Keen to buy a doer-upper in a currently unpopular area

[toomuch90]

Hit me with your horror stories as well as your tales of success, please!

I'm seriously considering spending my (rather measly) house deposit I've saved on a doer-upper in the North East. I've been priced out of most other regions, and can only afford a decent-sized house with garden in parts of the NE which are an easy car commute to Newcastle but not on main train/tram lines.

I'm extremely lucky that my boyfriend keeps suggesting I live with him in his newly-purchased flat in the same region and I can go back and forth doing up the garden (which I would LOVE doing) and doing up the house (I have a relative who can offer advice about this as they're doing their own renovation currently, nearly all DIY). I'd rather not live full-time in my boyfriend's flat and certainly not permanently as it has no outside space.

Our idea is that I'd spend a few years doing it up, loving the extra space and garden, setting up my community projects, hopefully still having my full-time job, and when my boyfriend has paid off most of his short-term mortgage (in about 4-7 years time) and my doer-upper has appreciated in value (hopefully) then we can get a larger place together.

I know the region pretty well from having rented there years ago, though a lot of the areas will be new to me and likely not as naice as the places I've spaffed all my money on in rentals up til now. Are there any words of wisdom for me? Anything is better than spending £££s on rent currently? TIA!

Why is the area unpopular?
If it's something like a really high crime rate I certainly wouldn't take the risk and safety isn't worth compromising on.

If it's just that it isn't well connected on public transport and you drive then it's not such a bother.

Although do bear in mind that if the are remains "unpopular" this could impact you when trying to sell in a few years time.

Unpopular as in connected fine by roads, but it's just not hugely developed in terms of high streets and amenities currently. I'm looking at mostly semi-rural areas as these properties seem to have the largest gardens (though happy to be corrected on that) and especially 1960s/70s builds or older.

Properties on sink estates/high crime areas are a no-go. I've got one eye on a place with lots of green space for my own enjoyment and side projects, and one eye on appreciation over time (these areas might get more developed as more people may move to the NE over the next decade? Unsure on this but worth the gamble I think).

Which areas are you looking at?

Currently looking at areas west of Newcastle (can't afford Hexham) and south/east of Morpeth.

I know some of those areas pretty well and I can't imagine they're ever going to really explode. However it's maybe worth looking at areas around the new Northumberland train line? It seems that those would be most likely to gain in value.

I would buy a smaller place in a better area that has some outside space. You’re only planning to be there a few years so it’s not your forever home and property in better areas tends to appreciate in value more than in unpopular places. I would pick somewhere that just needed some cosmetic updating to make it look better.

We are just about to complete on a beautiful big house in an unpopular area . It's in the middle of the plot and as far as I'm concerned in an island so I don't care where it is .

It's amazing and if in a popular area ( where I currently live but hate ) it would be £500k more !

Why are you setting up community projects? Is that your job or is it voluntary? Only asking as you will have A LOT on your plate with the house.

Look out for higher costs if you're not living there.

You'll need specialist insurance as most buildings insurance only provides 30 days of cover if unoccupied. Depending on the scale of the work you'll be doing you will need to tell the insurer and you may need different insurance if it's structural or the work is above a certain value. It could also be a lot more expensive to get cover for an unoccupied house in a higher crime area as it'll be more vulnerable.

Council tax gets more expensive for empty properties and this increases over time.

Utilities you'll still have all the standing charges to pay plus enough heating etc to avoid burst pipes.