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Putting in an offer for a shared equity home
mrcashman
Posts: 31 Forumite
My sister is looking to buy a property. When asking her about it she was shocked when I asked how much lower than the asking price she was going to offer.
The property is a shared equity home, and for some reason she thinks there will be no leeway in the sale price. The house was sold in 2008 for £50,750. Now it is up for £56,000. I am pushing her to offer £52,000.
The link is:
rightmove.co.uk/property-for-sale/property-30537187.html
Am I right to assume that she can put in an asking price of whatever with a shared equity home? What would be your price estimate?
The property is a shared equity home, and for some reason she thinks there will be no leeway in the sale price. The house was sold in 2008 for £50,750. Now it is up for £56,000. I am pushing her to offer £52,000.
The link is:
rightmove.co.uk/property-for-sale/property-30537187.html
Am I right to assume that she can put in an asking price of whatever with a shared equity home? What would be your price estimate?
Saving for a deposit £16,000 / £20,000 - 80%
0
Comments
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When most properties have fallen to about 2005 prices what have they done to add £5,000 to peak prices of 2008?
Sounds a complete rip off and shared equity make it sound a complete overpriced nightmare.
https://www.rightmove.co.uk/property-for-sale/property-30537187.html
Property Bee History
dateevent23 September 2011- Status changed: from 'Sold STC' to 'Available'
- Status changed: from 'Available' to 'Sold STC'
- Initial entry found.
Land Registry
19 Myrtle Drive, Burwell, Cambridge, Cambridgeshire, CB25 0AJ
£50,750, Terraced, Leasehold, Not New Build
History | Need a mortgage? | Valuation?
16-Dec-2008:exclamatiScams - Shared Equity, Shared Ownership, Newbuy, Firstbuy and Help to Buy.
Save our Savers
0 - Status changed: from 'Sold STC' to 'Available'
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I can't imagine anything has been done to add value to it Brit, but Burwell in Cambridgeshire is a very sought after place to live. Similar properties have been priced around 10k lower at around £140k, but of course, you need 20% of that for a deposit.
The seller was apparently very honest about the reason it was put as STC, which was due to a divorced lady looking to buy it.
Back to topic though, it looks from your comment as though prices are negotiable with shared equity properties.Saving for a deposit £16,000 / £20,000 - 80%0 -
I have just noticed that it says:35% of shared ownership available with fixed price and no onward chain.
Fixed price?Saving for a deposit £16,000 / £20,000 - 80%0 -
your sister will need bailing out at a later date if she goes ahead...shared ownership is just not the the thing to get into in a market where you can not see gains for many year to come.It is nice to see the value of your house going up'' Why ?
Unless you are planning to sell up and not live anywhere, I can;t see the advantage.
If you are planning to upsize the new house will cost more.
If you are planning to downsize your new house will cost more than it should
If you are trying to buy your first house its almost impossible.0 -
I would avoid shared equity at all costs, but if she really must have this house - ignore the bit about fixed price and make an offer.
The vendor is lucky to have interest in the house let alone a proceedable buyer, so he has to be willing to give a bit in order to sell.
If your sister doesn't feel embarrassed by her offer then shes offered too much!!0 -
I can't imagine anything has been done to add value to it Brit, but Burwell in Cambridgeshire is a very sought after place to live. Similar properties have been priced around 10k lower at around £140k, but of course, you need 20% of that for a deposit.
The seller was apparently very honest about the reason it was put as STC, which was due to a divorced lady looking to buy it.
Back to topic though, it looks from your comment as though prices are negotiable with shared equity properties.
Umm, 56k is 35% of £160k, so your sis is paying £20k over the odds. Tell her not to be so daft. The whole shared ownership [STRIKE]fraud[/STRIKE] deal has been founded on people paying way over the top because they don't need such a large deposit.
Edit: Are those £140k properties sold prices or asking prices?No reliance should be placed on the above! Absolutely none, do you hear?0 -
http://www.rightmove.co.uk/property-for-sale/property-33974243.html This one has an ASKING price of £135k, so probably under offer for around £120-130k. Say again why you think your sister's property is worth £160k?No reliance should be placed on the above! Absolutely none, do you hear?0
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Many shared ownerships are fixed price. You won't get very far offering under the fixed price, as the HA simply won't accept it.0
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Read this as that OP is trying to sell a shared ownership flat:
https://forums.moneysavingexpert.com/discussion/31944300 -
Read this as that OP is trying to sell a shared ownership flat:
https://forums.moneysavingexpert.com/discussion/3194430
That's not shared ownership. It's a homebuy loan, i.e Shared Equity.0
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