Buying a highrise council flat in city centre

csgohan4

You cannot sell your house within a certain amount of years after buying without incurring a RTB discount claw back


RTB putting morals aside is a potential money dump


https://forums.moneysavingexpert.com/discussion/6003024/right-to-buy-flat-warning


https://forums.moneysavingexpert.com/discussion/5856039/service-charge-being-billed-for-5000-major-works


https://forums.moneysavingexpert.com/discussion/5789909/new-roof

MobileSaver

muhandis wrote: »

But I guess we'll have to agree to disagree whether the chance to buy a city centre ex-council flat at 33k (which as per what the OP said sells for 70-80k cash in the open market) is worth the risk or not.

If it were as simple as that I'd agree it's a no-brainer but the fly in the ointment is the five year clawback period.

A lot can happen/change in five years (Grenfell was only two years ago, for example) and that's why I think most financially savvy people would give this opportunity a miss.

muhandis

I agree, it's definitely not as simple as that. The fact that it's an ex-council high-rise flat brings with it a lot of risks as I've repeatedly acknowledged.

MobileSaver wrote: »

If it were as simple as that I'd agree it's a no-brainer but the fly in the ointment is the five year clawback period.

A lot can happen/change in five years (Grenfell was only two years ago, for example) and that's why I think most financially savvy people would give this opportunity a miss.

Lioness_Twinkletoes

You've had excellent advice and there is little point in reiterating the points made. I will only add this: I worked in Leasehold Services for my council for circa 12 years and I wouldn't buy a flat in a high rise. Councils are poor freeholders and the service charges will be high with the risk of the major works bill being astronomical

Go and buy something on the open market closer to the ground.

buglawton

Lioness_Twinkletoes wrote: »

You've had excellent advice and there is little point in reiterating the points made. I will only add this: I worked in Leasehold Services for my council for circa 12 years and I wouldn't buy a flat in a high rise. Councils are poor freeholders and the service charges will be high with the risk of the major works bill being astronomical

Go and buy something on the open market closer to the ground.

For £33k in Manchester city centre?

chunkytfg

buglawton wrote: »

For £33k in Manchester city centre?

£33k now with a £150k bill 3 years down the line or £150k upfront. I know which i'd rather choose:)