Right to buy! To buy or not to buy? Help please !!

Donna01

moremore wrote: »

Was this the amount on your section 125 from the council, or is it your own calculations? If it's the council's valuations then have the property checked out thoroughly by your own surveyor and also what the council has planned for it after 5 years discount has been paid back and the searches have expired....

Yes it's their purchase price on 125 form
how do I find out that sort of information??
This is the kinda advice I need, thanks
What's the worse that could happen after 5years? If I've brought at that price? What's the deal with searches expiring? Is this a bad thing?

moremore

There is no way you will be able to find out, searches are only for 5 years, unless the time length for search have changed. If not there is no way you can find out what will happened after the 5 years has expired. Councils are strapped for money especially in London.

Jenniefour

Mortgage company will check valuation anyway. Get a survey which could indicate future repairs apart from the obvious like roof.

OP, what do the service charges cover? Some councils seem to have a habit of sending out big bills for repairs on a one off basis. Useful to have a contingency savings pot of your own so any future work doesn't cause you hardship. Good that there's been upgrades already.

And I would advise being careful about who you approach for a mortgage. You probably need a whole of market mortgage broker who would have the necessary knowledge, as getting mortgage might not be straightforward. Post on the mortgage board and ask about this.

And some lenders have a minimum amount they will lend.

Mokka

The figures you gave do not quite make sense.
If you were a tenant for 15 years you should have got a 70% discount.
All the planned big repairs for the next 5 years should be listed on your Section 125 offer.
Yes, there is a housing bubble in London but in your case with the amount you are paying it's a bit silly to worry about it.
How are you hoping to upgrade if not buying?
Committing to a mortgage is nerve-wracking, only you can decide if you can handle this.
You are investing in your future- you will have no rent to pay when you are older. However there will be no security blanket (housing benefit) if you lose your job.
With a low-rise property you should not have many problems finding lenders- very few have a blanket ban on ex-council.
Unfortunately you cannot get a 'thorough survey' on a leasehold flat- the best you can get is Homebuyers Report which is a bit rubbish.
The council will not know what they will have planned after the next 5 years and you can influence what they do anyway- join your resident's association to have greater bargaining power with the council.