To except this offer on my property? So torn

[sellingmylifeaway]

First time seller, would rather not post a link just incase.

I bought my 2 bedroom flat 4 years ago for 72k, 80% shared ownership whilst the other shareholder owns 20%. It’s been on the market since the end of December. It was originally listed for 94k then reduced in April to 89 due to having hardly any views. A couple of people have been to view but no offers made. Someone came to view last week and have now put in an offer for 80. I rejected and said it was too low and was hoping for closer to the asking price. They’ve now come back with 82 and said that’s their final offer. I’ve not made a decision yet.

They’ve given feedback to the estate agent and said that the flat needs a lot of cosmetic work that wasn’t shown in the pictures for example, new radiators need putting in as their marked/discoloured, the bathroom radiator is all rusted (which is true I won’t disagree), the glass cooker hob needs replacing as it’s all marked as are some of the worktops, it needs painting and some other issues that they mentioned but I can’t remember what they are. They said had the property been in immaculate condition as shown in the pictures they probably would have offered a bit more.

I feel torn really. I’m not exactly in a rush to move (hoping to buy a house with my boyfriend) and we haven’t even started looking yet as we were waiting to see what happened with the flat, but I’m also concerned that I might reject this offer and not get another for god knows how long. I know that flats and shared ownership aren’t everyone’s cup of tea, but it’s in a lovely location, on a fairly new build estate and the flat could be made lovely if someone really wanted it.

Am I asking too much, given the issues that I’ve listed or should I hold out and possibly risk not getting another offer for however long?

If it rises in value further that’s a plus, but it definitely hasn’t fallen in the last decade!

That's really not a great advert for something that's meant to be an investment!

In my area (obviously not London!) flats are selling for less than their 2007 prices. Everything else has increased 100% or more. If that's not a cautionary tale then I don't know what is. OP probably won't get the mortgage agreed anyway, so it's all academic.

Pictures are generally taken to make a house look immaculate (unless it’s being marketed as a project/reno job). I think you sound like your nit picking and actually lying as you can’t pay more so wouldn’t matter if it was immaculate.

I’d be inclined to say what your best offer is and then it’s up to them. If they won’t accept you can’t afford it!

Oh, and they're not selling...they are the properties languishing on the market

@HmmmmmmInteresting

If it rises in value further that’s a plus, but it definitely hasn’t fallen in the last decade!

That's really not a great advert for something that's meant to be an investment!

In my area (obviously not London!) flats are selling for less than their 2007 prices. Everything else has increased 100% or more. If that's not a cautionary tale then I don't know what is. OP probably won't get the mortgage agreed anyway, so it's all academic.

It really depends so much on a lot of variables. To be honest this flat will almost definitely rise significantly over the next decade, even now it has around a 6% rental yield so it would be easy to rent out if necessary. I wouldn’t be looking to sell for at least a decade. Flats in the area are still selling reasonably fast, but at a discount to the prices you would have expected 2 years ago—but all still going for above what they were bought for, by a decent chunk.

I had zero issues with my mortgage valuation, OP could be fine but the 5% deposit could mean an issue here (I did bigger deposit, so even if the house actually had been valued well below, I would still have had my mortgage offer). But OP has no wiggle room, which could make the mortgage valuation really tricky. If they agree it’s not in top condition and not a prime candidate for reselling (especially with the 80%) the mortgage valuation could crash it regardless.

@Flowers500 really helpful, thank you for taking the time to reply!

@Jangle33 there really is no need for me to lie about something like this. I took my mum with me who also agreed it needed a lot of work.

(Also my flat just purchased had multiple offers, and was accepted under strict time conditions. So the “flats are dead” thing is REALLY dependent on a lot more factors)

But in this case it just seems the seller is not really motivated. That’s the key thing—in your reverse you painted yourself as a highly motivated seller who didn’t need a specific price. Even the vendor’s friends might not know the true picture. You’re much more likely to find out by talking to the EA directly

@Flowers500 London is a different kettle of fish, so I agree with you...you will probably be fine. At the price OP is talking about it's clearly not in London. I think it's a bad investment- even before we get into the SO thing. With the way the market is OP should be offering less than the vendor bought for, not more

At the end of the day you are buying your home. It's great if it makes money but ultimately, you need to be happy living there.
If this one ticks all your boxes, be firm that is your best offer and don't be pushed where you are not comfortable. I like the saying 'what's meant for you won't go past you'.
If in the worst case the value goes down, at that price point you are not talking high numbers and you are cushioned a bit by the shared ownership.
How much will it save you compared to renting? Add that up and even with a 10 per cent price drop it may not represent a loss in real terms.
I would caution that it may be harder to sell in the future but there will always be someone else in your position, you may just need a bit more patience.
If you don't get this one, your best bet is to start looking for those in need of work that may just come in on budget and put up with dated interiors until you can save. There's a lot you can improve with a tin of paint before more permanent improvement

Take the offer, it will allow you to move onwards and upwards. Quibbling over what you want and what someone is prepared to pay is not worth waiting an eternity for another offer to come.
The longer its lanquishing on the market the cheekier the offers will get aswell.
Good luck with the house hunting.

Apologies again if this thread has pissed anyone off. That wasn't my intention

Apart from the fact you acknowledged it would do exactly that. A non-reverse would have got you far more helpful and accurate responses

A bloody reverse . Honestly, op...
Ridiculous. Why do you want 80% of a flat anyway?

@GreyhoundG1rl it is the only way I can get onto the property ladder. I'm not in a position to buy outright

Honesty is an attribute you should be working towards.

You have done well with irritating and irrelevant.

I’ll give you that.

@GreyhoundG1rl

A bloody reverse . Honestly, op... Ridiculous. Why do you want 80% of a flat anyway?

80% of a depreciating asset to boot!

Slowly losing the will to live with this and seriously considering withdrawing my offer.

Does this make sense? Or am I just stupid

Borrowing 89k (when we thought I could but they won't borrow me that much) would make monthly repayments £335

Borrowing 79k would make monthly repayments £324.

How can I borrow 10k less and still be paying the same every month? mortgage advisor hasn't really been that helpful and explained things to me properly. Not sure if it's best to walk into some of the banks tomorrow and speak to someone

Sorry, I know we were talking about the flat but I can't make head nor tail of this! Honestly it's been a nightmare from the beginning

They're lending you, op, not borrowing you.

@GreyhoundG1rl Yes I know that's what I meant, doesn't really answer my question though

Rent then.

Id take the offer. Shared ownership is a nightmare to sell.

[quote HmmmmmmInteresting]@Flowers500 London is a different kettle of fish, so I agree with you...you will probably be fine. At the price OP is talking about it's clearly not in London. I think it's a bad investment- even before we get into the SO thing. With the way the market is OP should be offering less than the vendor bought for, not more[/quote]
Yes agreed—reall

@SheldonesqueTheBstard I do rent have done for 5 years!

You said you couldn’t make head not tail of buying.

You said it was a nightmare. And wanted to withdraw.

And you were losing the will to live.

Renting is your option until you get y

Yourself in a place where you understand what you are getting into.

@sellingmylifeaway

Slowly losing the will to live with this and seriously considering withdrawing my offer.

Does this make sense? Or am I just stupid

Borrowing 89k (when we thought I could but they won't borrow me that much) would make monthly repayments £335

Borrowing 79k would make monthly repayments £324.

How can I borrow 10k less and still be paying the same every month? mortgage advisor hasn't really been that helpful and explained things to me properly. Not sure if it's best to walk into some of the banks tomorrow and speak to someone

A lot of the repayments is interest, so the 10k difference doesn’t make a huge difference to the overall sum you repay (e.g. 140k vs maybe 130k) which then when divided between all the repayments is only a small difference. How many years term are you looking at? Plus depending on how much your borrow there will be different interest rates—I was told if I could up my deposit X amount (not much) my rates would change drastically and my monthly changed hugely