FTB: Is this property a real bargain?

James129

Just eager to know the opinions of experts here.

I have been keeping an eye on the properties where I work which is just outside Cardiff and I spend almost 2.5 hrs commuting everyday.

The property below was priced at 79,990 couple of days ago but the price has now dropped down to £67,995.

http://www.rightmove.co.uk/property-for-sale/property-18718068.html

My parents are going to match my deposit to help me out buying my first property, so as things stand, I already have deposit of over 50% if I were to buy this house now.

The only concern is, in 3-4 years time, I am determined to relocate to London or Manchester and that time, I might have trouble selling the property as I believe its hard to sale properties in small towns.

The above would be just a mile away from my workplace.

But do you think the above property is a bargain?

Emmzi

have you taken into account the cost of buying and the cost of selling?

If I were moving in approx 3 years time I would sit tight in rental, as in addition to these costs, you are taking a gamble on property prices. Irrespesctive of if you think it is a bargain *today* or not.

James129

I would assume solictor, estate agent and other fees would be around 3k max?

I have been renting for last 3 years and I not really keen to rent anymore. Although I would have if someone said house prices are going to drop 10-15% in next couple of years. Thats just wishful thinking.

At the moment my rent is around £5,000 per annum, which isn't bad. But I am confident if I were to proceed with buying the house, I'll be able to pay the mortage of 34k within 3-4 years.

slkh

I would say go for it whilst property price's are low, you have a very healthy deposit and should you want to re-locate in a few years time you could always rent the property out to cover your mortgage cost's! I would just say research the area well before making any firm offer and try and find out how long the property has been on the market as that is quite a drop in a few day's! Just make sure there are not any serious reasons why the current owner want's to sell so quickly, apart from that I would make an offer around 60,000 to start and see what happens!

Emmzi

James129 wrote: »

I would assume solictor, estate agent and other fees would be around 3k max?

for selling, and I'd say that is a little light, you may also want to redecorate etc. My last sale was more like £5k.

Then all the purchase fees again. New survey. New mortgage arrangement fee. Etc.

I'd be putting aside about £10k for a move buying and selling. (Am a pessimist)

Over 3 years that is £280 a month. Plus possibley any loss you male on the sale, *if* you can get a sale in a rural Welsh location.

So the question is, is it worth that to you in cash plus risk, not to rent? If it is, go ahead!

Doozergirl

If you have a decent deposit, why would you buy something that ugly? I don't think you could ever call something that looks like that a bargain. Sorry. They sell houses with windows too

Cheap Ex-council houses are cheap for a reason. As long as you are aware that it's this part of the market that suffers most in a bad market and grows the least in a good one...

If you want to go for it, I'd question whether it's of standard construction. And watch the original floor tiles (I'm guessing here) for asbestos. Don't break them up.

katepnlo

I would wait.
A Doozergirl says..It's ugly. i clicked the link and cringed and the outside. That was my honest initial reaction.
sorry :P

bodmil

katepnlo wrote: »

I would wait.
A Doozergirl says..It's ugly. i clicked the link and cringed and the outside. That was my honest initial reaction.
sorry :P

Try the google street view!! :eek::shocked:

t0rt0ise

It looks like the worst end of a huge estate. No wonder they put the price down, they are probably desperate to get out.

InkZ

If you are moving in 4 years time, just rent.

And yes, it looks horrible, surely it's going to be hard to sell!

Thefunkygibbons

What opportunity would you have to improve it, at a reasonable cost?

It might then be possible to improve the value even in a flat market

However, for me, that one looks a bit too cheap