| Comment | I guess the problem is the size of the +%.
If the HVR was more in line with what people are willing to pay (bear in mind people have been paying +20% in some areas for years!) then the offers over would be less drastic - maybe +1-2%. And people would have more realistic expectations of the cost of housing and what they can afford from the outset.
The problem the OP raises is that people spend years saving for a deposit, only to realise at the point of searching and bidding that they need significantly more than what they expected. Not just a few k - but like double what they had already saved. The problem being that the market appears so much cheaper than what it actually is (in some areas).
People will always pay over, but there is a limit. For example a 2 bed standard tenement went up in Govenhill for around £135 a few weeks back. The HRV was £140. Based on what people are saying here It probably went for £165k. If the home report was £160k then there would definitely be a cap at what people would pay but it would give a more realistic expectation for buyers. There’s no way it would have gone for £190 (if it did then the buyer would be looking at a long wait before a return on the investment). |
|---|