NC for this just in case anyone knows me, as I've been wanging on about it IRL for ages 😂
TL/DR version: if there were 2 flats available in the same estate but price difference was somewhere between 15 and possibly as much as 50k, what would you compromise on?
Full story:
After separating from my partner last year I had an offer accepted on a flat in January. Long story short (I'll try!) but it's right next to the children's school, in a locally highly regarded ex council estate of over 200 flats. This time last year I viewed let's call it Flat 1 which was being sold by a landlord and in a pretty rubbish condition (which put it in my price range, despite being sizeable and in a pretty perfect location for us), but then a few months later also saw Flat 2 (same vendor, same situation) and neither flat was available until October due to the length of the tenancies. Both flats were on the market for a range price of 400-450k (3 bed London flats, so a v good deal).
I wasn't ready to offer at that time, so the EA kept me at arms length, but in December I finally had an offer on my other property and the day I went to view Flat 1 the locks had been changed as the vendor had decided to sell his entire portfolio (30+ properties in London) with a specialist agency, and apparently this one had been snapped up. I was gutted! But pursued the specialist EA who was tasked with offloading all properties as investments with sitting tenants, and in January viewed all 8 flats he was selling in the same estate. These were being listed for between 610 and 625k depending on if they had a balcony or garden - same floor-size as flats 1 and 2 I'd viewed, but they'd all had the original kitchen converted to a bedroom, kitchen moved into the living space, and at least 1 extra shower added per flat. I made an offer on one of the garden flats, let's call it Flat 3, for £560k, and settled on just under £575k and proceeded to legals. I found it hard to accept that these flats were worth so much more than Flats 1 and 2 (same vendor lest we forget...) but I accepted it as I really wanted/needed to live in this location and they were still a good price for what they are. Service charges are all manageable, I know multiple people who live in the estate, so I'm not worried about that aspect of it as I know it's well maintained/no scary charges etc etc.
It's all been taking a while as it turns out the tenants don't have a break clause but are amenable to leaving so this should all go to plan, but meanwhile, the original estate agents called and asked how my property search is going, as they have a flat coming up for sale in the same estate, and guide price will be 500-525k/ Different vendor, but it's also the same size (i.e. kitchen converted to a 4th bedroom, garden flat, and an added shower room). As I've not exchanged contracts yet I'm considering pulling out of my original purchase in favour of this this alternative (let's call it flat 4) as it's much closer in price to flats 1 and 2, plus I'm a bit worried about the tenant situation in flat 3. I'm going to view it tomorrow (after 3 weeks of waiting!) and trying to figure out what would make it worth switching?
My solicitor confirmed I'd have to re-do searches and a bit of legal work, so probably about £500 lost on that, my mortgage could be switched, so no problem with that. For a saving of this amount, I think the main differences are the side of the road (so Flat 3 has a south facing garden, but flat 4 doesn't) and the living space is a bit smaller in flat 4 from the floor plans. I just can't work out how I equate these factors with 20ishK? If I don't pull out of flat 3 I think I'm going to ask for a price reduction as actually the specialist EA dropped the price significantly on the only flat they listed on RM (a balcony flat - was listed at 610 and dropped to 550 a few weeks ago), plus my mortgage valuation came back at 560, though they did approve the mortgage on that basis.
If anybody has read this far... would you go on gut feeling? Or how to decide what to do?