Buying question: overlooked by big high rise social housing block - a bad buy?

annetheman

I am going to put in an offer on a small terraced house which I think is good value* on a decent tree-lined street but in a poor area of an inner city.

I can update the condition of the house itself. The only thing that is out of my control is that it is sort of overlooked by these social housing blocks (1 low rise, 1 high rise and 1 medium rise in development):

View from the front door

The high rise is also visible from the end of the back garden (it is sort of sloped upwards), but unfortunately I don't have a photo of this.

For me, this is not a deal breaker - I intend to stay for many years hopefully, and reselling is not on the horizon - but when I do, I think it'll make it difficult to find a buyer, AND the value will be impacted, regardless of how nicely I upgrade the inside.

Would the overlooking (objectively ugly) tower put you off?

*This house has been on the market for 6 months and has been reduced. Comparable houses on adjacent streets (and even further down from the tower on the same street) start at approx £60-100k sold price than this is on the market for.

Brie

I would drive around the neighbourhood on different days at different times. Viewing on a Tuesday afternoon when kids are at school and people at work is one thing but what's it like at 10 pm on a Friday or 10 am on a Saturday.  

Is there any cut throughs between the social housing and the local school close to you?  That put me off one place we were looking to buy.   What else is nearby?  Football ground, pub, Aldi?  Is there off road parking so you can have a ring doorbell to keep an eye on your car for you??

annetheman

Brie said:

I would drive around the neighbourhood on different days at different times. Viewing on a Tuesday afternoon when kids are at school and people at work is one thing but what's it like at 10 pm on a Friday or 10 am on a Saturday.  

Is there any cut throughs between the social housing and the local school close to you?  That put me off one place we were looking to buy.   What else is nearby?  Football ground, pub, Aldi?  Is there off road parking so you can have a ring doorbell to keep an eye on your car for you??

Thanks for this brilliant advice. I actually did, I visited the area 'after school' the day before I even viewed the house, and also went for a walk to the station and back in the dark at evening time after viewing. TBH I think my perspective was skewed after viewing because I was excited by the potential, so I felt totally safe and even liked the 'buzz' of the multicultural lively atmosphere at night lol. I should have done that walk before viewing but I digress.

There is nothing else of note nearby, and the parking is good, marked off by dashed line bays on either side and enough space in the road for 2 cars to park. People in the blocks do not qualify for permits - all the parking is permit-only.

There are no cut throughs or alleyways behind the houses, and it is just off a big main road, also very leafy, big oak trees lining it all the way down. It is actually really nice but it is a poor area so there is litter, obvious deprivation and I saw things like empty bottles of vodka on the street corners. 

As I say, for me, this is not a deal breaker but am I in the minority? I grew up in Johannesburg (South Africa) and Thamesmead, so I'm used to ugly brutalist architecture and living among lots of crime... Hence I need more objective opinions!

FlyMeSomewhere79

The difficulty with that location is knowing what the future might bring, bad tenants moving in, gangs of youths becoming a thing, the older blocks being demolished and replaced with even bigger blocks.

It's not just the aesthetics of it, it's will people feel safe enough living in an area like that. 

annetheman

FlyMeSomewhere79 said:

The difficulty with that location is knowing what the future might bring, bad tenants moving in, gangs of youths becoming a thing, the older blocks being demolished and replaced with even bigger blocks.

It's not just the aesthetics of it, it's will people feel safe enough living in an area like that. 

That is a good point - I am going to generalise quite a bit and do apologise if I offend anyone.

I was in the viewing with 2 other couples. 1 of them said they wouldn't make an offer, I asked why and they said they didn't really 'feel safe' in the area. These were young middle-class hipsters and this is a very poor area, lots of lower socioeconomic background folk and very ethnically diverse - this is not Dalston or Peckham-level 'rough but charming' - it is rough but without the kitsch cafes and hip burger bar breweries. 

I felt okay. You wouldn't tell that I am a private-school educated high earner from looking at all. I sort of just fit in in this area where the hipster couple did look out of place, so I am less worried about personally being a target of crime (I am a female also, which helps - most of the stabbings etc are young black and asian men sadly).

I really do hate to generalise so brutally but I kind of have to to make these sort of assessments to help me make a decision -- sorry! I hope you understand what I'm saying.

I think that if the area improves somehow in the coming years, maybe more and more families and young professionals moving in, this would probably help A LOT in making people 'feel safe'. But it isn't guaranteed...

markin

Was going to say look in the 150k areas, but with 13k on CC and 11K in loans probably not.

Maybe just rent another year.

Albermarle

markin said:

Was going to say look in the 150k areas, but with 13k on CC and 11K in loans probably not.

Maybe just rent another year.

Have you posted this in the right thread?

Albermarle

 You wouldn't tell that I am a private-school educated high earner from looking at all. I sort of just fit in in this area where the hipster couple did look out of place

If you are a high earner, then the obvious question is why not look somewhere a bit nicer/more expensive?

Ok if for now this is all you can afford, but why is this the plan. 

I intend to stay for many years hopefully, and reselling is not on the horizon .

If you do move in I would shy away from spending much money on it. as the location will set the selling price.

The usual phrase is buy the worst house in the best street and do it up. Not the opposite.

elsien

I live in a rundown area. Which has probably become more rundown since I moved in because a lot of owner occupiers have sold up and the buy to  let/hmo landlords have moved in. 

It’s still fine. It’s safe enough and there’s always going to be people like me who can’t afford to buy better areas. Maybe it will take longer to sell in the future, but you if liked it enough to buy then someone else will as well. 

I do have to smile sometimes at the posts saying look for something in a better area, because for my price range this was the better area, even though it’s not great on the face of it.

ProDave

So this house is available for £60K to 100K less than houses in a better position.

So you need not worry about re sale so much.  It will sell for less than better ones but you bought it for less than better ones.

There are plenty of other reasons I would not personally buy it but that is outside the discussion.

annetheman

markin said:

Was going to say look in the 150k areas, but with 13k on CC and 11K in loans probably not.

Maybe just rent another year.

150K areas don't exist in this city    I'm selling my current place to purchase this house. Surprisingly, even with my debt, I have AiPs for more than purchase price, and deposit enough for my offer. Mortgage broker is helping though, I wouldn't apply without a broker with debt - the same one who got me my current mortgage (highly recommend him if anyone else is interested, DM me).

There is no way I will sell my current place to rent again, sorry to unequivocally reject your advice - thanks though.