Duplex Renovation Questions - Into 2 flats

puddy

very nice, but it has a separate kitchen to the lounge and a utility room and a parking space, will yours have this?

cottlad

we could have the seperate kitchen just as easily. We just thought the wow factor of a huge space comprising kitchen and LR would be more modern/appealing/wow

cottlad

Fire_Fox wrote: »

In post 12:
"£10k? I can go onto the highstreet and buy a very nice kitchen to fit the space for <£2k which only needs fitting along with some nice tiles and a decent cooker. I wasn't planning on purchasing a diamond encrusted aga"

You are getting help and advice, but you appear to want someone to agree your figures stack up when they don't. Why do you think I am bothering to reply? Because I don't want you and your wife to go bankrupt.

You will need to pay for a new electricity and water meter, gas too if you have it.

OK so i missed out worktops

What part of my figures don't stack up IF i can get the job done for <£50k? I thrive on negativity as it gives me balance and also the chance to prove someone wrong (motivation.) Constant negativity thouigh even when i try and explain why / what / where / how much etc wears a bit thin. I'm all up for fair warning and criticism but there has to be at least a little balance with optimism

puddy

i suppose its horses for course, i personally dont like open plan

so lets do some more figures, but you'll need to look some stuff up

so far we have

architect 1k
selling costs 3.5k
builder, fixtures, fittings and vat 55k
legals 1k
cost of lease ?
party wall agreement 1k (guestimate)
planning app for 2 flats 1k
gas, electric and water meter changes..... well we recently wanted our electric meter moved, we were given an estimate of 2k by EDF, we didnt bother of course,
but lets be positive and assume .5k for each of them, that makes 1.5k (i assume you wont pay for one of the flats as you'll just keep the same)

so now, outgoings is 270k mortgage, plus 64.5, plus the lease, making 334.5, plus the leases

so to break even you need to get 170 for each flat (assuming leases are only a couple of grand, but i think this may not be the case)

marcg

I wouldn't do all that for £1k, more like £2k.

Also consider - at the mo you have £270k owed and a duplex that won't sell. In the future you may have £330k owed and two flats that won't sell. It may or may not be the solution but it increases your exposure (ie gives you a bigger debt).

Assuming you are right and you know the local market, don't get a "quote", get a fixed price and a contract.

Fire_Fox

cottlad wrote: »

OK so i missed out worktops

What part of my figures don't stack up IF i can get the job done for <£50k? I thrive on negativity as it gives me balance and also the chance to prove someone wrong (motivation.) Constant negativity thouigh even when i try and explain why / what / where / how much etc wears a bit thin. I'm all up for fair warning and criticism but there has to be at least a little balance with optimism

I am sure we all would be panicking in your shoes but, as a result, you are pricing up a sledghammer to crack a nut. The property is stunning and the location is great, and you have oodles of space. As it stands the house is overpriced, but quite a few of us on this thread have suggested this may be because of how badly it is currently packaged. You also haven't investigated the financial implications of getting all the permissions in place and selling on the potential.

IMHO your estate agent needs a rocket up their @rse - they should not be advising you to spend tens of thousands of pounds and embark on months of stress when they haven't got their own house in order. When buyers look at Rightmove they don't see a spacious four bedroom period apartment - they see a single two bedroom flat that has potential. That is not your fault.

It needs partially redecorating, as neutral as possible (your estate agent should have advised you this by now). You need new photos - I only see one bedroom, I want to see at least three. What is the photo of the desk adding? You need a plan and you need wording that makes me understand what it is I am buying - how many square metres? Is it a house or an apartment? Are there great views as you are so high up? Is it in a the catchment area of a particular school?

I am not sure any of your figures add up but again I think you are being badly advised. Your estate agent has told you £165K yet you are aligning yourself with £200K flats, your builder has suggested £20K per unit yet another professional on this thread has said £40K. You need second and third opinions as I do not like these discrepancies. You cannot do the conversion for £50K unless you get mates rates and you make it your full time job ... but maybe you are selling yourself short at £165K for the finished article??

Fire_Fox

marcg wrote: »

I wouldn't do all that for £1k, more like £2k.

Also consider - at the mo you have £270k owed and a duplex that won't sell. In the future you may have £330k owed and two flats that won't sell. It may or may not be the solution but it increases your exposure (ie gives you a bigger debt).

Assuming you are right and you know the local market, don't get a "quote", get a fixed price and a contract.

How much would you charge for project managing the conversion please?

cottlad

Ya FF i agree... the EA needs a rocket (or a gun.) We've been silly really and just hung on hoping for the best. Time to get pro-active me thinks.
As for alligning with 200k flats..... well i would say 185k-190k but the 165k figure as stated was the 'sell now' figure.
So am probs gonna sack the current EA whatever i decide. Apparantly our bill with them is currently 700 mostly due to adverts the missus was talked into taking when they 1st marketed it. I wonder if i can contest any of this charge after a 3 year non-event?

I've had 1 x 40k+vat estimate in already and will come back with more estimates as they arrive over the next day or 2.

I've asked for all the estimates to include all services, F&F's, painted walls, tiling, sound, fire etc etc so there shouldn't (theoretically) be anything to add to the price for physical items.

cottlad

Other thing about sacking the EA would be a) paying them off and b) having to get a HIP pack or whatever they are. Don't need at mo as property was on market before necessary.

puddy

so how does it work with the mortgage then

you convert this into 2 properties, but put them up for sale, lets say it takes 5 weeks or so to sell because you want a better price

in the meantime, will your OH have to apply for a new mortgage for each of the properties, paying off the old one obviously when she gets the new mortgage for each new property?

if not, i dont understand how it would work because the same person on the deeds has to be on the mortgage, but in this case there would be 2 sets of deeds but only one mortgage until they sell?? is that right?

have you got any sold prices for your road or surrounding roads for 2 bed leasehold flats?

will you have a parking space for each flat?