Shared ownership or wait?

AliceBanned

zzzLazyDaisy wrote: »

Sorry if I have missed this, but how does the total cost of the SO (mortgage repayments, rent, maintenance charges) compare to the rent that you are paying at the moment?

Also, while it is normal to have a clause in the tenancy agreement preventing sub-letting (that is to say you go off and live somewhere else and rent the house out) this is unlikely to extend to lodgers, as they have no rights, and can be asked to leave on very short notice - it is the granting of tenancy rights to third parties that the clause is targetted at).

Hi, no you didn't miss it. It works out a lot more expensive - £750 pcm as opposed to £340. However I will save £100 pm in petrol and £50 pm in train fares, possibly more as I work from home some of the time and might try and persuade my employer to let me do more days at home.

So it is a big responsibility that I'm taking on, in exchange for a better social and home life and shorter commute, and less travelling in general. Much more upmarket area as well so hopefully better quality of life generally in many ways.

Thanks for your comment about lodgers - yes it just gives me a safety net if I could rent out a room some of the time, if it became necessary. Unlikely that I would but good to know.

AliceBanned

simonreed1977 wrote: »

Probably not a bad idea if it helps ease any financial burdens in this current climate, I've got a shared ownership out in Spain on an apartment and it hasn't caused any problems whatsoever...yet

Thanks. It seems fairly logical to me. I guess the problem for everyone is not knowing - at any time - whether the property market will suddenly change. It is a slight worry but I would wait for ever if I don't buy a place because of this.

AliceBanned

Gelly123 wrote: »

Re vivatifosi's post about density and noise, thankfully AliceBanned knows the area and is aware of the density and build up of the area.

Yes, it's probably over populated but the majority of people living in the marina flats are young singles or couples that are at work most of the day and only home in the evenings / weekends.

Generally, we found it fairly quiet there but this was in 2005 - 2007 so the dynamics might have changed a bit although I doubt very much.

There are some families in the flats but the majority of families are in the MHO houses that front the entrance of Apsley Lock, on Belswains Lane. These are traditional social housing and are 100% rented by MHO.

I don't think the property is any better or worse than any other flats to be honest. Sounds travels through flats - it's a very common issues and yes, if the people above you / next to you / below you are having a row then you'll hear it but generally, you won't hear much noise.

It's in the interest of the residents to be considerate to their neighbours as, with a SO property, you still have an obligation to MHO to be a considerate tenant and not upset people.

The walk along the canal in summer is fantastic - walk either way and you'll meet dog walkers, people that live on the canal boats and come across some lovely pubs.

All in all, if I needed to move into a flat again, I would definitately move back there as it's got so much going for it.
Hope this helps a bit.
Good luck
Gelly
x

Thanks Gelly. My experience and gut feeling is good. I don't have a crystal ball..I agree there will always be some neighbour noise through flats - those ones are spacious and well laid out, high ceilings etc. so hopefully not too bad. I love the barges and the canal too - I've walked along with friends and been to the pubs. Find it extremely relaxing and friendly.:)

zzzLazyDaisy

Hi Alice, another thought just occurred to me, on noticing your signature.

When my cousin bought her SO house (a very good move for her BTW) the HA did an affordability check and insisted that she had to pay off all her credit cards and be totally debt free, before they would accept her.

In her case, she was able to do this from her savings and still have enough money for the deposit. But it is something you may need to be aware of.

AliceBanned

zzzLazyDaisy wrote: »

Hi Alice, another thought just occurred to me, on noticing your signature.

When my cousin bought her SO house (a very good move for her BTW) the HA did an affordability check and insisted that she had to pay off all her credit cards and be totally debt free, before they would accept her.

In her case, she was able to do this from her savings and still have enough money for the deposit. But it is something you may need to be aware of.

Hi, that has happened to me on another application a few months ago, but on initial affordability check they have accepted me. I need to send the full details within 7 days but they have sent me an offer based on my giving details initially over the phone. Hopefully it will still go ahead.. if not I will keep trying to save - I am simultaneously trying to save and pay off my credit cards and currently have £1000 pm available to do this as I have low outgoings, with lodger and cutting back etc. Fingers crossed but thanks for letting me know!

AliceBanned

ps to be honest the timing isn't the best for me! But as they accepted initially and I really like the place I may as well take it further and see how it goes.:)

AliceBanned

Hi

I've decided that my funds aren't really at the place I need them to be, before I make any decision. I'm awaiting a few payments over the week or two which will make my financial position clearer.

I saw another flat in Apsley yesterday, and went back to the SO one also for a second viewing. They couldn't be more different, but as I am a first time buyer I need to plan at least the first few years carefully as that way i will be in a better position later on.

It's hard, still a head versus heart decision. My friend came with me to see the SO flat and the other one, which also has a pleasant (but nowhere near so grand and salubrius) location. The smaller one is on at £117 and I know it has been on the market for a while. The EA said there was room for negotiation -so there should be - mould in a very dated bathroom due to extractor fan not working. Tenanted at the moment. Some buy to let landlords appear to let some appalling properties - this is the second one I've seen in the same block which has some mould due to no window in bathroom, extractor fan problem; unless the real reason is bigger than this. Bit worrying.

When my deposit is bigger I could put in an offer of £100k - better perhaps than continuing to pay rent, as I would with the SO one, but actually the SO flat which is really stunning, would cost me only about £250 pcm more to live in, than the more bog standard one (which also needs updating, not something that puts me off). Seems not a lot considering they are a world apart in so many ways.

RoxieW

Just for those who say SO are hard to sell on - sold mine today at 1k under asking price in 7 days they are sought after in my area with ftbers

AliceBanned

Congratulations.:)

The one I am looking at is good value for money but I need to save a bigger deposit so that the rent part is lower (as I know this can rise each year).

Will get there but have decided to first save enough to have a buffer. Then I will be comfortable with buying, whether SO or not.

RoxieW

Our rent rose about £3 a year but I know that this can widely vary. It's also good to check if you have the option to buy further shares if and when you should wish to. best of luck with whatever you decide.