We realise this won’t ring too many bells with agents outside London, but it’s nevertheless a property story of our times.
When an unmodernised semi came on the market with Winkworth in Gloucester Road, South Kensington, there was a lot of interest in it – despite a hefty price tag of £1,595,000.
Indeed, it was on the market just 21 days during which it had 148 viewings, which in itself was difficult for the agent, James Moran, to handle as access hours were restricted to six hours the first week, 12 in the second and 18 in the final week.
The property then, understandably, went to best bids.
In total, 24 separate parties put in bids, offering a total of £42m between them, and with the top bids being almost 40% above the price guide.
The property, which runs to 1,900 sq ft and was once owned by George Orwell, had not been on the market for 30 years. Its biggest selling point is that it is close to the Lycee Francais school.
Nevertheless, it will be a serious money pit even for the super-wealthy, with the agents suggesting modernisation throughout, plus extending.
But is it any wonder that central London agents can’t understand the reports which say that prices are going down and transactions are slow?
Or that agents outside London can’t get to grips with the huge demand, not to mention the sheer amount of money available, for properties which would be seen as more headache than pleasure for most buyers?
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Comments
Industry Observer: This from the Agent's website may answer your query as to why the differential between "Asking" and achieved:
"...on the market for the first time in over 30 years at a price of ‘offers in excess of £1,595,000’."
So when they said 'over', they were good to their word. VERY good, I would say...;0)
Two things that should be focused on here.
Why on earth conduct 148 viewings were all 148 potential buyers vetted to ensure they could afford the basic price and had the funds?
But secondly this agent needs to reappraise their local market and quickly. How on earth can any agent be 40% out on a valuation even in these crazy times.?
And crazy this is - someone willing to pay the thick end of £2.25M and 40% over the odds. I suggest the agent triple checks where the money is coming from.
There is ample discussion on overvaluing on this forum and plenty of comment on house prices. Assuming this is a genuine puirchase and not a proceeds of crime job how can anyone possibly not think there is a big correction to come?
Too true - give me the money!
You are only jelous that you did not get the £33k fee and that is just not being grumpy at all.
An average of 7 viewings per day (assuming Sundays worked too) .
Assuming agreed price exchanges (£2.2m) and they are charging 1.5% they get a fee of £33k - or there abouts.
Which means that each viewing was worth £227.
Do you know what? I would prefer to do 10 viewings on a house for £350,000 charging 1%...
But there's me being grumpy again.
Central London is just mass money laundering in property. One giant housing bubble which eventually will pop big time.
However every where house the prices are falling