Estate agents feeding sellers "unrealistic expectations"

Posted: 12 Oct 2010 09:34:21 GMT

The property market is experiencing a standoff between the asking price and the amount buyers are willing to pay, it has been observed.

Ed Mead, director at Douglas and Mead, said sellers' hopes are too high because they "are being fed unrealistic expectations" by estate agents.

"The problem is because the trading volumes are so thin, an awful lot of agents are literally going out of business, so they are doing whatever it takes to get stock on their books," he noted.

Mr Mead explained the average selling price of a dwelling is £160,000, but the mean average value of an abode is £220,000, so there is quite a difference between what buyer's are expecting to pay.

He indicated asking prices are starting to come down, but in London fees are up because the capital is an international market that does not adhere to traditional trends.

The expert's comments follow the release of the latest John D Wood & Co index for prime central London property, which revealed a ten per cent rise in the past quarter and a 32 per cent increase in the last 12 months.
 

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