Discussion:
Selling a house in Scotland
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DerekF
2016-12-01 00:22:54 UTC
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As I no longer live in Scotland I am not up to date on the the way the
property market now works. A friends widow is confused about information
she has been given by different people on selling her marital home. Much
of it seems to be due to new rules brought in by the SNP. She believe
that more new rules started yesterday on November 30th.
She has been to estate agents and lawyers who all tell her that they
have a £1000 upfront fee and she believes that if she appoints more than
one estate agent (can you do that in Scotland ?) each would also get
separate Home Report costing £400.
For her husbands estate it was valued at £500K. The property a bungalow
was probably built in the late 1920's has been neglected in recent years
but is in a great location and has great potential and has a huge
sloping garden that is around half an acre. The original owner had
returned from India and had it built to his own design with a large
veranda looking over the garden to the Pentlands. As a result the house
is the 'wrong way round' to the road with the front door on the veranda
but they use a door at the side of the house.
It is one of a kind in the area so there is nothing to compare it on the
the market for past sales. When they bought it in the 1950's it was
quite secluded but new builds have taken that away. She says that her
fences now adjoin seven other properties. If a nature lover a new owner
could observe badgers and foxes going about their business.
In the past they had been approached by developers who made silly offers
to buy it or just the garden. Estate agents recently have only valued it
a just over £300K and she says that an SNP tax makes houses worth more
than that impossible to sell. They tell her that it is not suitable for
development as it lies slightly below street level and because of the
slope.
I have suggest that she uses a property auctioneer to market it.
Derek
Julian Bradfield
2016-12-01 08:35:02 UTC
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Post by DerekF
She has been to estate agents and lawyers who all tell her that they
have a £1000 upfront fee and she believes that if she appoints more than
Five seconds with Google turns up agents who offer the option of no
upfront fee.
Post by DerekF
one estate agent (can you do that in Scotland ?) each would also get
separate Home Report costing £400.
No. The seller provides the Home Report. How they get it is up to
them.
Post by DerekF
to buy it or just the garden. Estate agents recently have only valued it
a just over £300K and she says that an SNP tax makes houses worth more
than that impossible to sell. They tell her that it is not suitable for
In Scotland, the 10% marginal rate of property purchase tax kicks in at
£325k, instead of £925k in England, so there is a significantly
higher tax on mid to high value properties. But "impossible to sell"
seems exaggerated, since in much of central Edinburgh most properties
are well over that. The outskirts have always been cheaper, and there
probably is a threshold effect at 325, but you can find plenty of much
more expensive properties for sale.
DerekF
2016-12-01 11:06:22 UTC
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Post by Julian Bradfield
Post by DerekF
She has been to estate agents and lawyers who all tell her that they
have a £1000 upfront fee and she believes that if she appoints more than
Five seconds with Google turns up agents who offer the option of no
upfront fee.
Post by DerekF
one estate agent (can you do that in Scotland ?) each would also get
separate Home Report costing £400.
No. The seller provides the Home Report. How they get it is up to
them.
Post by DerekF
to buy it or just the garden. Estate agents recently have only valued it
a just over £300K and she says that an SNP tax makes houses worth more
than that impossible to sell. They tell her that it is not suitable for
In Scotland, the 10% marginal rate of property purchase tax kicks in at
£325k, instead of £925k in England, so there is a significantly
higher tax on mid to high value properties. But "impossible to sell"
seems exaggerated, since in much of central Edinburgh most properties
are well over that. The outskirts have always been cheaper, and there
probably is a threshold effect at 325, but you can find plenty of much
more expensive properties for sale.
Exactly what I have been telling her about house prices. She has got a
bee in her bonnet with things she reads and is told.
Can she put it with more than one estate agent? Here in England
neighnours have them with several if the prove difficult to sell.
Derek
Julian Bradfield
2016-12-01 12:36:43 UTC
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Post by DerekF
Can she put it with more than one estate agent? Here in England
neighnours have them with several if the prove difficult to sell.
I can't imagine that there's any law preventing it, and indeed surely
competition law would prevent it, but whether you can find an agent
who will agree to do it is another matter.
Last time I sold a house in England, the agent we used would allow
shared agency, but would charge a higher fee for it. Since the local
market was hot, there was no need.
DerekF
2016-12-01 17:39:43 UTC
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Post by Julian Bradfield
Post by DerekF
Can she put it with more than one estate agent? Here in England
neighnours have them with several if the prove difficult to sell.
I can't imagine that there's any law preventing it, and indeed surely
competition law would prevent it, but whether you can find an agent
who will agree to do it is another matter.
Last time I sold a house in England, the agent we used would allow
shared agency, but would charge a higher fee for it. Since the local
market was hot, there was no need.
I have sold my three flats/houses without using an estate agent, two in
Edinburgh and one in Surrey. I just used a solicitor for the legal part.
Derek
August West
2016-12-01 18:02:53 UTC
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Post by DerekF
I have sold my three flats/houses without using an estate agent, two
in Edinburgh and one in Surrey. I just used a solicitor for the legal
part.
Most houses in Edinburgh are sold by (ESPC) solicitors, and not estate
agents, anyway.
--
always find a way to get happy somehow
DerekF
2016-12-01 22:25:46 UTC
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Post by August West
Post by DerekF
I have sold my three flats/houses without using an estate agent, two
in Edinburgh and one in Surrey. I just used a solicitor for the legal
part.
Most houses in Edinburgh are sold by (ESPC) solicitors, and not estate
agents, anyway.
She has been in there and tried to get some advice evidently without
success but presumably that is not their function.
Derek
August West
2016-12-01 22:36:07 UTC
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Post by DerekF
Post by August West
Post by DerekF
I have sold my three flats/houses without using an estate agent, two
in Edinburgh and one in Surrey. I just used a solicitor for the legal
part.
Most houses in Edinburgh are sold by (ESPC) solicitors, and not estate
agents, anyway.
She has been in there and tried to get some advice evidently without
success but presumably that is not their function.
Yes, that's not their function. The shop on George St is just a shop
window for the properties for sale by the memeber solicitors, not a
place to get advice or recomendations. They'e there for buyers, not
sellers.
--
while the springtime turned slowly into autumn
August West
2016-12-01 13:01:56 UTC
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Post by Julian Bradfield
In Scotland, the 10% marginal rate of property purchase tax kicks in at
£325k, instead of £925k in England, so there is a significantly
higher tax on mid to high value properties.
But, because LBTT is marginal, it has a far less significant disotring
effect on pricing, compared to the old SDLT slab system - where you paid
5% of the entire purchase price if it was even a pound over £250,000.

So, SDLT on a 3£25k property would have been £16,250, whereas LBTT on
the same property would be just £5,850. So, in fact, it's more salable
now.
--
That's just, like, fruity jazz bands
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