Kings Leading The Way In The Property Price Reduction Arena
The Kings Group has recently undergone negotiations with many of their vendors to reduce asking prices, in an attempt to create more interest from applicants and to stimulate the subdued housing market. Part of this initiative is to put new boards on properties with the vendor’s consent, showing that the price has recently been reduced. This has met with a degree of success, and many vendors are now seeing the benefits of not only reducing the asking price to a more realistic figure, but to actually advertise the fact that they have done so. Karl Knipe, Senior Partner at Kings Group, Commented on the move, “It struck me that vendors are often aware that the price may be a little high, but it is often difficult to get them to move, bearing in mind that many of them have never seen a market, where house prices are moving downwards. The vendor’s perception of many agents is that we always want to get them to reduce prices, but many agents don’t justify or rationalise this. By being pro active, our objective was to sell the idea of a well publicised price reduction in an attempt to increase viewings on their house. After all, once explained that they too would benefit from this objective by hopefully getting a reduction on their onward purchase, it makes sense to them.” Several of the new boards have now been erected, and there has been a definite increase in viewings as a direct result of this. Karl’s final words were, “A market with prices holding up is one thing, but if there is no activity, no one in the industry can make a decent living! "This marker is all about making things happen, and not about sitting and waiting for it to turn. We have to try new initiatives and ideas to show our clients that we are working in their best interest in this difficult period." Article from November edition of Estate Agency
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