Second home but worried about value

confusedftb

Hello,

In a position to buy a second home (additional home, existing one to go on rent). Faced with few issues and I was wondering where could i get some genuine help from, as i do not have any friends. Some points which i have in mind

- House is in Aveley, Essex
- Priced in excess of £500k
- Will have to re-do the house 
- Pet smell, dog smell in the house

- My worry is that the area is not very much developed yet, and still don't see any plans from the local council for it to develop.
- The price of the property may not appreciate much or maybe it has reached its max amount already?
- Number of schools are not many,
- No train station closeby 
- Supermarkets like tesco extra and others are 15-20mins drive away. Only 2-3 local off licenses are there.
- Even if i put the property on the rental market, there is no or very little income to be made

Help and advises will be very very much appreciated.

Why do i want to buy another house? we have outgrown the 2 bed house we are currently in.  

Thank you 

Flugelhorn

when you say "second home" do you mean that you will be moving to this after selling the house you bought as a first time buyer - or that you are buying it to have two houses at the same time eg for holidays / weekends?

confusedftb

Flugelhorn said:

when you say "second home" do you mean that you will be moving to this after selling the house you bought as a first time buyer - or that you are buying it to have two houses at the same time eg for holidays / weekends?

apologies, i meant to say an additional home. 

plan is to put the other home (old one) on rent

lika_86

confusedftb said:

Hello,

In a position to buy a second home (additional home, existing one to go on rent). Faced with few issues and I was wondering where could i get some genuine help from, as i do not have any friends. Some points which i have in mind

- House is in Aveley, Essex
- Priced in excess of £500k
- Will have to re-do the house 
- Pet smell, dog smell in the house

- My worry is that the area is not very much developed yet, and still don't see any plans from the local council for it to develop.
- The price of the property may not appreciate much or maybe it has reached its max amount already?
- Number of schools are not many,
- No train station closeby 
- Supermarkets like tesco extra and others are 15-20mins drive away. Only 2-3 local off licenses are there.
- Even if i put the property on the rental market, there is no or very little income to be made

Help and advises will be very very much appreciated.

Why do i want to buy another house? we have outgrown the 2 bed house we are currently in.  

Thank you 

What attracted you to this house? It doesn't sound like there's much to recommend it.

confusedftb

lika_86 said:

confusedftb said:

Hello,

In a position to buy a second home (additional home, existing one to go on rent). Faced with few issues and I was wondering where could i get some genuine help from, as i do not have any friends. Some points which i have in mind

- House is in Aveley, Essex
- Priced in excess of £500k
- Will have to re-do the house 
- Pet smell, dog smell in the house

- My worry is that the area is not very much developed yet, and still don't see any plans from the local council for it to develop.
- The price of the property may not appreciate much or maybe it has reached its max amount already?
- Number of schools are not many,
- No train station closeby 
- Supermarkets like tesco extra and others are 15-20mins drive away. Only 2-3 local off licenses are there.
- Even if i put the property on the rental market, there is no or very little income to be made

Help and advises will be very very much appreciated.

Why do i want to buy another house? we have outgrown the 2 bed house we are currently in.  

Thank you 

What attracted you to this house? It doesn't sound like there's much to recommend it.

the size of the house is good. more space for the money. 

commute to the work place by driving is not bad. around 40minutes peak time. 

maybe down the line 10 years the area might develop?

Gavin83

I’m not really sure what you mean by develop. It’s a village and therefore will always be limited in its amenities. It’s also right next to Lakeside, one of the biggest shopping centres in the country so there’s really no point in anything other than the most basic of shops opening there.

I think there are nearby towns that might be better suited to your needs. Try Upminster. It’s also worth noting that Aveley really isn’t that nice a place to live.

confusedftb

Gavin83 said:

I’m not really sure what you mean by develop. It’s a village and therefore will always be limited in its amenities. It’s also right next to Lakeside, one of the biggest shopping centres in the country so there’s really no point in anything other than the most basic of shops opening there.

I think there are nearby towns that might be better suited to your needs. Try Upminster. It’s also worth noting that Aveley really isn’t that nice a place to live.

i agree to the point about lakeside, no issues about those. 

but what about schools and supermarkets? 

not expecting a high street to be there, but in terms of amenities it is very limited. 

its not even a commuter town as the train station is far away. 

places like Upminster are very expensive. 4 bed is between 600-650k

_Penny_Dreadful

confusedftb said:

Gavin83 said:

I’m not really sure what you mean by develop. It’s a village and therefore will always be limited in its amenities. It’s also right next to Lakeside, one of the biggest shopping centres in the country so there’s really no point in anything other than the most basic of shops opening there.

I think there are nearby towns that might be better suited to your needs. Try Upminster. It’s also worth noting that Aveley really isn’t that nice a place to live.

i agree to the point about lakeside, no issues about those. 

but what about schools and supermarkets? 

not expecting a high street to be there, but in terms of amenities it is very limited. 

its not even a commuter town as the train station is far away. 

places like Upminster are very expensive. 4 bed is between 600-650k

I don’t know Aveley at all. However, if Aveley doesn’t have the amenities you would like on your door step and isn’t in the school catchment area you would like then why buy there? What is more important to you, the size of the property or the location? If you’re going to be living in the property why are you worried about its rental income? 

Is keeping your current property reducing your budget for your new home? 

Olinda99

in my view you would be far better buying a smaller place in a better location with better transport links etc than a larger place in the wilderness, particularly if you are going to rent it out!

make sure you understand all the legislation in the new renters reform bill coming down the line

also it may well increase in value over the years but in my view there may well be some pretty harsh capital gains tax changes coming in the future so you should factor this into your calculations

SDLT_Geek

confusedftb said:

Hello,

In a position to buy a second home (additional home, existing one to go on rent). Faced with few issues and I was wondering where could i get some genuine help from, as i do not have any friends. Some points which i have in mind

- House is in Aveley, Essex
- Priced in excess of £500k
- Will have to re-do the house 
- Pet smell, dog smell in the house

- My worry is that the area is not very much developed yet, and still don't see any plans from the local council for it to develop.
- The price of the property may not appreciate much or maybe it has reached its max amount already?
- Number of schools are not many,
- No train station closeby 
- Supermarkets like tesco extra and others are 15-20mins drive away. Only 2-3 local off licenses are there.
- Even if i put the property on the rental market, there is no or very little income to be made

Help and advises will be very very much appreciated.

Why do i want to buy another house? we have outgrown the 2 bed house we are currently in.  

Thank you 

I expect you are budgeting for the extra 3% stamp duty land tax you will have to pay on the purchase, because of you keeping your present home.

subjecttocontract

I know the area quite well & I wouldn't buy there. If you want prices lower than Upminster or Hornchurch try nearby Basildon. Easy commute, good transport links, strong property market, popular area.