Pressure does funny things to people. The most competent and level-headed people can suddenly lose complete control of their faculties. The most obvious examples are often seen in sport. As you are probably aware by now, I am a huge Arsenal fan and the FA Cup Final was a wonderful demonstration of how pressure can affect people.
If you don’t know we went 2-0 down within eight minutes and very nearly conceded a third within 12 minutes. This was against a team that we had soundly beaten two weeks before and who had not even provided a threat in our 3-0 drubbing of them in the league.
The difference between the two teams? Hull were the underdogs who were playing without pressure or fear. Meanwhile, the Arsenal team were supposed to be the runaway favourites. However, numerous capitulations in league and cup competitions in recent years meant that we had not won any trophies for nine years. The weight of expectation told in those first fifteen minutes until we scored. In fact the whole match, from my perspective was one of gut-wrenching nerves and agony until we finally won in extra-time. Basically, it was a wonderful result but horrible experience.
Buying a property in London can also be a pressurised experience.
There are a number of factors that can cause pressure and stress when buying a home in London. One of the most common complaints of buyers about estate agents is that they feel the agents try to apply unfair pressure. If you have been looking for any length of time you will have undoubtedly heard an agent say: “if you are interested I suggest you offer as there is lots of interest in this property” or you may even receive an email with the details of a new property that reads: “Early viewing recommended as this is bound to sell quick” or other painful variations on the theme.
So what can you do to ensure that you do not make a poor decision due to pressure?
The first thing to do is take a step back- Review the property and ask yourself how well it matches your requirements. You may also want to ask the agent what “interest” they have had. Even better,ask them how many offers they have had. You may quickly discover that the interest has not actually led to any offers i.e. “interest” often really means absolutely nothing.
Secondly, do your research. Is the property fairly valued? How many other buyers do you know are looking for a similar home to you? How rare is this type of property? This last question is very important. If the property is rare or unique then it will probably command a premium and you need to factor this into your calculations on value. BUT PLEASE NOTE, most properties are not as unique as the agents would have you believe…
Thirdly, work out what the property is actually worth to you and then develop a negotiation strategy using all the information you have mustered. This may simply involve you politely advising the agent that the property is not right for you and wishing them luck with the sale (but monitor the property to see what actually happens). Alternatively you may conclude that the property is worth 10% less than the asking price and that you will wait to make an offer.
Whatever you do, the key is to not get caught up in the “pressure”. It is manufactured and ultimately even if the property sells quickly, you will live to buy another one. Having said that, you do need to have good knowledge of your target market, so that you can make a quick, informed decision when the time arises. If you do not have this knowledge then you will miss out to someone who does when the good opportunities arise. This will lead to frustrations which in turn will lead to a poor decision at a later date.
So if you would like to dramatically improve your chances of buying your ideal home or investment on the most favorable terms possible, then you get in touch with us now.