to say a substantial rise in prices is sustainable in the long-term.
“Of course, it’s natural that most buyers will want to get the most they can for their property and, if they hear prices are on the up, they may think it makes sense to add to the asking price – and, if we charged on a percentage basis, then an inflated one would be in our interests too.
“But, in our experience, a fair price is a much better strategy; it attracts more potential buyers prepared to negotiate on a deal and increases our chances of a selling a house quickly and with the minimum amount of fuss.”
Mr Rook warned, if the Yorkshire housing market overheats, any recovery could be short-lived.
“There may well be a few who profit in the short-term but it wouldn’t be long before the market stagnated again.
“Higher prices will put a new home back out of the reach of anyone on a modest income, fewer buyers will mean fewer homes being built – and we’re back to square one.
“If you’re selling, go for the best possible price by all means – but we’d recommend a little research local first into what that might be.
“Just because prices in London and the south have taken off, it doesn’t mean you can slap another £10,000 on a house in Yorkshire.”