Which property option in London would you choose?

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1. Freehold property, unoccupied for two years, requiring a complete refurbishment and a rear extension, with estimated costs around £200,000 including landscaping. The accepted offer is £570,000, with a projected post-refurbishment value of approximately £800,000. _https://www.rightmove.co.uk/properties/160851233#/?channel=RES_BUY_
2. Leasehold property in a mansion block, subject to a service charge of £3,200 (fluctuated for years) plus an additional £500 sinking fund. Located in a highly desirable area and priced at the market ceiling after considering refurbishment costs. The property requires light refurbishment, with plans to add an extra toilet or bathroom with a shower. Estimated refurbishment costs are around £120,000, and the anticipated value following refurbishment is about £720,000. _https://www.rightmove.co.uk/properties/166644062#/?channel=RES_BUY_

Which one would you choose? I know trustworthy local builders so I wouldn't worry about the refurbishment they are not cheap though.

What are your circumstances? Is this simply an investment property? You don’t say anything about your needs/desires?

I can't get past how ugly the first one is, no kerb appeal at all. The second one is closer to better transport links and much less work to do - no brainer for me, even with the service charge and sinking fund - although I would be asking detailed questions about these two elements.

I am always 100% pro freehold. But man that is one ugly house. And spending £200k on it won’t make it any less unattractive other than nicer windows.
I’d move slightly farther out to an attractive brick Edwardian / Vic brick terrace. Are these really the only options?

https://www.rightmove.co.uk/properties/167367434

this in Raynes Park - £770k being what you’d spend on the other.

the hassle, stress, lack of control with leasehold is a no for me.

I’m thinking about using BTL mortgages through my LTD company. I may live in one of those rooms but will pay taxes and the rent.

Do you realise how ugly Haydons Rd is? Grim.

I know but I’d like to be in Wimbledon area 😭 That’s what makes it more difficult I know

Who estimated the 200k???

because I see at a lot more than 200k of work assuming you want mid to high/mid specs

Haydons Rd is never going to be a desirable location. Plenty more choice in Wimbledon. Keep looking.

Is it ugly? All my English friends said that. It would get repainted with some landscaping on the front garden. It would be better.

This is the cheapest freehold option in this area. Other freehold properties around 800K in this area don’t make any difference. If it is a decent freehold, it easily exceeds 1m.

I think if you paint the first house and get a pretty coloured door (like the house next door but one) it would look a lot better. You could also add shutters window boxes, a rose bush, etc. The road itself doesn't look particularly nice though.

With the second one I wouldn't want to be in a ground floor flat and the service charge seems high.

Therefore just between those two I'd choose the first one but really I'd keep looking.

I'd keep looking. Definitely avoid leasehold with high annual fees as it can be hard to shift later. I've seen flats plummet in value in high demand areas just because the annual fees are so high.

But total renovation these days is a money pit and could take forever.

Haydons Road is not the best. But not the other one either? It’s gorgeous but because of the service charge?

Option 3. Those two options are both awful.

From architecture and engineers. I’ve got quotes from 4 construction companies and 200K is the highest one.

I said option 2, since its not a forever home for you x

Alwyne Road a much better location. But surely there are other options?

Wow!
thats good. At least you wont be blindsided.

We did some downstairs work inc new kitchen in 22 and its was 60k.
A concrete foundation for a patio was another 10k so amazed 200k covers it but it is a slightly smaller house so less materials and work i guess!

The first is an ugly looking house and I think it would be difficult to improve the kerb appeal, aside from the fact that the interior needs a thorough overhaul.

So a lot for me would be about location - proximity to shops and public transport, street safety etc. But leaving those aside, I like flats but would be scared of buying one in London as they are not holding up well in the current market and service charges are always a heartsink. So option 1.

with a new painting and a front garden work it would be improved I hope.

I live in that area. Forget about the Hayden’s Rd house - that street is never going to be good and the amount of traffic is constant! And that is one of the ugliest houses in the street of quite a number of ugly houses!

Neither

How did you get 4 firms to give you quotes from pictures only for a house you’ve not even made an offer on?

I made an offer and it has been accepted. I know some builders charge for a quote for a future property but I asked only local builders to come and see.