17,087 Thanet Homeowners Miss Out Due to Estate Agents Overvaluing: How to Avoid This Costly Mistake

The Pitfalls of Overpricing in Thanet’s Property Market

If you’ve ever considered selling your Thanet home, you may have felt the temptation to list it at a higher price, hoping for a bigger payday. After all, who wouldn’t want to maximise the return on their largest tax-free investment?

However, this approach has a downside that many Thanet homeowners—and even some estate agents—overlook: the risks and costs associated with overpricing your property. Recent data shows that homes priced too high take much longer to sell and are far less likely to complete the sale successfully. Let’s dive into why correct pricing is essential to ensure a smooth and profitable sale for your Thanet property.

The Impact of Overvaluing: Longer Sale Times and Increased Risk

In recent years, the Thanet property market has seen a surge in home prices, leading to fierce competition among estate agents. During the peak of the market in 2021, many Thanet agents achieved top prices for properties, often receiving multiple offers in a matter of days.

However, some agents have resorted to overvaluing properties to secure listings, causing significant distress and delays for Thanet homeowners. When a property is priced too high, it doesn’t attract serious buyers, leading to long market times and often resulting in the home being withdrawn unsold.

Thanet Overvaluing Statistics Since 2019

• 2019: 62.3% of homes withdrawn unsold
• 2020: 53.1% of homes withdrawn unsold
• 2021: 37.6% of homes withdrawn unsold
• 2022: 46.9% of homes withdrawn unsold
• 2023: 66.6% of homes withdrawn unsold
• 2024 YTD: 64.7% of homes withdrawn unsold

Since 2019, 17,087 Thanet homeowners who placed their property on the market have withdrawn their homes unsold, many due to overvaluing.

The Importance of Correct Pricing

If you list your home at a fair market value, you’ll likely attract more serious buyers, reducing the time it spends on the market and increasing the likelihood of a successful sale. Recent research shows that homes selling within 25 days have a 94% chance of completing, whereas those on the market for over 100 days have only a 56% chance of exchanging.

Why Do Estate Agents Overvalue?

Estate agents might overvalue to secure listings, especially under pressure to achieve high sales volumes. While this may win the listing initially, it can lead to frustration for the homeowner when the property fails to sell at the inflated price.

Tips for Accurate Pricing

1. Get Multiple Valuations: Don’t rely on one opinion. Ask several Thanet estate agents to value your home and compare their suggestions.

2. Research Comparable Sales: Look at similar properties in your area that have recently sold to gauge realistic pricing.

3. Understand Market Conditions: Ensure your valuation reflects current market trends rather than past highs.

4. Work with a Trustworthy Agent: Choose an agent with a reputation for honest valuations to avoid the overvaluing trap.

Final Thoughts

Overvaluing might seem tempting, but it often leads to longer sale times and decreased chances of completion. By pricing your Thanet home accurately, you can increase your chances of a smooth and profitable sale. Reach out to Cooke & Co for an honest valuation and guidance on selling your property effectively.

About Cooke & Co

Cooke & Co has been providing estate agency services in Thanet since 1992, covering Margate, Broadstairs, Ramsgate, and surrounding areas.

Contact us:

• Margate Office: (01843) 231833
• Ramsgate Office: (01843) 851322
• Broadstairs Office: (01843) 600911

Visit our website at www.cookeandco.com or email us at enquiry@cookeandco.com.