Opportunity to buy the house I rent

chriseeboy

Hi, advice needed please.

I have rented the same home for the last 5 years and have become very happy and content in it. Over the 5 years I have developed a good relationship with my Landlady and always communicate directly with her and cut out the Rental Agency.

I have just been notified of her intent to sell the home I rent. I notified her of my wish to buy it. Her plan is to invite three local Estate Agents to give a valuation on the property and from which, give me a non negotiable price to buy.

With this information I can approach mortgage companies to secure a mortgage. I know it will be touch and go despite having a well paid job and some savings.

My concern is, the Estate Agents, in order to secure the instruction of a very marketable 2 bedroom end terraced house in a popular and peacful area will be over value it by £5 - 10,000.

I have been told that if I was not in a position to buy I would be given 6 months notice which is very fair.

I could take my chance and suggest they put the property on the market and bid for it in the normal way to arrive at the genuine market price.

What negotiating tips can anyone offer for a non negotiable price and at the same time keep things amicable. Bearing in mind, I really do not want to lose this home.

wecanhelpu

See what the valuation comes back as and take it from there.

Don't forget to negotiate.

And finally, if it is put on the open market, you need to make this house so unnactractive that nobody in their right mind would want to buy it (except you of course) which means you'll get it for a better price.

The opposite of house doctor if you know what I mean?

best wishes

angel_eyes_3

Could you offer to pay for a proper valuation? That way you would know you were getting a fair price.

jaype

Firstly, what is the current market like near you - do things go immediatley or is there a lag? If there's a lag I'd take the 6 month option. Interest rates are rising and I can only see prices standing still at least. Bear in mind that you will only get what the mortage co's surveyor thinks is worth it. If the EAs overvalue by 10k then they won't lend you that much, and the banks are currently tightening their belts... Bear in mind that by your buying, tthe landlord is avoiding a void. If you gave a month's notice tomorrow she could be stuck with it empty for 3-4 months while the sale goes through. Whatever you decide, flag this up and make clear that the convenience and savings (no Ea fees) from a private sale mean you expect a discount. Although in the end we didn't buy (bad survey) 3 years ago we had the same converation with our ex landlord. Knocked him down from 137 to 129.5k as a result. It can be done! good luck...

Doozergirl

I would still negotiate on a non-negotiable amount unless I really felt it was a fair amount (ie. they'd taken a sensible asking price and knocked off a bit for not paying an EA and the fact that they will not have the house empty at all).

You can check recent sold prices at www.nethouseprices.com which is helpful if you live in a street of similar properties Otherwise, start scouring the property papers, having details sent to you and even viewing other houses so you can really decide if the house represents value for money in comparison to other on the market.

vansboy

There's nothing wrong (legally) in getting a couple of agents round to value it, as if it was YOU wanting to put it for sale!

Then you'd have even more how saleable & at what amount, it is.

Can't imagine it being the easiest sale, from the owners point of view, until the place is fully vacent - the potential buyers don't know you're not going to squat/trash the place/or just be awkward come time to move!!

That must make it more in your favour!

VB

ginger_nuts

if she is giving you 6 months notice then she cant sell it for 6 months .also you have to agree to people looking around your home .And that has to suit all partys concerned including you.
So if you buy the sale could go through much quicker ,with no viewings and no EA bills .

mightymouse

Doozergirl wrote: »

I would still negotiate on a non-negotiable amount unless I really felt it was a fair amount (ie. they'd taken a sensible asking price and knocked off a bit for not paying an EA and the fact that they will not have the house empty at all).

You can check recent sold prices at www.nethouseprices.com which is helpful if you live in a street of similar properties Otherwise, start scouring the property papers, having details sent to you and even viewing other houses so you can really decide if the house represents value for money in comparison to other on the market.

Hi

Along with above I use propertysnake to tell me what prices are doing at the moment as well as say 2/3 months ago.

http://www.propertysnake.co.uk/

david29dpo

dont forget you are in an excellent position and your landlady will know this. the extra money she MAY get from putting it on the the market and selling to someone else will be more hassle then it worth. doozer is right. (as usual!)

pinkshoes

If she gives you 6 months notice, she can still sell it, but with tenants in situe...

I would get the propertly valued, then agree a price with your landlady that you're both happy with. This way she won't need to use an estate agent, so won't have to pay them a 1% - 2% fee.

Check out the local market and see how fast houses of this type are moving, because if they're in demand, then you might have to pay the asking price.

Greenstuff_2

When the estate agents come round pay a bunck of local kids to sit on a nearby wall and pretend to dring alcopops and swear, borrow a very large hairy dog, get neighbours to row loudly (better the devil they know, they could get anyone as neighbours) fill the house with fag and cigar smoke and have the place really cluttered and untidy for pictures.
Seriously she is (quite rightly) doing everything in her favour, she is selling now as prices are dropping, but to say you cant negotiate is not fair, anyone coming in would negotiate.
Keep a close eye on rightmove and propertysnake to get a fair price, but bear in mind prices are dropping so think carefully if this is the right time to buy...
It's better to sell 6 months to early than a day too late, that applies in reverse to you too, you could pick up a right bargain in 6 months time.
I would also keep your cards close to your chest, she is probably giving you the 6 months grace period as it's in the contract, I would definatly take her up on that, in the least it will give you thinking space and a winter market is slower than a summer one, you can always change your mind but if you dont you cant change it back again.
She is looking out for number 1, you should too.
A lot of smart BTL's are coming on the market, as you have been renting so long she knows what she's doing and knows the time to sell is now for maximum profit, trouble is that profit all comes from you...