Bit of a financial dilemma- thoughts?

[binfaced]

Big dilemma. We currently live in a 50 year old house. It’s been valued at 310k, quite large semi, 4 beds and 2 reception rooms. Overall about 155m2.

In the coming years it’ll need a new roof, garden work (walls and fences), were a semi which we don’t like. House is looking a bit tired now on the outside and so is the street which is understandable for a 70’s house.

We’ve seen a new build that we like, lovely new estate, good location, another 4 bed but it’s smaller than ours. Lots of extras included, solar panels etc.

We are in our mid 50’s, early 60’s. We’re tempted by a brand new start, little maintenance, lower cost energy bills, having everything new.

It will mean dipping into our savings for the uplift which will be 40k including stamp duty etc. leaves us about 50k saved remaining.

One of us will hope to retire in 2 years, the other not for about 7 years. Both have good pensions. We save well every month, about 1k

Would you do it?

No, I would downsize

Do you really need 4 beds? I’d be looking to move somewhere smaller.

We have family that visit regularly and we like some space. The house we are looking at is actually smaller than ours.

If you stay put won’t you just be spending your savings on getting your current house fixed, with more and more things needing attention as it ages?

I’d move to the new house if you really like it and it is built to a good standard.

Is the new one detached? I would probably downsize to a 3 bed detached if that's affordable.

So is the smaller house more expensive than your current one?

No to the new build.
The build quality is awful. When you go to sell you’ll have so many issues regarding the solar panels. You’ll have a maintenance charge for the communal areas as it will be a freehold with management company. Your parking will be problematic.

Stick to an older house that has already been renovated.

Have you actually experienced this?
I live in a new build and NONE of that is true.

Where the heck did you get all that from?

Why assume that the build quality is awful? And why are solar panels 'a problem'?

@binfaced it sounds like a plan to me - as you'd have a lot fewer hassles than the renovations on your present house.

New builds are dreadful.

Is your valuation of £310 based on the condition the house is currently in? If so, I think I would spend on improvements because that would add value, rather than spending on stamp duty and moving costs.

If all you like about the new house is that it's modern, why don't you modernise your current house and spruce up the garden instead. That's what I would do.

Depends on what you mean by a good pension and what other investments you have? Or is it just the 50k savings and pension?

Maybe you got lucky.

There are plenty of people who experience otherwise.
Also from a legal perspective they are not fun transactions to deal.

Glad you have a home you really love.

@Spottyvases dealing with solar panel enquiries.

I would be seriously considering all of this before making the decision. There are loads of threads on her about poor quality new builds.

Someone I know did this. Moved from a house built in the 50s to a new build literally 2 minutes over the road because it needed a new roof. It cost them over 100k to move and buy new furniture etc as nothing in the old house fit. I would personally see how much it would cost to renovate yours.

I wouldn’t recommend it. They have very good deals and sales people.
Read the transfer documents and conveyances when you buy. When you sell you’ll need to provide planning permission, s106 and the rest.
There are restrictions on parking certain vehicles on new build estates. Covenants on sheds / extensions. You could be paying maintenance charges without the maintenance actually having been done. Obtaining management packs and dealing with the enquiries 🤦‍♀️

Those who love them will love them but from the legal conveyancing perspective no thanks.

Who built the new build? I wouldn’t want to live in one as on the whole they’re a bit shoddy, plus new build estates are pretty grim IMO

I wouldn't move to a new build. They are usually overpriced and have small gardens.

Will the new house (and I agree they often have quality issues etc) allow you to manage ageing better? Walk in shower, downstairs rooms, level access etc..? If you are going to make a big move its sensible to plan for these things

As a 60 something woman, I wouldn't move to a new build since I'd presume the estate would be full of younger families with kids, cars, parking wars, toys and NOISE 😊

I live alone in a three bed 60s build. They built them "proper" in those days for sure, and I've done all the required maintenance and future proofing to make it my always home (barring illness/nursing home). The road I live on is full of people around my age with a sprinkling of younger families. Quiet, plenty of parking in our large drives. I will not move.

Depends on why you want to do this OP. If you don't like the house or area, then move on, but I think I'd look for an older house with plenty of parking, room to install downstairs facilities incl. shower, with services nearby like shops, doctors, public transport etc. That might not seem important right now, but it will!

Buy a bungalow believe me you’ll need it!

I'd get quotes for the necessary work and see how it compares. It doesn't sound like the move makes sense financially, plus it's a big disruption.

Do you have any push factors - bad neighbours, busy road?

If not I'd stay put and invest money into your current property rather than stamp duty and the new build premium.

Bungalows are overpriced. People don’t necessarily need a bungalow - they need a house with a downstairs toilet - maybe shower and a room they can out a bed in.

people become fixated with bungalows - which is why they are like hens teeth. Not everyone eventually needs them. I am forties - single - four bedroom house. Downstairs WC and a second living room that could be a bedroom. Could put a shower in the utility room. Would be much cheaper than the cost of moving - to an overpriced smaller bungalow

Agree with this - my parents were looking for one and decided it was easier and cheaper to install a downstairs wet room and use their large sitting room as a bedroom when needed. Their current house is beautiful and spacious and one of them is a wheelchair user. We looked at ground floor new build flats as well and they were all absolutely tiny in our part of the southeast with no space for wheelchair or mobility aids. So they’ve stayed put and will enjoy their lovely house and huge garden for as long as they can.

Not all new builds have management companies.