Help: Buying the property that we're already renting

Hoxy_Hoggins

Hello all,

Does anyone out there have any experience or tips regarding the purchase of a property which you had been renting?

We're in direct discussions with our landlord and he's amenable to selling us the house we're renting privately from him already. He's had some estate agents in to value the property and has given us an idea of what he'd like for it. We've had a few viewings on other properties in the area for comparison (both in terms of VFM and to keep our options open), but for the money it seems that where we are represents the best overall package for our needs.

My main question is: Given our situation, what leverage do we have with regard to negotiating a better price?

The way we see it; he has the convenience of not needing an estate agent (would be a private sale), we're in place already, no chain, the place would not be empty if we elect to move on anyway, there'd be no need to show prospective buyers round, we would pay him rent up to the day of exchange... ...is there anything else in our favour that we could bargain with to negotiate on the price?

Our benefits are that we know the property and area, would incur no moving expenses, and also gain from the "intangibles" of having all utility suppliers set up and already in our name, no need to inform our banks, DVLA etc., of a change of address, and so on...

Any advice from anyone with experience of this kind of situation would be very welcome.

Thanks in advance!

HH

lynzpower

as you live in the house already, is there anything that you know needs replacing or is a bit dodgy- windows, door frames, boiler, heating system?

Hoxy_Hoggins

Thanks for your response lynzpower. I can see the way you're thinking, good thought!

The property is basically sound, despite its 200+years! Only couple of things spring to mind - occasional leak under the kitchen sink and a few slipped roof tiles... may well mention as we move forward with the process.

Anything else, anyone?

A thought I had since my first post is how do we go about getting a 2nd opinion of the indicated value for ourselves? Get a chartered surveyor in or ask an estate agent? In the case of the latter, should we explain the situation or make out that the place is ours? Are there likely costs with either of these methods (and any way to minimise or avoid them?)

HH

lynzpower

OK

A few thoughts

You COULD if you were feeling sneaky, ask an EA to come over to give you a valuation?

You could also check out something like nethouseprices to see what other stuff in the area has sold for

Would you be able to get a mortgage for what the LL wants for the place?

Phirefly

Very envious - We've been trying to buy our rented property for 3 months now, I won't bore you all with the details, which can be found here... http://community.channel4.com/eve/forums/a/tpc/f/6026044741/m/4650002526


You really should think yourselves lucky that he is willing to sell it and with all that money and hassle you're saving, you'd be wise not to try and be too cheeky on the price. Good luck

Hoxy_Hoggins

lynzpower - thanks again for your response.

Our mortgage advisor reckons so, yes.

Phirefly - quite a tale. Not bored with details - glad to read of somebody in a similar circumstance to ourselves - albeit with a more reticent landlord!

We are aware of the fact we need to tread with some respect - the guy has been good to us thus far - so we will try to be to him in out offer. It's just we don't feel that the property is worth quite what the (seller biased) estate agents have made it out to be, which is why I was asking for any leverage tips to assist in our unusual circumstances.

Good luck with your potential property, hope to read of some success soon for you - we'll post here as to how we go on...

Is there anyone else out there with similar experiences or further feedback, who can offer any input, please?

HH

Mrs_pbradley936

On a practical level, if you can agree a price make sure that the rent due date falls on the same day as the completion. If you don't do that you have to legally apportion the rent which will add to the costs of the solicitors fees.

Also I would factor in the convenience to yourselves of staying in the same place as opposed to moving to a similar property in the area. If you moved elsewhere you would have to give the required Notice to the landlord, the viewing and buying would be similar but you would have to tie it up for the day you move out or incur additional expense. If you move you have to arrange to change the utilities and hire a removal van (or is it furnished?) If it is furnished are you buying that as well? So all in all there are some aspects which involve convenience rather than finances - it all depends on how much you value your time and sanity!