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What would you offer?

7 replies

burntpinky · 18/06/2020 07:44

So, we’ve seen a house which has the potential to become our dream home. Needs about (we think, though will get an architect to confirm if we have an offer accepted) 300k of extension/renovation to it. We’d have to move in with our (by the time it went through) just 2 year old, and I’d be due a baby in about 6 weeks after that, for about a year/year and a half whilst we got plans passed/contractors on board. We’d then move out and rent whilst work being done.

It’s habitable but not that nice to live in for 1-1.5 years (our current house is lovely but has lots of limitations meaning we’d never make our money back if we extended) and small.

It’s an inheritance property so we’ve been told they will be advised to market it a while before accepting offers. But we’ve been told by agent there is already a “good offer” on it. It only went live to market yesterday though we and a few others have seen it before it went live.

It’s on at 765k and has 1 acre of land. Other land is available too though we’re not sure about that - 1 field for 35k and another field but they don’t have instructions on that yet.

No idea what this “good offer” is but don’t know where to start. Loathe to offer full asking because one should never do that but I would if it meant they’d take it off market. But given its inheritance I don’t think they would and then don’t want to push the price up any more as it then starts to get beyond our reach if extension is going to be as expensive as it is.

So what would you offer? Or would you wait for it to be on market for a while and offer later?

Further context: if we don’t secure this/another property (we’ve seen loads but nothing else we really like) in next 4 weeks we are pulling ours from market (we’ve got ours under offer but been very open with buyers that we may not move so have said to them don’t spend anything on surveys/lawyers etc until we can confirm we can proceed) and would then wait until next year to move as we don’t want to be moving any closer to due date

OP posts:
Soontobe60 · 18/06/2020 07:52

Sounds like a bit of a money pit tbh. Getting into a bidding war may mean you end up paying more for the property than it's actually worth, especially in today's economic downturn. You'd have to live in a not very nice house during a really stressful time with a toddler and newborn, the employment market is uncertain and building costs may well also shoot up in 18 months.
I'd be thinking, if the housing market is going to drop by 15% then I'd offer 15% less than the asking price. Unless of course you're loaded and can afford to ride the financial storm when it comes!

An alternative solution is to sell your house asap, rent then continue to look for a more affordable home which may well be much cheaper in 6 months time.

pinkpepperclove · 18/06/2020 08:40

Wow! It sounds like an amazing place with loads of potential. I think key is why are you buying it? Sounds like a forever home for you, so it's not about making money on what you are doing, its about a lifestyle. Set your budget and get offering - Worse they can do is say no?

I would take the Estate Agents words with a pinch of salt on the other offer, you will never truly know. If I was in the position that the sellers were, if the market is as good as the agents are saying and they have an offer before it even going live, I would give it at least some time (weeks) before making any decisions.

From experience if you can afford the land... buy it!!! I have lived in villages for years and could write a book on people who land grab to build on, or just use it as a dumping ground to keep for the future. I would protect your view and space at all costs. You would be in control of your outcome.

I know everyone will jump in here with planning permission on land etc.. but I have seen it happen in conversation areas near listed buildings etc... If it doesn't get granted now, it may well in 20/30 years. It's an investment for you also, should you want to do something yourself or rent it for horses etc.

Offer asking for the house with the land included?!?!

We are also buying (already sold and in renting) at the moment and I agree that a lot of people are buying and selling post lockdown so reports that the market is bouyant do have truth to them.... HOWEVER... It wont be like this for forever. Banks are limiting what mortgages are available as they are nervous - It will be August until the true unemployment figures are out after furlough is gone. There will be a fall off (not crash) of property prices.

If you can sell your house now DO IT! If you get the house of your dream at high price no harm done, the market would have bounced back way before you are even thinking of moving.

burntpinky · 18/06/2020 10:20

Thanks all. Just been told it’s under offer at full asking price with people not subject to a house sale so we’ve missed out. We’d offer slightly higher than asking but it likely won’t make a difference as ours is under offer but part of a chain.

Agent has however just been to take on another house which she is going to send to us in advance of others. She’s says it’s more habitable too so that’s good. We shall see!

Problem is DH wants land! So we have to look for somewhere with land. To be fair he is massively into growing veg etc and we’d like our kids to grow up having chickens and possibly horses.

Ah well.

We may well have to sell and rent over winter to be in a position to pounce next year as we are being offered 65k more than we paid 3 years ago which is amazing in this market.

Our jobs are pretty secure and we have a lot in savings/equity in a rental property and could survive on 1 wage if we had to. I also have the capacity to go back to what I was doing pre-kids (don’t want to but can if we need) which would double my salary overnight so am not tooooooo worried about the current situation. It would also be our forever home so if value dropped short term it wouldn’t matter (and we would be putting down 20-25% deposit)

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pinkpepperclove · 18/06/2020 12:02

@burntpinky

Thanks all. Just been told it’s under offer at full asking price with people not subject to a house sale so we’ve missed out. We’d offer slightly higher than asking but it likely won’t make a difference as ours is under offer but part of a chain.

Agent has however just been to take on another house which she is going to send to us in advance of others. She’s says it’s more habitable too so that’s good. We shall see!

Problem is DH wants land! So we have to look for somewhere with land. To be fair he is massively into growing veg etc and we’d like our kids to grow up having chickens and possibly horses.

Ah well.

We may well have to sell and rent over winter to be in a position to pounce next year as we are being offered 65k more than we paid 3 years ago which is amazing in this market.

Our jobs are pretty secure and we have a lot in savings/equity in a rental property and could survive on 1 wage if we had to. I also have the capacity to go back to what I was doing pre-kids (don’t want to but can if we need) which would double my salary overnight so am not tooooooo worried about the current situation. It would also be our forever home so if value dropped short term it wouldn’t matter (and we would be putting down 20-25% deposit)

Meh! Wasn't meant to be... bank your £65k and enjoy Christmas in the warm! x
Sooverthemill · 18/06/2020 12:19

My DH wants land too. When we had half an acre he whinged about how much work it was and the hassle of cleaning out the chickens. Get an allotment

bilbodog · 18/06/2020 12:44

Tell the agent that you would still be Interested if the sale falls through As the buyers may realise it needs more work than they thought so the agent calls you first.

burntpinky · 18/06/2020 18:19

Yes thank you we have told the agent that so I guess it could still happen!

Ha re the half an acre! We currently have a third of an acre but my DH loves being out there doing stuff.

Thanks for your comments/advice everyone. Will put this thread to bed now!

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