How to sell house with integral annexe

Woodlandfolk

We're retired and DESPERATE to downsize! Unfortunately, potential buyers' mortgage applications are being rejected because our property incorporates a modest annexe which is built into the side of the house. (We live in a popular coastal area & we've always found the extra accommodation to be an asset when friends & family visit.) A friend who works in holiday letting says that we could gain a huge weekly income by letting our 1 bed annexe during holidaytime but we're now too old for the fuss.
Structurally, it would be impossible to link the house and annexe although all services and utilities are shared. Apparently, this creates an insurmountable dilemma for mortgage providers.
Any information/support/advice for buyers & sellers would be greatly appreciated

moneyistooshorttomention

Perhaps it might help if we knew your particular reasons for downsizing - eg you are in a house and feel you can no longer manage the stairs or its down to having to maintain a fair-size property??

Would it work to stay where you are and rent out the annexe on a long-term basis to a household (for a rent inclusive of utilities etc)? - ie rather than thinking of a holiday let.

That way you could mentally "lock off and leave" that annexe - if the basic house, of itself, "works" for you.

Not a solution though if the basic house doesnt "work" for you and thinking cap on again...

Davesnave

I know of someone who removed the services, like toilet and kitchen sink etc from the annexe of such a property, so it became an 'outbuilding.'

iantojones40

Would it be feasible to have the annex and main house registered as two seperate dwellings?
Then just sell them as two separate properties?
Or, depending just how much you're wanting to downsize, you could then move into the annex and sell off the main house?

Ozzuk

If it is completely separate or has its own kitchen then you could be liable for a second lot of council tax, that could be putting people off - have you been paying it?

In that situation it might be worth selling separately if that is possible, it could cost a few k to do that (utilities) and you may be creating a commercial unit but if the price is right there should be a good number of cash buyers for it out there.

Hoploz

It sounds as if it is lenders who have the problem.

If a buyer were to go through a good quality broker, who could identify particular products which matched the house's situation I see no reason at all why they could not get a mortgage on it, it's not that uncommon a situation.

However, if the buyers are really unable to achieve this then it leaves no alternative than to incorporate it somehow. Theree must be a way, either by knocking a wall through or even adding an external corridor or something?

Perhaps you could post a rightmove link to the floorplan and some of us could have a look and make some suggestions how it might be done?

agrinnall

If you're that desperate to downsize then maybe simply demolishing the annexe would get you a quicker sale, albeit for less money.

eddddy

Does the annex have a kitchen? If so that is likely to be the problem.

Mortgage lenders don't like lending on properties with two kitchens, because of the potential to rent out part of the property.

Some people have solved the problem by removing the cooker from the second kitchen - and call it a laundry room or utility room.

Google 'Mortgage two kitchens' for lots of discussion about this.

tlc678910

Advertise your house cash buyers only. It sounds like it would suit someone selling up elsewhere to move to the coast who want space for family and friends or a small business perfectly.
Tlc

gwynlas

We are hoping to buy a house with an annex probably next year as hope to sell buy to let. Looking at estate agents listings we are seeing many with annex potential i.e. a downstairs bed and bath.
It might be that you could re-name annex rooms kitchenn could become utility room other rooms could be study, home office, playroom.
If your annex is integral rather than stand alone with seperate council tax there should not be a problem.
If it is separate then find out potential income and have it listed as a positive.

Davesnave

agrinnall wrote: »

If you're that desperate to downsize then maybe simply demolishing the annexe would get you a quicker sale, albeit for less money.

Might be tricky if it's truly 'integral!'

I have a couple of annexes on my house and very handy they are too, but they're officially boiler room/workshop + store. No one has questioned the fact that they're insulated and one is centrally heated.