Date published: 01.09.08 - not release date

Why a neighbour's car can wipe tens of 1000's off YOUR house price

Property vroom - Why a neighbour's car can wipe tens of 1000's off YOUR house price -

Homeowners who have repainted the hallway, landscaped their garden and
transformed their bathroom in the hope of a profitable sale have one thing
out of their hands that could lose them a sale – their neighbour's car!

That clapped out old car parked next door is more than just an eyesore.
According to estate agents estimates when it comes to selling your own home
it can cost you a fortune, wiping off an average of 5.5% - or tens of
1000's of pounds – off the true value of a house.

Losing 5.5% of the value of your property is equivalent to £10,170 off the
average UK house price (£184,924) or £32,400 off the average price of a
detached house in Greater London (£589,590)*.

The survey of 120 UK estate agents by Network Q, the UK's number one used
car retailer, reveals that an unsightly old car can also knock 4% off the
value of nearby residential properties – that's potentially 100's off
1000's of pounds wiped off property value by a single £500 car!

Should you happen to be the owner of the car in question – an old car you
couldn't bring yourself to part with or haven't got around to disposing of –
estate agents say it prevent many buyers from looking at your house and
knock 8% off the true value.

Network Q also asked 1,600 UK homeowners the same question about the impact
of an old banger when viewing a neighbouring house:

- 35% of prospective buyers would refuse to bid simply because a neighbour's
old banger gave off the wrong signals
- 37% of prospective buyers would place a lower bid because of the car
- 11% of prospective buyers would drop their bid by more than 10% of the
sale price because of the car

Estate agents also revealed how:

- A client hid his car and borrowed a friend's newer car to help make a sale
- Smart homes neighbouring a teenage repair fanatic couldn't be sold
- One house had five old cars parked on the driveway and it reduced the
value by 25%
- Caravans and mobile homes also have negative impact on the value of
surrounding houses

According to Richard Hughes of Network Q, 'A person with a poorly maintained
or shabby car can give off all the wrong signals to someone looking at their
home or a neighbouring property. It also goes to show that sometimes a quick
and easy sale is sometimes out of your own hands.

'If your car is on its last legs, upgrade to a newer model and you'll not
only improve your driving pleasure, but as these findings prove, have the
peace of mind that you'll save yourself a fortune when it comes to selling
your house.'

- ends –

For further info or comment on this story, contact the Network
Q Press Office on 020 7684 6969 or networkq@cowpr.com

Note to editors:

*Average house prices according to Office of National Statistics, August
2005.

Income differentiation

One in two people on an individual income of £100,00+ would refuse to bid
for a house with a old banger next door, otherwise the average level of
around 33- 36% remained constant across income bands.

Regional differentiation

Northern Scotland is the region where home-buyers are most bothered by the
presence of an old banger, with 45% refusing to bid given its presence. The
most unbothered by bangers was Yorkshire on 24%.

% of home owners who would not put a bid in for a house with an old banger
parked next door:

Northern Scotland - 45%
Central Scotland - 42%
East England - 41%
Lancashire - 40%
Wales and West - 39%
South West - 38%
South East - 37%
Midlands - 36%
London - 33%
North East - 30%
Yorkshire - 24%