property consultant Archives | London Property Consultants

Off market – the new trend that is old news…

The trend for claiming that a particular property is only available ‘off market’ has been very slowly creeping back in. The term is a grey area; off market is often an excuse to over value a property and ask a higher price.

Sellers may test the water by being off market increasing the price considerably in comparison to neighbouring properties and hoping that no one notices the disparity. Of course in this day and age of the Internet when data is freely available, savvy buyers will be able to do their own research into comparable property values and from that make their own judgement on pricing.

The fact is that whether you are a seller hoping to attract a buyer by being off market or a buyer wishing to make a discreet purchase, strong experienced representation from an agent is crucial. A good buying agent will earn his commission in spades when it comes to firstly sniffing out a genuinely off market property, but above all when it comes to negotiating the best possible deal. Professional estate agents will trust only the most credible buying agents who come with a solid reputation, act with due diligence and have an impeccable track record.

Throughout the last financial crisis, some owners favoured going off market because they did not want to give off the wrong signals by openly marketing their property. Similarly, some buyers wished to remain under the radar, preferring to conduct their viewings and negotiations in private.

In the last few years, agents have definitely claimed to be offering off market properties when in reality they are not. Beware of off market properties, it’s tempting to misinterpret this as a kudos label, when actually they tend to be more expensive than rival properties and are really in no way superior.

If you want to sell or buy well, then focus on retaining the most experienced agent, someone who can navigate a deal through the lows and negotiate on your behalf, securing the property at a sensible price rather than paying the inflated price on an off market price tag.

by Simon Barnes

Property buyers and schools

Very often it is the search for a school which motivates the search for a property and as a result, it can be a lengthy and challenging process, requiring a degree of flexibility and a hunt in all sorts of post codes. So far this year he has had clients from the UK and from France looking for homes to fit with the choice of school in Richmond and Kensington.

Without doubt it is the school that takes priority and typically clients will have their child’s name down with two or more schools and the property search will reflect these choices. This can mean that several houses need to be ‘lined up’ until such time as the child is accepted into the school and the decision has been made.

by Simon Barnes

Do famous owners increase value?

With regards to London property owned by famous people or featuring in films increasing its value, the answer is no. I very much doubt that my buyers would be shallow enough to pay more for a property which has been owned by a famous person, other than possibly with the exception of real historic value, or been used in a major film.

If anything it may detract from the appeal, as it becomes a “marked” property which is easily recognisable. If it is of architectural or special design interest and that is why it had been featured in a film, then this would have been reflected in the price from the outset.

by Simon Barnes

Simon Barnes on Basements

The London Borough of Kensington recently announced a review of its basement policy. Simon Barnes comments:

I believe this review is a great idea and not before time. Developers and builders have become swept away by the thought of making excessive profits through creating basements, based on this obsession with ‘square footage’.

A desire to enhance the square footage of the house believing this will greatly enhance the value is misguided. Squash courts located in a newly created basement going under the garden are practical and with purpose; creating vast basements, or double or even triple deep basements are not because in reality much of this space will not be used and a house then becomes divided by useable space and simply redundant space.
[Read more…]

by Simon Barnes

Prime London Property: Off-market sales

A short Interview with Simon Barnes about off-market sales

1. Is the concept of an ‘off-market’ sale good or bad from the seller’s perspective? Does it, for example, give their property a ‘mystique’ which can add value to the property?

Good, in that it enables a quiet sale without everyone knowing your business. In the current economic climate, where often assumptions are made that sales are forced for financial reasons and therefore can be bought at well below the advertised price – selling off market, usually prevents this. Also if the property doesn’t sell, it can be withdrawn and re marketed at a later date as a fresh property.

Do buyers get a disservice from off-market sales, because presumably many will not know of the properties being on sale? [Read more…]

Contact H. Barnes & Co – Tel: 020 7499 3434