Negotiating house price after survey

[amandaleeds]

So I had my offer accepted for a house that I knew needed a new kitchen and bathroom, and it appeared that it needed all new windows and doors (quoted £9k).
However the survey has flagged up quite a lot of concerns and I'm not sure how to go about negotiating the price.
The surveyor valued it 5k below my offer but that doesn't bother me as it's not a huge difference in the grand scheme.

I really didn't want a project but the location really works for me and I'm so fed up looking for a property now. I'm keen to work with the sellers to proceed, but what concerns me is the sellers won't really be making much profit after buying it 6 years ago to let out. However it's clear these issues would have already been there and it doesn't seem to have been maintained.

It has failed cavity wall insulation causing damp - potential cost of removing it and addressing any structural damage is 8k.

It has damaged asbestos ceiling causing a break in the fire protection from the room upstairs. Cost of removing 4k plus the cost of new ceiling (noine has suggested fixing it).

It has the original wiring which I was advised to replace. Cost 5k. There's no safety certificate so I need to get this checked out.

It's in a high radon gas area (need to get it measured in the house) which worst case scenario is £3k to address.

The radiators are apparently very old and inefficient and ideally should be replaced plus no thermostatic valves. Waiting for a quote, but this isn't really classed as 'urgent' so long as I can get the agent to show me the heating works (been empty 18 months).

The loft insulation is a dreadful state and doesn't meet current building regs. Cost £1k to sort.

It has structural damage on the wall from the damp. Cost £600

It needs repointing. Cost £800

It needs the roof trusses securing to gable wall ends. Cost £300. Not a lot, but is structural issue.

What would your advice be? Do I ask them to address some of these things (i.e. structural/damp stuff) or ask for price reduction? It feels like it needs a good £15k knocking off but that's 5% of the price.

It sounds like you’ve settled for something that isn’t for you, because you’re frustrated at not finding something. That’s a hell of a lot of work and the quotes you have seem on the low side too.

In all honesty, I’d be withdrawing not renegotiating. But if you really want the house, yes you should definitely be revising your offer to reflect the major works uncovered by the survey.

What age is the house, if it’s quite old, then you would expect survey to say all the things mentioned needs doing, but not necessarily urgent, so depends on whether you want to take on a project. I think if you ask for a £15,000 reduction the sale will fall through, but maybe £5,000 to £7,500 they may accept.

What is an asbestos ceiling?
Also, how has the cavity wall insulation failed? And what type of CWI is it?
It certainly sounds like a fixer upper as it needs doors and windows (what’s wrong with the existing?), bathroom, kitchen, rewire (with large core/amps for cooker/electric car charger), rewire will trigger some replastering and floor repairs, new radiators at minimum, repointing. Then another k in loft insulation, and some sort of radon risk.
Plus the unknowns. Unless you have money upfront for a builder, that’s an 18 month project and £50k+, and the disruption and blight on your life.

That is a lot of work, on a house that has been poorly maintained and possibly poorly built. It sounds like a complete renovation project.

New kitchen, bathroom, doors, windows, wiring, radiators, removing asbestos, securing trusses to the wall, insulation and structural damage due to failed cavity wall insulation... this last one is likely to be quite problematic, if not impossible to reverse.

Unless it is a bargain, you have a big budget to do a complete renovation and you are looking at a much higher valued property at the end, I would walk away.

Yes, I do feel like I'm settling but there's just not been much on the market since May and renting is too expensive plus ties me into a contract. I'm currently chain free. There are heaps of suitable homes, but noone selling them. I've been asking people if they are considering selling, bit no joy. Think high interest rates are putting people off.

The market seems to be flooded with ex rentals (like this) or probate, with many needing a total rennovation.

Everyone I speak to says the house is a great location and a lot of potential which I agree. There is also the problem that on the rare occasion something nice is for sale, it ends up in a bidding war and goes for over the asking price.

Built 1989. Windows 30 years old. That's all I know

Those quotes sound ridiculously low - that's a lot of work and it will be very time consuming and expensive. If you absolutely love this house, are planning to stay a while and are getting it at a really good price then go for it. But you will need to lower your offer to at least the surveyors valuation otherwise you might run into problems with getting a mortgage.

Oh I just saw built 1989. I would walk away. If it was a lovely period property maybe, but that amount of work for a 1989 house? Absolutely not worth it.

Yes, all this concerns me but the house is big enough to do one room at a time. Lots needs doing now though, and only 1 bathroom, so not easy to replace. Bathroom and kitchen are original (~35 years old), so not great but possibly liveable for now.

Cavity wall insulation was retrofitted with unsuitable material for the type and location of house. It's caused cold and damp inside, plus repointing needed is adding to issue.

Garage ceiling is made of boards containing asbestos.

Going back to your original question then about whether you ask them to address things - absolutely not. Firstly because how do you know they won’t cut corners, and secondly because you’ll end up renting a lot longer!

We’re having windows replaced/fascia smartened up etc and the timeline for this is next spring at the earliest.

I also wouldn’t want to live in a place where works will be going on to fix damp, insulation, asbestos etc - what are your thoughts on this?

For context, this is 4 bed detached, largish plot, parking for 2, maybe 3 cars, and a decent view over the valley. The town is popular as right next to a national park.

An extended (bigger) semi-detached 5 bed, downstairs loo and utilty, a few doors down, with less land, paking for 1 car, and not as nice a view over the valley is on for 50k more. Way too big for me, not my style but looks like you could just move in. I can't afford that though.

It really depends on your circumstances. It goes sound as a lot of work and the quotes are on a lower side i would work away as I’m not Homes under the hammer material due to health and other circumstances but some people love a project. We were in this circumstances and walked away from quite a few projects, widened the search area and compromised on size.

I have an affordable houseshare for the time being, so had hoped I could schedule the windows and cavity wall work to be done as soon as the sale completes. Maybe rent the room in the houseshare an extra month, then do the rest after moving in? It's a big house (too big for me, but perfect if my partner is able to change jobs in 2 years), so I can do one room at a time.

A project would be fun with a huge budget and no full time job 🤣

I've dismissed so many projects, and have been told that location is most important so that's my deciding factor now.

That’s a lot of house for £300k. I think if you allowed a worst case scenario of spending another £100k on it, and local trades are reliable and available, plus you’re happy to camp out in less rooms - its something to consider.

For a house built in 1989 that is a long list of repairs.

But. Depending on what type of survey you got you may find that some of them are "nice to haves" versus "must be done asap".

The damp is an issue, as is the repointing. Is the asbestos ceiling damaged? If so that will need to come out. I am surprised about the rewiring being mission critical on a property this age. I would only be looking to change that if dangerous.

You need a good builder who can advise on what needs to be done and what timelines. You are only working with half the information required. Surveys will list absolutely everything that needs doing.

House has already fallen through a few months ago after survey but estate agent said they didn't know why. Apparently a ceiling has since been replaced due to 'sagging with age' which doesn't sound right?

Does sound really odd.

Sorry, edited - misread it as survey brought that up.

Yes asbestos ceiling damaged and has gaps meaning no fire break for the above bedroom.

The CWI should have never been fitted as that type wasn't suitable for a house on a hill exposed to weather.

Yes, I'm not sure about wiring, but will get an electrician. It's more thinking about the need to do it in the future if 35 years old, so why renovate to them do that in 5 years. Would just come up when selling the house on.

It does not sound right. If you have very deep pockets and are looking for a huge project then this sounds like it could be a good choice. The amount of work seems a hell of a lot for such a relatively new house.

Surveyor said roof looked OK (level 2 survey as they wouldn't do level 3 on a house this 'new') but no idea when last replaced. Sellers have no guarantees for anything basically since buying 6 years ago as I assume everything is either original or done prior to them buying it. Assume they didn't get a survey done when they bought it?

I would walk away. I would be concerned about what other problems may come to light during renovations. If you do proceed I would also make sure you have a huge contingency fund as everything costs much more than you think it will.

I don't see why a house built in 1989 should need rewiring.
Thermostatic radiator valves are easy to fit. Radiators can't be 'very' old.
Roof insulation standards have improved but it won't be as if there is no insulation.
I suspect 'needing' new kitchen and bathrooms is in the eye of the beholder.

Windows will need doing if original to help with insulation.

I'd only be properly concerned about the cavity wall insulation and the ceilings.

Have you renovated a house before? I ask this because I have done 3 and I would walk away from that house. It’s so stressful and things don’t go to plan and you always go way over budget.

Yes I agree those are the main issues. Kitchen has an old electric hob which doesn't regulate temperature, no room for washing machine or full sized fridge freezer. Carcases need replacing. Can get a 2nd fridge in garage and buy a plug in counter top induction hob in the meantime though. Bathroom needs a couple of minor repairs and possibly fine, but would affect future house value if left longer. So long as it works, it should be fine for me.

Had hoped to build a small extension for downstairs loo and utility but that budget will now be spent on the other stuff.