Topic: The 'Eeeek...buying/saving for a house' thread

[Drinks Sangria]

Cheers for all the well-wishes, it's appreciated. Hopefully we'll hear one way or the other, this week.

I would never buy a property without a full survey.  Costs about £500. 

Absolutely - especially at present. Although it's not as bad as it was 6 months ago, there's still lots of sales falling through. One of the big reasons is lenders not willing to lend on a property that the surveyor has valued at way off what's been offered by the buyer.

A couple I know offered £240,000 on a house that the seller bought for £180,000 in 2018 and hadn't done anything too. Listed at £240,000 too. The Survey came back valuing the house at £210,000 and it's looking like it's about to fall through due to the wild swing in valuation and seller's expectation.

[Drinks Sangria]

Update - we didn't get the barn. My partner was very disappointed, I was a little but am at peace with it now, I just didn't love it enough to match the other couple's offer, even though we could have done.

In the end, they played us and another couple off. We are no chain so they would have preferred us, but the other couple must have been panicked by the estate agent into meeting the ridiculous listing price. We upped out bid slightly, but then were gazumped and given the opportunity to match the other couple's offer, but we declined. It wouldn't have been sensible to just keep throwing more money at it.

We start looking again.

[reddebs]

Had word today that we should complete on the 23rd June.  A month later than estimated at the sale agreement but it's all good as we weren't in any rush for the cash.

[reddebs]

Update - we didn't get the barn. My partner was very disappointed, I was a little but am at peace with it now, I just didn't love it enough to match the other couple's offer, even though we could have done.

In the end, they played us and another couple off. We are no chain so they would have preferred us, but the other couple must have been panicked by the estate agent into meeting the ridiculous listing price. We upped out bid slightly, but then were gazumped and given the opportunity to match the other couple's offer, but we declined. It wouldn't have been sensible to just keep throwing more money at it.

We start looking again.

As I'm sure everybody's already said "it wasn't meant to be as something better is waiting for you".

[The G in Gerrard]

Has anyone or known of anyone that has followed the shared ownership route to get a property? Do they regret it? Think it was the best thing for them at the time?

[Slippers]

Update - we didn't get the barn. My partner was very disappointed, I was a little but am at peace with it now, I just didn't love it enough to match the other couple's offer, even though we could have done.

In the end, they played us and another couple off. We are no chain so they would have preferred us, but the other couple must have been panicked by the estate agent into meeting the ridiculous listing price. We upped out bid slightly, but then were gazumped and given the opportunity to match the other couple's offer, but we declined. It wouldn't have been sensible to just keep throwing more money at it.

We start looking again.

That's a pity,especially if your partner had her heart set on the place.

Better luck next time.

[Drinks Sangria]

Cheers for the kind words. A few have popped on the last couple of days so we're going to view two this weekend. It's not the end of the world if we have to stay at my house for another year or so, it would just be nice to take that next step as we're ready.

Has anyone or known of anyone that has followed the shared ownership route to get a property? Do they regret it? Think it was the best thing for them at the time?

A colleague's mother went down this route with a newbuild bungalow, paying £115k for 40% ownership. She most definitely regretted it. You're paying rent on the portion you don't own, whilst not having the ability to easily move out should the service charges or the rent become untenably expensive. After the developer who owned the 60% of her property decided to stick an extra £100 a month on the rented portion after one year, she tried to buy a greater portion of the house from them, but they wanted an exorbitant fee that didn't correspond at all with the percentages set forth when the property was purchased. She ended up selling after a real tangle with the other owner and losing money on it. She also had to pay stamp duty as if she was purchasing the entire property - which should only be the case if you're buying 80% or more.
You typically find that on new builds, you're paying more than the percentage you're given if you were weighing it against what the value of the whole property would be on the open market.

Shared ownerships are currently being investigated by the Tribunals Service as they're not seen as a viable alternative to affordable housing. Ultimately, it will cost more than going for a standard house if it's a long term thing, but timing it right could net you an appreciating asset that offsets the increased cost of paying a mortgage, rent and ground charges.

I'd say off the top of my head though, that as long as you're not dealing with unscrupulous types such as the above, you can drop on to a better situation than renting, it gives you more security long term and an asset and you have the option of staircasing with a lot of new builds where you have the opportunity to increase your share over time. 

It also gives you access to nicer homes in better areas than you may be able to afford if you were going for a full house purchase, which is surely the main draw. I really think it depends on the individual and their circumstances. There's clear risks but also some pretty good pros to it too.

Hope this helps you and doesn't muddy the waters too much!

[Drinks Sangria]

Saga continues - two properties have popped on that we're very interested in. One is 'Offers in Excess Of' and we have viewings on both tomorrow first on one, second on the other). They both look excellent for different reasons - one is really high-end inside and is high up with an incredible view, but is smaller and in a slightly worse area. The other is bigger, in a nicer village £30k cheaper (at least) but needs reconfiguring inside and has no view other than other houses in the culdesac. The cheaper one has actually been on a while and has just been dropped by £10k for the second time. I don't think this reflects the house, more that other similar houses sold for the price it's now been reduced to.

Given the speed things are moving at - could do with some advice. *If* we liked both, would it be unfair to offer on them both? I'm personally tempted to. Given the one has incredible views and is eye-catchingly modernised inside, I think it could easily go to best and final. We'd like to think we'd be in the conversation but we both believe it likely that it'll probably go for somewhere in the region of £15k - £20k more than it's listed for. The other one, I don't know that we'd have a free run at it but I do think there'd be less competition and we could get it much cheaper than the house with the view.

My idea would be to offer on both, knowing we'd probably get the cheaper one and that we probably won't be the ones who can bid highest on the house with the view. If somehow both were accepted, we would make a decision and withdraw from one. Morally reprehensible given the shortage of homes and the competition for them? It does feel a bit twattish but I don't think we'd have the largest offer on one house and it would be nice to have the option of the other still there. Thoughts? Anyone done similar?

[Welshred]

The sellers and agents acting on their behalf will always do the selfish thing for themselves mate and you need to do it for you too. I'd not worry about withdrawing if you get an offer accepting on both houses, do what you think is right for you.

Imagine you decide not to put an offer in on one, get rejected on the other and by the time you've gone back to the first house its off the market and you miss out on both - especially if you like both of them!

[The G in Gerrard]

Cheers for the kind words. A few have popped on the last couple of days so we're going to view two this weekend. It's not the end of the world if we have to stay at my house for another year or so, it would just be nice to take that next step as we're ready.
A colleague's mother went down this route with a newbuild bungalow, paying £115k for 40% ownership. She most definitely regretted it. You're paying rent on the portion you don't own, whilst not having the ability to easily move out should the service charges or the rent become untenably expensive. After the developer who owned the 60% of her property decided to stick an extra £100 a month on the rented portion after one year, she tried to buy a greater portion of the house from them, but they wanted an exorbitant fee that didn't correspond at all with the percentages set forth when the property was purchased. She ended up selling after a real tangle with the other owner and losing money on it. She also had to pay stamp duty as if she was purchasing the entire property - which should only be the case if you're buying 80% or more.
You typically find that on new builds, you're paying more than the percentage you're given if you were weighing it against what the value of the whole property would be on the open market.

Shared ownerships are currently being investigated by the Tribunals Service as they're not seen as a viable alternative to affordable housing. Ultimately, it will cost more than going for a standard house if it's a long term thing, but timing it right could net you an appreciating asset that offsets the increased cost of paying a mortgage, rent and ground charges.

I'd say off the top of my head though, that as long as you're not dealing with unscrupulous types such as the above, you can drop on to a better situation than renting, it gives you more security long term and an asset and you have the option of staircasing with a lot of new builds where you have the opportunity to increase your share over time. 

It also gives you access to nicer homes in better areas than you may be able to afford if you were going for a full house purchase, which is surely the main draw. I really think it depends on the individual and their circumstances. There's clear risks but also some pretty good pros to it too.

Hope this helps you and doesn't muddy the waters too much!

Cheers. Had some friends go via this route and just doesn't appeal to me. Think it'd cause issues further down the line if selling up ever.

[AndyMuller]

Wouldn’t recommend shared ownership to anybody to be honest. Never done it myself but having acted for the purchaser in a couple of shared ownership matters, it’s enough to put anybody off.

[The G in Gerrard]

Yep. I don't think this offer for first time buyers where they can buy and sell property under market value is a great thing either.

[LiamG]

Might be going to view my first houses this week and i am a nervous wreck haha

Any tips for viewing?

[reddebs]

Might be going to view my first houses this week and i am a nervous wreck haha

Any tips for viewing?

Look beyond what's there.

Ignore colour schemes, furniture and "their" stuff as it's rarely to your taste. 

Instead look at room sizes, the layout, how busy the road is, how overlooked you are and can you grow with it if your circumstances change in the near future.

Basically all the things you can't change that will effect your quality of life living there.

[CraigDS]

Don’t forget to check out the neighbours too - are the front of their houses / driveway well kept? Are their gutters sprouting mini forests? Etc.

[reddebs]

Don’t forget to check out the neighbours too - are the front of their houses / driveway well kept? Are their gutters sprouting mini forests? Etc.

Ooh good points!

[stewy17]

We got our mortgage offer confirmed last week, homebuyer report is done and now the only thing outstanding is the fucking surveys. Currently due to come in >7 days before the end of the stamp duty holiday and any delays will mean we'll lose about £13k. No biggie 

I know it's part and parcel of buying a place, especially down in London where I'm now based, and that I'm lucky to even have the chance at making the saving but now that it's only the searches standing between us and completion it's got me on tenterhooks.

We're lucky to have budgeted well for it and have the cash set aside but will be a lovely bonus if it goes through.

[Drinks Sangria]

The sellers and agents acting on their behalf will always do the selfish thing for themselves mate and you need to do it for you too. I'd not worry about withdrawing if you get an offer accepting on both houses, do what you think is right for you.

Imagine you decide not to put an offer in on one, get rejected on the other and by the time you've gone back to the first house its off the market and you miss out on both - especially if you like both of them!

Cheers mate, we have only offered on the one in the end, we really quite like it and the other one that looked great on photos probably needed £30k+ spending on it, so is a no go as we don't want to restrict our lifestyle too much by spending every penny we earn on building work. Waiting to hear back from the one we've offered on, it went on the market Wednesday, they had showings all day Thursday, Friday and Saturday (in 15 minute blocks - there was a couple looking round when we got there eating into our slot, then another couple showed up before our slot was finished) so I suppose it'll go to best and final today. The couple selling are not in a chain as they're building their own house on some parcel of land they've bought, I'm hoping us not needing to sell will be an attractive point to them.

Might be going to view my first houses this week and i am a nervous wreck haha

Any tips for viewing?

I can't add too much more than what Craig and Deb have said - look beyond what's physically there and look for anything worrying structurally - deep cracks in walls/ ceilings, look at corners and walls for any damp patches or gaps that might need attention. Look at ceilings for any sag or damp patches, as well as the areas around windows. It seems picky but these are expensive things to fix if there's issues. Also have a look at the roof if you can see a reasonable amount of it before you walk in the house, and from the rear, to see if there's missing tiles/ damaged tiles, damaged facias etc or any of the flashing coming away around the chimney. These are obviously much harder to look at without a pair of ladders

These are things that can indicate big issues, expensive issues or future issues that could occur, so just be wary! 

[LiamG]

Cheers guys for the tips! got 2 viewings tomorrow straight after each other and dragging a mate along, 2 pairs of eyes better than one i hope!

[CraigDS]

Not buying but after advice on what others would do renting wise....

We’re moving out of the city and into a house and for the area we’re looking at and size/style of house there is next to fuck all available and when there is there is a massive amount of interest.

We already missed out on one place even though we rang an hour after it went on the market to get a viewing a few days later. Someone fucker knocked on the door, got shown around by the owner and put the deposit down.

We’ve seen somewhere else and been pushing and pushing for a quick viewing. Managed to get one for Thurs afternoon but she let on there was a lot of interest and we were at least the 3rd viewing she’d be doing that day.

Now we know the area and the layout of the property (I got recent plans from an extension), but the newest pics we have seen are from 3yrs ago so not sure on the current condition.

Do we run the risk and put a deposit down unseen and hope that it’s all ok (I’m happy doing some decorating, but it’s mainly floorings which would be the issue) or run the risk of waiting until the viewing?!

[clinical]

I would never buy a property without a full survey.  Costs about £500.

Go for full survey or nothing. The cheaper options are usually a waste of time imo if you know what to look for. I mean they see what you can see. Better off buying a moisture meter off amazon for £20 and doing that bit yourself.

[El Lobo]

Not buying but after advice on what others would do renting wise....

We’re moving out of the city and into a house and for the area we’re looking at and size/style of house there is next to fuck all available and when there is there is a massive amount of interest.

We already missed out on one place even though we rang an hour after it went on the market to get a viewing a few days later. Someone fucker knocked on the door, got shown around by the owner and put the deposit down.

We’ve seen somewhere else and been pushing and pushing for a quick viewing. Managed to get one for Thurs afternoon but she let on there was a lot of interest and we were at least the 3rd viewing she’d be doing that day.

Now we know the area and the layout of the property (I got recent plans from an extension), but the newest pics we have seen are from 3yrs ago so not sure on the current condition.

Do we run the risk and put a deposit down unseen and hope that it’s all ok (I’m happy doing some decorating, but it’s mainly floorings which would be the issue) or run the risk of waiting until the viewing?!

Can't have changed THAT much in three years, right?

[CraigDS]

Can't have changed THAT much in three years, right?

That's my thinking. I mean it had all new bathrooms and kitchen back then, and looks like new carpets, etc as it was extended and the existing layout changed slightly. Like I'm not arsed if the walls are all shite and need decorating, I'm likely going to do that anyway, so is mainly if the carpets are trashed and I've then got to argue with the landlord to try and get them replaced. I can't see that being the case though.

[Drinks Sangria]

So we offered on the property we liked that we viewed at the weekend, and we didn't get it. Third time not so lucky! We're going to give it a bit of an enforced break now because there's nothing on the market we'd consider. It's bizarre in our area, the only things for sale are £100k flats and terraces, then basically nothing until you're talking the massive £800k - £1m+ pads in the nicer villages.

It was one of the odder processes we've been involved in. We saw on Friday night, bid Saturday lunchtime and were told that they'd come back to us when they'd given the vendor the offer. Yesterday lunch time, I get a call saying we'd been unsuccessful and they'd accepted another bid. I said well I would like to increase my offer - I wasn't ever advised our first bid had to be best and final - and the estate agent literally said to me 'they've accepted an offer higher than yours and instructed us not to take any further offers. Normally we'd tell a client keep pushing the bids up and see how much you can get, but we've had to advise them that if the bidding goes any higher, the sale will fall through because it won't be valued at the agreed fee at survey. We don't want it getting out of hand.'

Never heard that one before!

A bit annoyed as we clearly weren't going to offer our best for our first offer, you expect some back and forth. We could've gone another £15k to £20k higher but never had the opportunity. It may be for the best if they're thinking it simply isn't worth those amounts, but based on the market at present and what comparable homes in the area have been sold for, I think it was priced about right. Strange times.

[stewy17]

So we offered on the property we liked that we viewed at the weekend, and we didn't get it. Third time not so lucky! We're going to give it a bit of an enforced break now because there's nothing on the market we'd consider. It's bizarre in our area, the only things for sale are £100k flats and terraces, then basically nothing until you're talking the massive £800k - £1m+ pads in the nicer villages.

It was one of the odder processes we've been involved in. We saw on Friday night, bid Saturday lunchtime and were told that they'd come back to us when they'd given the vendor the offer. Yesterday lunch time, I get a call saying we'd been unsuccessful and they'd accepted another bid. I said well I would like to increase my offer - I wasn't ever advised our first bid had to be best and final - and the estate agent literally said to me 'they've accepted an offer higher than yours and instructed us not to take any further offers. Normally we'd tell a client keep pushing the bids up and see how much you can get, but we've had to advise them that if the bidding goes any higher, the sale will fall through because it won't be valued at the agreed fee at survey. We don't want it getting out of hand.'

Never heard that one before!

A bit annoyed as we clearly weren't going to offer our best for our first offer, you expect some back and forth. We could've gone another £15k to £20k higher but never had the opportunity. It may be for the best if they're thinking it simply isn't worth those amounts, but based on the market at present and what comparable homes in the area have been sold for, I think it was priced about right. Strange times.

That's bizarre mate but perhaps the winning bid was so high that they just didn't expect anyone reasonable to get near. That happened to us once or twice when we weren't even asked for last and final offers, so thought we'd been successful or only bidder, only to find out the next day that someone offered £80k more than us. If they were saying the value might not get approved by mortgage company then I'm guessing the winning offer was idiotic.

[Jwils21]

Cheers guys for the tips! got 2 viewings tomorrow straight after each other and dragging a mate along, 2 pairs of eyes better than one i hope!

Best of luck, as someone who's currently going through the purchase process for the first time my advice would be to see a few - even if you have no interest whatsoever - just so you have a comparable. Mistake we made was getting our hearts set on the very first place we viewed, which in the end went for 15k over it's value. In the end the house we're now going through the motions with ticks far more boxes and is much better value. Fingers crossed for the valuation now...

I'd also say make sure you keep your house (pun slightly intended) in order as much as you can. If people are waiting on documents, ID's, payments etc make sure you keep on top of them. Hold ups are frustrating but at least you'll then have the peace of mind that you've done all you can.

Looking past the current decor is difficult. As long as the main bits are okay (kitchen & bathroom) or within your means to replace, don't pay too much attention to wall and floor coverings. It's an expense to change them, but it's about weighing up what would need immediately sorting and what's a "nice to have" longer down the line.

Best of luck!!

[clinical]

So we offered on the property we liked that we viewed at the weekend, and we didn't get it. Third time not so lucky! We're going to give it a bit of an enforced break now because there's nothing on the market we'd consider. It's bizarre in our area, the only things for sale are £100k flats and terraces, then basically nothing until you're talking the massive £800k - £1m+ pads in the nicer villages.

It was one of the odder processes we've been involved in. We saw on Friday night, bid Saturday lunchtime and were told that they'd come back to us when they'd given the vendor the offer. Yesterday lunch time, I get a call saying we'd been unsuccessful and they'd accepted another bid. I said well I would like to increase my offer - I wasn't ever advised our first bid had to be best and final - and the estate agent literally said to me 'they've accepted an offer higher than yours and instructed us not to take any further offers. Normally we'd tell a client keep pushing the bids up and see how much you can get, but we've had to advise them that if the bidding goes any higher, the sale will fall through because it won't be valued at the agreed fee at survey. We don't want it getting out of hand.'

Never heard that one before!

A bit annoyed as we clearly weren't going to offer our best for our first offer, you expect some back and forth. We could've gone another £15k to £20k higher but never had the opportunity. It may be for the best if they're thinking it simply isn't worth those amounts, but based on the market at present and what comparable homes in the area have been sold for, I think it was priced about right. Strange times.

I thought it was a legal duty of the agent to pass on any offers. There shouldn't be anything stopping you putting another offer in and that being passed onto the current owners. It's up to them if they accept or not and take the risk of it falling through.

[stewil007]

Looking past the current decor is difficult.

When my wife and I were looking, this was the biggest problem we had, there were some fantastic opportunities but because of dated or garish décor and in one instance, the smell of wet dog, we passed those up (well I didn't, but wifey was having none of it)

[Jwils21]

When my wife and I were looking, this was the biggest problem we had, there were some fantastic opportunities but because of dated or garish décor and in one instance, the smell of wet dog, we passed those up (well I didn't, but wifey was having none of it)

We looked at a house with Disney stickers on all the walls, a house with a corded telephone (without the reciever) drilled into the bedroom wall and another with glittery cladding on the bathroom walls.

[El Lobo]

I thought it was a legal duty of the agent to pass on any offers. There shouldn't be anything stopping you putting another offer in and that being passed onto the current owners. It's up to them if they accept or not and take the risk of it falling through.

and the estate agent literally said to me 'they've accepted an offer higher than yours and instructed us not to take any further offers. Normally we'd tell a client keep pushing the bids up and see how much you can get, but we've had to advise them that if the bidding goes any higher, the sale will fall through because it won't be valued at the agreed fee at survey

[clinical]

Point still stands. Said they'd go another £15k/£20k higher. It's a legal requirement of the agent to pass on any offer until exchange of contracts. The extra money may mean they'd take the risk of it falling through after all. I'm sure money on the table has changed people's stances before.

[Drinks Sangria]

I thought it was a legal duty of the agent to pass on any offers. There shouldn't be anything stopping you putting another offer in and that being passed onto the current owners. It's up to them if they accept or not and take the risk of it falling through.

Basically what Lobo just pasted above - the vendor basically closed off communication regarding any more offers. They did say they would keep our offer on file in case the other offer fell through and that we could increase our offer and then keep that on file, but I thought that was pointless, it would just mean us paying more if the prospective buyer's offer fell through.

That's bizarre mate but perhaps the winning bid was so high that they just didn't expect anyone reasonable to get near. That happened to us once or twice when we weren't even asked for last and final offers, so thought we'd been successful or only bidder, only to find out the next day that someone offered £80k more than us. If they were saying the value might not get approved by mortgage company then I'm guessing the winning offer was idiotic.

The market is getting wild if estate agents are actively advising vendors that it's getting out of hand. I'll be very interested in a few months to see what it went for - it won't be £80k more, that would be far too big a chunk of the property's value, but if you're in London/ South I can imagine that's not all that uncommon! I'm thinking yeah it must be bordering on a stupidly high offer. Can't compete with that and to be honest, I don't want to!

[Ziltoid]

One in the Fax, slight damage due to cultivating crops

https://metro.co.uk/video/lettings-agent-makes-property-tour-burnt-house-sale-2431905/?ito=vjs-link

[clinical]

Basically what Lobo just pasted above - the vendor basically closed off communication regarding any more offers. They did say they would keep our offer on file in case the other offer fell through and that we could increase our offer and then keep that on file, but I thought that was pointless, it would just mean us paying more if the prospective buyer's offer fell through.
The market is getting wild if estate agents are actively advising vendors that it's getting out of hand. I'll be very interested in a few months to see what it went for - it won't be £80k more, that would be far too big a chunk of the property's value, but if you're in London/ South I can imagine that's not all that uncommon! I'm thinking yeah it must be bordering on a stupidly high offer. Can't compete with that and to be honest, I don't want to!

Okay in that case it must be a legal requirement up until the vendor tells them not to. I was always under the impression they had to pass on any offers whatever.

[CraigDS]

Snip

Drove to it today, had a good look round outside and possibly peaked over the fence into the back garden. It looks well kept so from that assuming it won’t have been trashed inside.

Decided to just make an offer without viewing... they decided they won’t accept offers now without a viewing (even though we missed out on a place 2 weeks ago based on someone doing just that).

So we’re now having to wait until Thurs, hope one of the other two don’t say they want it, and then tick the box of saying we want it after viewing.

Like I saw.... estate agents are c*nts.

[reddebs]

Just had confirmation that we complete on the house next Wednesday 🎊🎉🥳🥂

[Jake]

Just had confirmation that we complete on the house next Wednesday 🎊🎉🥳🥂

Congrats hopefully it went as smooth as possible!

[Drinks Sangria]

Just had confirmation that we complete on the house next Wednesday 🎊🎉🥳🥂

Great news, congratulations 

Drove to it today, had a good look round outside and possibly peaked over the fence into the back garden. It looks well kept so from that assuming it won’t have been trashed inside.

Decided to just make an offer without viewing... they decided they won’t accept offers now without a viewing (even though we missed out on a place 2 weeks ago based on someone doing just that).

So we’re now having to wait until Thurs, hope one of the other two don’t say they want it, and then tick the box of saying we want it after viewing.

Like I saw.... estate agents are c*nts.

How's this progressed Craig?

[CraigDS]

How's this progressed Craig?

Viewing at 4.30 today. I’m about to go and hand in a completed application with all the required evidence so hopefully as soon as we view we can ring and pay the holding deposit.

There are two viewings in the hour before ours though, but she told us on the phone that they only accept a deposit with a completed application so I’m hoping none of them have that ready and we can get in there.

[The G in Gerrard]

Hopefully this isn't impossible to answer but seen a nice 3 bed home new build. If I'm to keep my current property for rent I would need to pay between 12 to 15k on stamp duty for second home (it's a flat which had depreciated in value unfortunately). Is offering less on the new home eg by 20 to 30k just going to be laughed at?