How to Evaluate a Luxury Property Beyond the Asking Price

At the top of the market, comparable evidence thins quickly. Two houses on the same street can justifiably differ by forty per cent, and the reasons are rarely visible in the particulars.

Start with what cannot be changed

Position, aspect, ceiling height, floorplate and outlook are fixed. Finishes, kitchens and bathrooms are not. Weight your assessment accordingly — buyers habitually overpay for the reversible and under-price the permanent.

Then price the work

Obtain a realistic cost for any intended works before offering, including professional fees, consents and a contingency. On listed or structurally complex properties, the difference between an estimate and a tendered figure is often the entire negotiation.

Finally, test the exit

Ask who the next buyer is. If the answer requires a very specific person, the property carries liquidity risk that should be reflected in the price you pay today.