Developing question

lauren1983

Hi everyone,

im just after abit of advice or just your opinions.

We have recently been offered a house at a good price,ripe for refurbishment!

Me and my partner have a joint mortgage on our current home which we have about 20k tied up in.

My query is:

1, should we sell up and move into the development.so we just have one motgage to pay and use the money from the sale for deposit costs ect.

2, take my partner off our mortgage so that he can then get a mortgage of his own for the refurbishment.meaning we can still live and keep our home and not in a building site.

I know i must sound like another property developing wannabe but it just seems like to good an offer and wanted to see what my options would be.

Thanks

Lauren

Doozergirl

It depends on what exactly needs doing as to whether you can live in it!

In order to take your partner off the mortgage you have to pay the legal fees to get the title of the property transferred over. You also need to ensure that both you and your partner can afford two seperate mortgages without the other's income to help with lending multiples. it's too much admin in my opinion.

It is a nightmare living in a development - I've not even tried it in a major project as it would be impossible; apart from the severe disruption, it would affect how the contractors go about their work too much and would cost more.

I live in a rented house now which is just easier all round, financially and personally.

chant1l

I'm with Doozergirl here, moving in to a project is a completely false economy. Caravans/renting etc are all better if unpleasant.
Subbies hate working round people because you will slow them up, they will be inclined to charge more because of this (their time is money).
Apart from that it will sap your will to live.
Bitter experience talking here.
It is only feasible if you are doing a light refurb(kitchen /bathroom/ paint/carpentry) if it involves plaster, woodchip wallpaper removal, bricks internally electrics combined with plumbing I would want a clean bed (with a working shower)away from the muck to sleep in!

clutton_2

have you done the figures - how much will the refurb cost ? how long will it take ? how many months of mortgage payments will you have pay before you sell it on - or move in yourself and sell your current place ? (bank on a year); have you got 3 builders in mind for 3 quotes ? who will project manage it ? do you need planning permission for your development ?

save-a-lot

blockhunter - you are not allowed live links in your signiture - it is one of the forum rules... you can put it in your public profile though

My brother moved into the house he was refurbing and it drove him crazy as he could never get away from the mess.

clutton_2

i will NEVER NEVER again live in a bulding site - never nver never !!!!1

rizla01

Or...

Get in touch with a couple of EAs and explain to them what you are planning to do with said prop and ask them to give a valuation (Drive-by) on your proposal and if financially viable then sell up, live in property and remarket it at a better price and make the money without doing anything other than a light redec. others will see the potential and will make bids accordingly - or put it in auction with a realistic reserve.

In ordert to answer this question properly we would need to know how much money you are worth, cost of prop and expected resale, and therefore how much profit we are talking about.