How to approach finance with parents

JackRussell

AylesburyDuck wrote: »

Talking of special.
Dont fall for it OP, feeding times over.

I cant believe how many immature people there are on these boards at times. Sad little keyboard warriors who probably do nothing but troll day in day out. Would love to meet them face to face :mad:

Also I wish I was s TESSM as it would knock at least 10 years off my age!

meer53

Don't think you'll have much to worry about. Your Dad won't drop his price and he won't pay the asking price, how does he think he's going to buy a house ?

JackRussell

meer53 wrote: »

Don't think you'll have much to worry about. Your Dad won't drop his price and he won't pay the asking price, how does he think he's going to buy a house ?

They would love to move house, and thats something we're trying to get them to understand. I guess after a few months, if there's hasnt moved then they may look again at prices. Guess I just have to hold out and as AylesburyDuck says, just be there if it doesnt work out. Fingers crossed it does,

KxMx

I wouldn't want my parents to make a decision that will cost them needlessly either, but at the end of they day they sound like capable adults. Their choice to make.

I think you need to respect your way of doing things is different from their way. Your way isn't automatically correct for them. And respect their right as adults to make their own decisions. Be there for advice if they seek it.

JackRussell

KxMx wrote: »

I wouldn't want my parents to make a decision that will cost them needlessly either, but at the end of they day they sound like capable adults. Their choice to make.

I guess its the same with your own kids in that you simply want the best for them, and to help out where you know you can, but I guess you can't actually do it for them.

AylesburyDuck

See downsizing can be for two reasons.
First is obvious, which is cost, IE buying a cheaper property and freeing up equity.
Second can be property size. IE your family is grown and you need to downsize from a large family property with stairs, to a two bedded bungalow with less garden blah blah.
One frees up money and strangely the second can invariably end up costing more.
Have they said its for freeing up money OP?

onomatopoeia99

JackRussell wrote: »

We told them they need to go in with an offer of around 20% less, but at the same time, to be prepared to receive offers on theres 20% less which my Dad said he would never accept.

Plenty of vendors will treat an offer of 20% under the asking price as having been made by a chancer who couldn't be trusted to go through with the deal without trying to get more money off further down the line. The consequence of this is that even if they come back with a realistic offer, the suspicion will be there and it may be refused on those grounds.

Not everyone moving home wants to be treated like a wannabe Arthur Daley, nor to act like one

JackRussell

onomatopoeia99 wrote: »

Not everyone moving home wants to be treated like a wannabe Arthur Daley, nor to act like one

True. I only mentioned 20% based on the figure we managed to get ours down to after researching the history of the property since going to market. Also it was a company selling it so there was more scope for negotiation. I guess what I meant was not going in with 100% of asking price. Maybe 15% first time offer?

AylesburyDuck wrote: »

Have they said its for freeing up money OP?

The area where we grew up in is young, and continues to be and also their current home is 2 storey and they're now looking at bungalows. They won't be releasing any equity in their current home as the areas they are wanting to move to will mean high house prices.

Candyapple

JackRussell wrote: »

We told them they need to go in with an offer of around 20% less, but at the same time, to be prepared to receive offers on theres 20% less which my Dad said he would never accept.

20%? I can remember stories from my parents that back in the day it was the norm to offer 10% under value. Nowadays you’d be lucky to get any discount whatsoever, and in most of the South East and parts of South West, you have to pay thousands over the asking price because demand is so high!

Do your parents have the £60k shortfall available, or are they relying on receiving full offer price of their house sale and the new vendor accepting their 20% undervalue offer?

I think you may just have to keep quiet on this one and best to let them see for themselves how different the market is now compared to when they last bought/sold.

JackRussell

Candyapple wrote: »

I think you may just have to keep quiet on this one and best to let them see for themselves how different the market is now compared to when they last bought/sold.

I think thats the general consensus.

House sales are different for each area. Never heard of over paying on property here for many many years so I'm glad I dont live in South East

When we sold 2 properties and bought ours, only 5 years ago, we took a 10% hit on our own, but got a 20% reduction on the one we were buying. It had been on the market for over a year, was over valued compared to others on the same road based on the current state etc and as previously mentioned was chain free as it was owned by a company. So I guess every house is also different.