Part buy of inherited house - opinions please

poppysarah

A member of my family, against my better judgement, entered into a shared ownership deal with a housing association.
She didn't need to as she could have continued to rent a property with her partner or move in with family close by.
She chose to buy because she felt it was important. She wants to move but has to jump through the hoops the HA sets out. At least she has that option, but your daughter is going to be tied to this property for at least 5 years.

Ignore house prices going up and down. She's only able to afford to buy half a property. That means IMO and most sane people's opinions that there's something seriously wrong with the housing market. Notice anything in the news about global credit crisis and mortgage woes and negative equity?

She could be saving up for her own place - a 100% house not a 50% of some potential nightmare.

In 5 years time will your daughter's salary have increased enough to take on even more mortgage?

Does your daughter really want to buy 50% of a house or does she really want to buy 100%?

Krafty

I said farewell... but the last two replies are some of the most considered to date and deserve a response...

The deal will not be done until next spring as that is when the deceased's estate comes out of probate and our friend can dispose of as he wishes.

I could but do not wish to buy the other 50% of the property because I do not believe it appropriate or to my daughters advantage in life's greater circus! Also (importantly), that is not what she wants!.

No one can say what my daughters situation will be in 5 years time... she could be unemployed, she could be earning mega-bucks, she could be a lottery winner, she could be married to a millionaire or equally (heaven forbid) she could be an (adult) ophan!

In all but the first scenario (in which case I will be around to assist as any Dad would be) she's quids in!!!!!

Do not try and predict the future to the disadvantage of today .. live for and by today.. live well.. do not do others down and above all prosper!!!

I am comfortable that given all the circumstances (and it has been impossible to share more than the basic details) there is less than 5% chance that my daughter will come out of this dis-advantaged.

Again,thanks for all the input... Krafty.

neverdespairgirl

Krafty wrote: »

If the doom merchants are correct and the venture fails... then at least she has taken on the challenge and not shrunk away from it!!

Hoping that house prices will be lower and affordable isn't being a "doom merchant". High house prices are a bad thing.

And whatever your view of what prices should be, they are in fact dropping like a stone at the moment. Another 1.4% in the last month, according to Nationwide, or nearly 15% down in the last year.

Sonofa

Okay, so you are weary of this and so am I. To be honest it's late and my reply may not be as accurate as I would intend.

I don't think anyone has actually sided against the owner. I, and others, have only stated that we feel the odds are stacked in his favour.

'Wrt Sonofa's post...if I appear to be any of the things you accuse me of I apologise to you... perhaps you are a little sensitive... I in no way intended to offend and as you say most others seem to have taken my posts in the "good grace" that they were intended.'

Where I come from that is known as a backhanded compliment! I only said "taking your attitude with good grace", I didn't say it was intended.

To Poppysarah 'Ignore house prices going up and down. She's only able to afford to buy half a property. That means IMO and most sane people's opinions that there's something seriously wrong with the housing market.' This is an aspirational purchase in my understanding, so the usual rules don't apply.

A little bridge building:
'I wish all who responded to my thread success, happiness and contentment... after all that is all I seek for myself and my daughter.'

Followed by some bridge burning:
'I'll call it a day at that... I had hoped for contructive, helpful, knowledgeable feedback (even if it was counter to my thoughts) from people experienced in the area that we are entering into.

Unfortunately, I seem to have received ill informed guidance from a number (not all) of people who have completely mis-construde the situation to align to their prejudiced views.'

And finally:
'I am comfortable that given all the circumstances (and it has been impossible to share more than the basic details) there is less than 5% chance that my daughter will come out of this dis-advantaged.'

At this point I'm assuming your daughter is dealing with someone with the surname Windsor or called 'Duke of Westminster' and you have absolutely nothing to worry about.

Good luck to her. I wish her genuinely every advantage.

mlz1413

When I read post 26 last night I logged out so I couldn't reply - that post was insensitive. People have taken time out to answer your question don't put them down because you don't like the answers.

Krafty when people post a question on a internet forum it is normally because they have a doubt and/or wish to see things from a different angle. Having read your responses which say things like 'ill informed responses' and 'problems, problems ...... opportunity, opportunity' makes me feel you should just have posted original : My daughters got a unique opportunity which you mere morals will never have'. And thats fine as no one would put time and effort into seeing things from a different angle.

Sonofa put it extremely well and now I've had my vent I'll be off too.

Krafty

Krafty wrote: »

...... but would be interested in any feedback from people who may have been down this route.

Many thanks for your reply... if you go back to my first post the above is what it said/requested... unfortunately I received only one post where the poster stated their experience/background.

No other post stated that their opinion was based on this experience or that or that they were qualified to comment by way of being a Mortgage Broker or Financial Advisor.

Indeed when I posted by own circumstance in an effort to establish that I was experienced in life and the housing market I had it thrown back in my face in the form of some Harry Enfield character.

I'll graciously take my leave and make a mental note not to use such forums again.

Hillfly

Why not get some sort of agreement wherbey your daughter can rent the place for 5 years and then has the right to buy at the end.
The current owner then could have some income from the rent to pay of their mortgage and your daughter has the option on the house without the exposure /risk to the falling market.
The current owner would then have a greater chance of making gains in a rising market??

Just an idea. Not sure how possible it is?

poppysarah

Krafty wrote: »

No other post stated that their opinion was based on this experience or that or that they were qualified to comment by way of being a Mortgage Broker or Financial Advisor.

Because financial advisors and mortgage brokers have done such a good job recently?