Parents bought me a house to rent and I hate it

[jamjarlife]

Fully prepared to get flamed here, NC for obv reasons.

I have 1 dc and I am married, I have rented my whole life and every year we struggle with rent increases, landlords deciding to sell and having to move etc. My parents have just retired and are fairly well off. They offered to buy a house in my city for me to rent from them. I didn't even know they'd started looking when they presented me with a house to view about 15 miles from where I was currently. I viewed it and liked it, area seemed fine and parents had done their research and decided it was a good area to invest in, good schools for dc etc. They proceeded. They spent 3 months re-decorating and sorting the house out and we moved in just after Christmas.

I hate it. I hate the area, I hate the traffic, I hate the (look) of the school my child would most likely go to, I just hate the whole feel of the place.

What do I do? I know its only been 2 months so perhaps I need to give it a better chance but honestly I miss where we used to live. AIBU?

Our situation is slightly different to yours.
We own a 2 bed first floor flat and my inlaws own several houses that they rent out. As our family grew, we needed more space so agreed to rent our one out and move into one of our in laws vacant properties. It seemed perfect on paper but then we found we didn't like the house or the road it was on. We stuck it out for 5 years as we had tenants in our property which were paying off our own mortgage. One of my in laws tenants gave notice on the largest of the rental properties in a better area with loads of room, a driveway for several cars and a large back garden. We asked to move over to that property. We moved in and love everything about it. To be honest, we liked it when they first bought it but that was before we had the children so it was too big for just the 2 of us at the time. We have agreed to purchase the house off them when we sell our own place at the end of our current tenants agreement.
I would say to firstly speak to your parents about the finance side of things. I am sure that they wouldn't have wanted to put you in a more difficult position money wise.
Secondly, see how the house goes throughout the next few months. Get a real feel of the area and the house. If it still doesn't work then or they haven't considered reducing your outlay, then start looking around at other rentals.

The parents are the big winners here. They have a stable reliable tenant, they don't have to pay a letting agency either to let it or to manage it, so they're actually clearing MORE than they otherwise would be letting it to the OP. While OP has no financial gain whatsoever. I wouldn't even trust the parents to be offering the security of tenancy that they claim they're offering.

My DD and her DH rent from her PILs. But it's at a genuinely reduced rate. What they do have to put up with is the PIL's expecting them to do repairs and renovations that PILs would otherwise have to fund.

I would definitely say to your parents that financially this hasn't worked out how you hoped. If they paid off the house with an inheritance, why are they still asking so much?

...would be BY letting it to the OP

I would give it a few more months.

In that time gather your paperwork to demonstrate that:

It costs you more in bills/council tax/travel to live there.
It costs you more in time travelling to where you need to be, to live there.
The traffic is not as you thought.

So if they cannot reduce the rent in light of their having paid off the mortgage, you will be seeking to rent elsewhere at lower financial cost/time cost.

IF they really want to do you a favour they will lower the rent.

If they want to make a profit, they will rent it to someone else when you move out.

So what do s the difference between where you rented before and this house,is it a bigger house?How old is your child as not going to school yet.
Summer will open the place up,you will see neighbours more,find friends for you child.
You also don't say how your partner sees it.
But it's stable,a nice area,the school in a nice area won't be dire and you only don't like the look of it.
If you decide to give it a set time,another 9 months and if you still hate look for another rental then though appreciate other rents may have increased by then.

I would give it 6 months in total, and if you still don't like it, move out.

This isn't a gift. Presumably they are letting it to you at just under market value. You are paying them to live somewhere you don't want to live - I'd be buggered if I'd do that out of politeness.

You wanted to look at other areas. They said you'd be happy here. You didn't think you would, and you were right. YANBU, but I would give it a little bit more of a chance. If I still hated it, I'd leave. Parents can rent at fair market value and haven't lost anything.

Sorry! There was a mortgage initially for half the purchase price, then my parents got some money from an inheritance so they paid the rest off shortly after we moved in. Now there is no mortgage.

If they did pay the mortgage off in full almost immediately after taking it out they will very likely have paid a charge for that.

Solicitors fees, surveys, renovation and decoration, you really need to appreciate the amount they'll have paid out on top of the purchase price of the house op.

I agree with the pp who said if you do decide to move knowing they would sell if you're not living there then you ought to offer to pay all their selling costs including solicitors and estate agents.

I agree with the pp who said if you do decide to move knowing they would sell if you're not living there then you ought to offer to pay all their selling costs including solicitors and estate agents.

Completely disagree. It was never a gift. It sounds like OP is paying close to market value. They chose the area, without listening to OP's concerns. You can't make someone be happy somewhere just because you like it yourself. Why should they stay if they hate it there?

They can rent it out at market value and make a profit. Investing in property is fairly lucrative. Investing in property and making your kids live there against their wishes though - not sure that's on really!

Thank you for clarifying about the mortgage, @jamjarlife. That makes more sense. I'm following because my husband and I are considering doing something similar for our daughter, who has chronic health issues. I suppose we could be considered "fairly well off." But we would have to be careful how we went about it to make sure we didn't extend ourselves beyond our resources, and put all of us in a dicey situation.

I won't say you are being unfair, since you are asking for advice before taking action, and I appreciate that on behalf of your parents. But I do think you need to consider your responsibility in this. I know there's a learning curve and the law of unintended consequences at work here, but you did agree to this arrangement, including paying rent, and your parents have already paid a good chunk of cash that they cannot get back again. It is not fair to simply expect them to become landlords. They didn't invest in a rental property, they invested in YOU. And if they sell, they will have even more expenses they cannot get back. They've upheld their side of the bargain and taken all the risk for your benefit.

Think carefully and choose wisely. Your druthers are the least important factor in this. There are far more practical issues to consider. I would give it at least until mid-summer before making a decision. But if you still think you can do better, then you should. And your parents can make their own decisions accordingly for themselves.

Completely disagree about paying for solicitors fees etc.

When jamjarlife agreed to the rental property it was for a much lower rental.

Her parents decided to invest in a property.

If jamjar moves out then they can either rent it out or sell. Any profit or loss is up to them.

Was there an arrangement in place that said if the house made a profit the parents hand over the profits to her?
If not then jamjar shouldn’t be liable for any losses either.

jamjar had no choice of where the house would be and it is advised before moving lock stock and barrel to a new area to always rent first before committing

New areas can look great till you live in them.

If this is not working out then the only thing jamjar is getting out of this arrangement is not having to be moved on every 5 minutes
The negatives though are she is now paying hundreds more in rent for a house in an area she doesn’t want to live in.

Investing in property and making your kids live there against their wishes though - not sure that's on really!

How ridiculous and unfair, Op and her DH had been relating their worries about landlords repeatedly selling up, the lack of security in private rental and dealing with rent increases. Her parents offered to help to give them a long term secure tenancy in a newly decorated, well maintained home.

Op viewed the house with them before they offered on it, told them she liked it. She and her DH agreed they'd want to move there if her parents bought it.

The rent is less than previously for a larger property, it's the council tax that makes up the difference. If no rent increase what they are paying will be further under the going rate in the future.

If this is not working out then the only thing jamjar is getting out of this arrangement is not having to be moved on every 5 minutes

Well that's a rather significant benefit, a secure long term home. Particularly once their child starts school.

If OP decides to move out she'd better never complain to her parents about being moved on by landlords again. Likely won't have the option to go back to them for help in the future.

They'll have wasted thousands in fees and decorating costs. In my view if you accept this sort of generous offer from your family you don't bail after two months. Particularly if you also can't provide the same kind of long term security for your child.

What would the market rent for the property be OP?

It doesn't add up for me.
This is a flat that Op moved into 2 months ago - ie 8 weeks ago. In this time, parents have had a mortgage for 50%, received an inheritance and paid off the mortgage.....all sounds like a lot to happen in a very short time.....all this, plus Op moving from liking the house and wanting to live there to being desperate to live elsewhere. I think there's more to this than meets the eye......or a good deal less!

I would point out that parents help their children out in different ways and what some people expect isn't possible from all parents. Ageing parents need to ensure they keep enough savings and income for their old age and don't give too much away. Some might seem well off to the younger generation, but few can afford to buy a house for their adult child, nor to buy one and let it to them at a substantially below market rate. We don't know the OP's parents circumstances but I certainly don't think Op is entitled to a substantially below market rates property. Perhaps she expected that and due to lack of communication it didn't materialise.

Simply the security of tenure that parents have offered is a big gain, even if Op pays all bills and market rent. The parents have tied up their money to give her this security. Doing this doesn't mean they also have to subsidise her.

I go back to the Qs I asked a few posts ago which ask for clarification about what the exact nature of the agreement was regarding who paid for what and the importance of clear communication.

Ultimately, Op can move out and give notice if she wants. She should be very sure first though that she's going to a better deal.....she seems rather unclear about the costs of living which go beyond rent and include bills and council tax etc. Everything seems too quick and to be honest rather odd - the story has changed and the idea that the position has changed from a significant mortgage to none in just a few weeks immediately after Op moved in is odd - although even if this was the case and parents had received an inheritance, Op isn't entitled to subsided rent anyway.

Just think carefully Op - be sure you are clear what the pros and cons of this current place are before you decide to move too quickly.

You can look round a place and think it is ok but the rent increase from and more on council tax makes it unviable.

The parents didn’t want to buy where their Dd lived and liked. It was their way or the highway.

Taking things that your family offer sounds great but the strings attached usually turn it into a pair of gold handcuffs.

I can see why jamjar liked it. It is the equivalent of moving to a much cheaper area and living in a really nice house that you wouldn’t normally be able to afford in your current area

It is only when you actually move there the reality hits that it isn’t anything like where you have moved from

@Tabbykitty Ridiculous is buying a house 15 miles outside OPs area on the basis that you like it there. Unfair is hiking up the rent before they move in then expecting them to live there forever.

I agree she should give it more time, but they won't have "lost thousands" if they're sensible about it. They'll make a lot more on letting the place out than they would leaving the money sitting in a bank account. My friend lets from her parents. There's no obligation on her to stay if she doesn't want to! That's unreasonable.

@SnoozyLou Of course not forever but it sounds like the agreement was made with long term security and primary schools in mind.

I wouldn't have committed to this without being prepared to stay put, make it work for at least 8-10 years to see the child(ren) through primary school.

Parents might be very happy to sell up again by then anyway. Now however if Op and her DH give notice after only two months(!) the parents will lose thousands. Op has said she doesn't think they'll want to let to anyone else.

The mortgage thing doesn't add up to me either with the fees and charges involved.

@Tabbykitty Actually, now you come to mention it, I'd be inclined to give it a year even without all the extenuating circumstances, purely for the reason that I hate moving.

God I can't think of anything worse. Live where you want to live and let your parents make money off someone else.

It doesn't add up for me.
This is a flat that Op moved into 2 months ago - ie 8 weeks ago. In this time, parents have had a mortgage for 50%, received an inheritance and paid off the mortgage.....all sounds like a lot to happen in a very short time.....all this, plus Op moving from liking the house and wanting to live there to being desperate to live elsewhere. I think there's more to this than meets the eye......or a good deal less!

Yeah and renovated the place, followed by the op also needing to then decorate again.

It makes even less sense now and sounds even more unlikely. Definitely think there is more to this than meets the eye. Hearing the parents side would be helpful but not going to happen.

Is it too late to go back to your old home? (I know my dh takes sooooooo loooooong to decorate after each tenant that we lose 3-6 months' rent....). You mgiht be lucky.

Totally off the point, but if your parents have a mortgage and they’ve declared that a family member is renting off them (which they should have), their mortgage rate would probably be higher than the standard buy-to-let rate. Which could explain why they’re charging you more than they initially said they would.

Ah just read the update about no mortgage.

The trouble is that in one of the earlier posts OP said her parents did have a mortgage, and she hasn't explained the discrepancy.

she has explained discrepancy initially her parents had about a 50% mortgage and then they inherited some money and paid it off it appears very recently

@Twinkerbellsmum
Boo fucking hoo

Well that was a helpful comment....