MARKET CONDITION REPORT: SUMMER 2008

Time and Tide and the Property Market

Dudley Singleton of Dudley Singleton & Daughter takes a summer time look at the property market and explains why all one reads in the national press is not necessarily true in our area.

No report on the residential property market in 2008 could dismiss the real problems there are in the market, principally because the dearth of transactions brought on by the parlous position of the banks and building societies.

But the alarming headlines in the newspapers mask the real fact that in many ways and for many people it has to be business as usual. This is because, despite the economic downturn, life goes on as usual. People will still have important reasons to buy or sell property. There are the happy reasons such as young people striking out on their own, marriages and births, there are business reasons like a change of job location, and there are the not-so-happy reasons such as redundancy, divorce or a death in the family. These are all factors that the economic situation, however worrying, can’t alter. It’s true that aspirational and no-need movers, and those entering the buy-to-let market are in the main sitting on their hands. But elsewhere there certainly is underlying market activity.

Prices are correcting throughout the UK and we will see more correction as this market cycle period continues. But and this is often hard for house sellers to appreciate in a falling market most things in property are relative. The property one may be interested in buying is falling in value at just the same percentage rate as the property one is selling. There will be a financial discrepancy when the move is to a much smaller property, but by and large the amounts should not make too much difference.

Unless one is selling a property and not buying another or trading down to a significant level there are few reasons not to move at the moment. In fact there are many reasons why it may be a good thing. Firstly there is so much choice. It is hard to think of a time in the last decade when there has been so much opportunity in the market.

Houses are a bit like policeman. There is never one around when you want one. Well, now is a good time to find that dream home. The tricky bit is selling. But even here there are good signs. What the press headlines don’t mention is that there are buyers and that if property is priced correctly and the buyer is not looking for an impossible loan-to-value mortgage then there is every reason to be very optimistic.

The national press are also given to announcing aggregated national statistics. These are misleading as the property market is local and different regions, cities, towns and even neighbourhoods differ greatly across the country.

Market volume, lacking its feel good buyers, may be down by half on last year but that does not mean that the market is dead; far from it. There is in fact a brisk market for those determined to make the move.

Property today is not selling itself. It takes a great deal of skill and dedication by an experienced estate agent to piece together deals in such a challenging market. But that is the key. This is not the time to employ an inexperienced agent. This is not the time for estate agents who operate the Four Ps’ rule – Put up a for sale board; Put it in the local newspaper; Put it on the internet; Pray. This is a time for creativity and innovation beyond the norm. This market also needs both seller and buyer to be flexible and an estate agent to be very aware of every opportunity to create a deal that works for both sides.

Everyone wants to get the most for their property and most of us want an uncomplicated sale in the shortest time possible. In this market sellers may have to restructure these expectations. But there really is no reason to think that buying and selling in this market is unfeasible. It certainly is not. In the end it may be better to get on with life. Like the time and tide that wait for no man nor do they ever wait for economic conditions to be perfect either.

Our attitude to present market conditions:

When the market is not quite so vibrant, the vendor needs the experience and conscientious service that Dudley Singleton & Daughter provide. In the 30 odd years we have been in business we have seen the face of the market change continuously – recessions, peaks, troughs – we have seen them all, but there is still no doubt historically as can be seen on this website of properties we have sold in the past and properties we have sold again recently, investment in our area is fantastic. So, when you buy into this part of the world, you not only buy a home in a wonderful area with easy access to major centres of commerce, but you are making perhaps the soundest investment of your life.

Aggressive and persistent marketing does pay dividends and certainly at Dudley Singleton & Daughter we never relax – we never stop advertising, we never stop showing just because a property has not sold immediately – and we continually keep in close contact with our vendors, advising them of market conditions and also of the comments, because feed-back is so important, from applicants who have viewed their property. This type of interactive dialogue and communication not only instils confidence in the vendor, but also allows the vendor to build a picture of what the market place thinks of his property, whether he needs to make any improvements or adjust the price. Dudley Singleton & Daughter are not afraid to give you advice on reasonable improvements that would give you more saleability and, at the end of the day, a better selling price.

Another important factor that can only come from experience, in the first month of marketing it will become very clear to a vendor just what the market thinks of their property. It is a common fault in agency, lack of communication, which Dudley Singleton & Daughter will not tolerate.

It is our opinion that truth is always of paramount importance and truthful, constant feed-back and advice create not only a rapport and trust between agent and vendor, but will have the knock-on effect of a proposed purchaser and applicant feeling confident to trust the information and help that Dudley Singleton & Daughter will give when they open negotiations to purchase a property. This combination of factors inevitably leads to a sale at the fullest possible price in the prevailing market.

We are, after all, a family firm with nearly 35 years of trading from the same office in Pangbourne, a dedicated team of mature professionals who know their business, Dudley Singleton, Katherine Singleton, Lesley Beardsley, Jane Harms, Audrey Walton. No badly trained youthful staff here, no patronising pompous attitudes, no large egos here that overshadow the care and consideration for both their vendors and their applicants. I know some agents who believe they are doing a vendor a favour taking on their property and selling their home and they believe themselves to be more important that either vendor or applicant almost to the extent sometimes both vendors and applicants when they ring those agents’ offices appear to be a bit of a nuisance. We are the opposite; our vendors are the most important people. However, we never forget to make absolutely certain that our applicants are also treated with the consideration and care they deserve, that is why we have been here for 35 years and that is why we are still instructed by clients we sold to 35 years ago.

We are in a service industry, we remind ourselves constantly of this fact and maintain an up to the minute, informed and professional attitude, coupled with care, which eases for both vendor and applicant the trauma of selling and buying.

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