1st Time Buyers. How much to offer?

lauradanaura

Hello Moneysavers,

We are a couple of *inexperienced* first time buyers.
We have found a property we are interested in but it requires a lot of work; we suspect not just cosmetic. The place has lots of potential but is at the top of our budget. We have no idea what to offer at all. We know we need to get this bit right to avoid getting stung.

Property: is on right move --> property-for-sale/property-57099789.html

Has been on the market since Oct 2018 (5 months), with one offer which was declined. We know the vendor has inherited the property and lives far away, but suspect they are holding out.

Properties like this usually get snapped up by investors and renovated and sold on for profit but we genuinely want to find a home we can renovate then start a family in.
Any advice would be very much welcomed.

Gwendo40

https://www.rightmove.co.uk/property-for-sale/property-57099789.html

It looks overpriced compared to other recent sales of 4 beds on Ghyll Road which have gone for £300k-£320k both of which were fully modernised, this one would probably cost £30k-£40k on the 'cosmetic' work... more for any hidden work that you suspect is required.

As you say the fact that no investors are interested in it is a good indication that it's not worth the asking price.

In my experience probate properties in need of modernisation seem to come with the most unrealistic asking prices and the most stubborn/greedy/deluded vendors of all.

I personally wouldn't pay a penny over £280k for this one.

_CC_

Given the time it has been on and sold prices of nearby properties I would personally offer somewhere around £285-290k.

Not sure on the £30-40k cosmetic work quoted by previous poster, seems way too high unless you run into hidden issues - get a full survey and also get electrics etc. checked. Re-wiring could cost a fair bit if needed but best done at the start.

Davesnave

_CC_ wrote: »

Not sure on the £30-40k cosmetic work quoted by previous poster, seems way too high unless you run into hidden issues -

I could throw £40k at that quite easily, just updating and without getting into silly territory with fittings. It is likely to need some rewiring and the roof also needs work. It's not been messed with, which is good, but it's a big place o take on as a first buy.

While it would be nice to choose the new kitchen/bathroom etc, if others had already done that and not chosen anything outlandish I'd be happier. I'm realistic enough to know my skill set!

But would I want to bring up a family on a small plot next to a major road, with a potential development plot behind putting a question mark on the future, even if the particulates eventually fall.....? No.

SmashedAvacado

Offer less than you expect to get it for.
You never know
Then increase the offer by a small amount
Repeat
Stop when you consider that you are overpaying.

Cakeguts

I think that that is going to take a lot more than cosmetic work as in a new kitchen and bathroom. Plus it is on a main road and in a private road so you could be asked to contribute to repairs to the access road.



Do you have any objection to living next to a big council estate? If so have a look at google maps at what is on the other side of that main road.



Living there is going to be noisy. Sitting out in that side garden in the summer is going to be noisy. The house is in a triangle between two busy roads and railway line. It wouldn't be my first choice of location.

Crashy_Time

Anything over 250k isn`t sensible IMO.

KatieDee

Not to make any presumptions about your financial situation, but have you considered how you're going to fund the work on this property?

My partner and I found a place that needed a lot of work (although nowhere near as much as yours) and went in with a low offer. Other things happened during the purchase which ended up causing issues BUT when we sat down and added everything up, we realised how difficult it would be. We're both very decent earners but couldn't have managed long term with the potential outgoings in the house (not even considering those hidden issues that always come up!).

It looks like a lovely shell of a house. What's the general area like? It looks to be on a main road near a small shopping area and several fast food places. Another thing I would say is to consider the area over the house - you could spend a good £40,000 but many people wouldn't consider spending over a quarter of a million pounds on a property that isn't in a good area. Although if your plan is to have it as a forever don't, I don't suppose this matters.

Crashy_Time

The photos are pretty good, that definitely isn`t the problem.

Davesnave

Crashy_Time wrote: »

The photos are pretty good, that definitely isn`t the problem.

Your comment here and on the Mc Carthy Stone thread show your attention was elsewhere tonight, Crashy!:rotfl: