Local council reducing offer on flat we are selling to them

BobbyJay

Bookworm105 said:

BobbyJay said:

jimbog said:

Could you give an idea of the numbers involved? Down valuing by a few thousand doesn't seem that much.

Considering how many private flat owners in council blocks around the country are being lumbered with hefty bills to pay for works I would press ahead

It's only 6k, so a 2.5% reduction. But we've just found out that this is for an aspiration to replace exterior doors in 2024.  It feels unreasonable to pay for something that isn't safety critical and might get done in three years, or, given how slow the Council has been in the past to rectify actual safety defects, might get done a long time after that.

nonetheless any other buyer will enquire what works are planned and given yours is the only privately owned one in the otherwise all council block, if the buyer is worldly-wise they will know that their share of the works bill is going to be "substantial" and so they too would reduce their offer.

as your partner is "keen to support the council retaining social housing" then the old adage applies: bird in the hand worth 2 in the bush

Thanks - that's a helpful perspective.

Newbie_John

You can always delay the process and find another buyer in the meantime, but that again doesn't guarantee that the council won't withdraw the offer fully - like with any other buyer, really depends on their budget and how in need they are to buy the place.

If you value speed, personal believe that it's good for council to own it - then I don't think £6k makes a big difference here. Private buyer could do the same, could ask for £12k less, could withdraw.. you still have an offer, just little bit lower - and that's the key here.

Mildreds_Earrings

Hello @BobbyJay just to reassure you that I don't think the Council are being underhand. As a former Local Authority employee in the Leasehold Team, you'd be surprised how many Council Departments DON'T communicate, and there were things I'd find out halfway through the sales process and I worked there! Not brilliant I know but I read your comment and thought, yep sounds about right!

Agree with others who commented that other potential Buyers would find out the same info about planned major works and would probably re-negotiate too. The good news is that the Council would very much want to keep a flat where there is a sole leaseholder amongst Council stock, so your girlfriend is doing a good deed by selling it back to them, which you said, is what she wanted to do. She has benefitted from the RTB discount, so now you're both free to buy the home of your dreams. 

All the best. 

GDB2222

Surely, the £6000 works will improve the value of the flat? 

anselld

You could try somewhere in the middle? … eg tell them you are sure if replacement front doors are needed that their works department will be able to negotiate a far better price than £6k per unit.  Perhaps meet at a more reasonable £3k?  If someone quoted £6k to simply replace my front door I would be looking elsewhere pdq.

Bigphil1474

On a £240k purchase, I wouldn't worry about £6k, plus the benefit of not having a flaky buyer who could pull out any time up to exchange. Presumably your partner has made a pretty profit from their discounted purchase price. Not a big enough drop for me and most councils aren't wily enough to play silly games when spending money.

BobbyJay

Thanks everyone - some good and helpful perspectives.  It's not something she bought from the Council via RTB - she bought it from someone who had already purchased from the Council some time before.  I've not had very much to do with Councils before, but can understand that they might not be the best in terms of internal communication!