Should I write a letter to the seller to make a a case for why they should accept our offer?

maxxpayne

I'm sure everyone felt the same after each financial downturn etc.

Our flat in London more than doubled in 12 years from purchase in 2013. Admittedly we did spend around 30k during this time to keep the flat up to date etc. But if we left the place with bare walls, the council, who are doing the buyback, would give us the same. 

We'd get much more on the open market, but with a remaining lease of 86 years, we decided to forget the extra 10-15k that we'd have gotten in the open market (after estate agent fees and extending the lease) with the amount of hassle we're not having to go through.

ReadySteadyPop said:

dinosaur66 said:

ReadySteadyPop said:

dinosaur66 said:

ReadySteadyPop said:

hulu72 said:

maxxpayne said:

Update. Made an offer to 810 eventually. 

The agent called back and said it was a strong offer but called again to see if we could go higher so I said 815 and that’s it I said. We’re over paying by 20k I think but it’ll be our home at the end of the day and not everything needs to be calculated on monetary scale I guess?

Anyway, let’s see what happens. 

At the end of the day if this really is your dream home I’m guessing you’re planning on being there for the next 10+ years? People get so hung up on ‘overpaying’ etc that they end up losing their dream home, when in reality the capital growth over that period is going to negate any amount you believe you’re overpaying

Not if interest rates go up, then you will probably lose money.

ReadySteadyPop said:

hulu72 said:

maxxpayne said:

Update. Made an offer to 810 eventually. 

The agent called back and said it was a strong offer but called again to see if we could go higher so I said 815 and that’s it I said. We’re over paying by 20k I think but it’ll be our home at the end of the day and not everything needs to be calculated on monetary scale I guess?

Anyway, let’s see what happens. 

At the end of the day if this really is your dream home I’m guessing you’re planning on being there for the next 10+ years? People get so hung up on ‘overpaying’ etc that they end up losing their dream home, when in reality the capital growth over that period is going to negate any amount you believe you’re overpaying

Not if interest rates go up, then you will probably lose money.

in london ?

i bought  property in stratford 1989 and 1998 

one has increased 9 x what i paid and the other 10 x what i paid 

The poster is buying in 2025.

?

from memory she is in her 40s and said she will require somewhere around 350k mortgage / i would have to go back and re read thread for correct ammount

so in 25 years time mortgage paid off it will have cost her 200k in interest payments at 4% intrerst rate average over the 25 years

and you say a london house in 2025 that will sell in 2050 will not have gone up by 200k in that timeframe

london house prices have risen 250% to 300% on average over the last 25 years

Credit conditions are looking very unlikely to mirror the last 25 years over the next 25, 4% over that timeframe is HIGHLY optimistic in my opinion.

EssexHebridean

Can you still afford it after the stamp duty change? Honestly - while in theory it’s not impossible, it is immensely unlikely that it will complete ahead of the end of next month. You’ve got to get your formal mortgage offer, get searches ordered and back (and the other parts of the chain have to get everything in place too… you need to work on the basis that you will be paying increased stamp duty (you’ll be paying higher rate too as you will still have the other property, yes?) and if your solicitor manages to get it completed for you before the changes, buy them a very nice bottle of their chosen tipple indeed! 

dinosaur66

ReadySteadyPop said:

dinosaur66 said:

ReadySteadyPop said:

dinosaur66 said:

ReadySteadyPop said:

hulu72 said:

maxxpayne said:

Update. Made an offer to 810 eventually. 

The agent called back and said it was a strong offer but called again to see if we could go higher so I said 815 and that’s it I said. We’re over paying by 20k I think but it’ll be our home at the end of the day and not everything needs to be calculated on monetary scale I guess?

Anyway, let’s see what happens. 

At the end of the day if this really is your dream home I’m guessing you’re planning on being there for the next 10+ years? People get so hung up on ‘overpaying’ etc that they end up losing their dream home, when in reality the capital growth over that period is going to negate any amount you believe you’re overpaying

Not if interest rates go up, then you will probably lose money.

ReadySteadyPop said:

hulu72 said:

maxxpayne said:

Update. Made an offer to 810 eventually. 

The agent called back and said it was a strong offer but called again to see if we could go higher so I said 815 and that’s it I said. We’re over paying by 20k I think but it’ll be our home at the end of the day and not everything needs to be calculated on monetary scale I guess?

Anyway, let’s see what happens. 

At the end of the day if this really is your dream home I’m guessing you’re planning on being there for the next 10+ years? People get so hung up on ‘overpaying’ etc that they end up losing their dream home, when in reality the capital growth over that period is going to negate any amount you believe you’re overpaying

Not if interest rates go up, then you will probably lose money.

in london ?

i bought  property in stratford 1989 and 1998 

one has increased 9 x what i paid and the other 10 x what i paid 

The poster is buying in 2025.

?

from memory she is in her 40s and said she will require somewhere around 350k mortgage / i would have to go back and re read thread for correct ammount

so in 25 years time mortgage paid off it will have cost her 200k in interest payments at 4% intrerst rate average over the 25 years

and you say a london house in 2025 that will sell in 2050 will not have gone up by 200k in that timeframe

london house prices have risen 250% to 300% on average over the last 25 years

Credit conditions are looking very unlikely to mirror the last 25 years over the next 25, 4% over that timeframe is HIGHLY optimistic in my opinion.

 what i know from being a house flipper and landlord and home byuyer in london and essex for the last 40 years is that houses in london /south east  just keep rising and rising and rising / 

flats have slowed at this moment because of service charges/covid/leashold law /cladding/ but houses over any period you can pick have always multiplied in value over any timeframe in london and when leasehold law has changed new flats will rocket up as well /old flats will depend on whats in the law

maxxpayne

EssexHebridean said:

Can you still afford it after the stamp duty change? Honestly - while in theory it’s not impossible, it is immensely unlikely that it will complete ahead of the end of next month. You’ve got to get your formal mortgage offer, get searches ordered and back (and the other parts of the chain have to get everything in place too… you need to work on the basis that you will be paying increased stamp duty (you’ll be paying higher rate too as you will still have the other property, yes?) and if your solicitor manages to get it completed for you before the changes, buy them a very nice bottle of their chosen tipple indeed! 

Well stamp duty goes up from 28,750 to 31,250 - just agreed with my wife that this is not worth stressing over.

ReadySteadyPop

maxxpayne said:

I'm sure everyone felt the same after each financial downturn etc.

Our flat in London more than doubled in 12 years from purchase in 2013. Admittedly we did spend around 30k during this time to keep the flat up to date etc. But if we left the place with bare walls, the council, who are doing the buyback, would give us the same. 

We'd get much more on the open market, but with a remaining lease of 86 years, we decided to forget the extra 10-15k that we'd have gotten in the open market (after estate agent fees and extending the lease) with the amount of hassle we're not having to go through.

ReadySteadyPop said:

dinosaur66 said:

ReadySteadyPop said:

dinosaur66 said:

ReadySteadyPop said:

hulu72 said:

maxxpayne said:

Update. Made an offer to 810 eventually. 

The agent called back and said it was a strong offer but called again to see if we could go higher so I said 815 and that’s it I said. We’re over paying by 20k I think but it’ll be our home at the end of the day and not everything needs to be calculated on monetary scale I guess?

Anyway, let’s see what happens. 

At the end of the day if this really is your dream home I’m guessing you’re planning on being there for the next 10+ years? People get so hung up on ‘overpaying’ etc that they end up losing their dream home, when in reality the capital growth over that period is going to negate any amount you believe you’re overpaying

Not if interest rates go up, then you will probably lose money.

ReadySteadyPop said:

hulu72 said:

maxxpayne said:

Update. Made an offer to 810 eventually. 

The agent called back and said it was a strong offer but called again to see if we could go higher so I said 815 and that’s it I said. We’re over paying by 20k I think but it’ll be our home at the end of the day and not everything needs to be calculated on monetary scale I guess?

Anyway, let’s see what happens. 

At the end of the day if this really is your dream home I’m guessing you’re planning on being there for the next 10+ years? People get so hung up on ‘overpaying’ etc that they end up losing their dream home, when in reality the capital growth over that period is going to negate any amount you believe you’re overpaying

Not if interest rates go up, then you will probably lose money.

in london ?

i bought  property in stratford 1989 and 1998 

one has increased 9 x what i paid and the other 10 x what i paid 

The poster is buying in 2025.

?

from memory she is in her 40s and said she will require somewhere around 350k mortgage / i would have to go back and re read thread for correct ammount

so in 25 years time mortgage paid off it will have cost her 200k in interest payments at 4% intrerst rate average over the 25 years

and you say a london house in 2025 that will sell in 2050 will not have gone up by 200k in that timeframe

london house prices have risen 250% to 300% on average over the last 25 years

Credit conditions are looking very unlikely to mirror the last 25 years over the next 25, 4% over that timeframe is HIGHLY optimistic in my opinion.

We are not in a financial downturn yet, but it seems to be fast approaching, search "UK interest rate graph" and it is pretty obvious what caused the price increase from 2013, unfortunately I think the future won`t be like the past and purchases now are going to be loss makers, BUT as you said it is your dream property so it doesn`t really matter?

jimbog

maxxpayne said:

Update time again. 

Thank you everyone (as usual, this forum is immensely helpful). The seller has accepted the offer 🎉 

Guess now we rush to beat the stamp duty rise in April. 

Many congratulations! Fingers crossed. Please keep us updated 

maxxpayne

jimbog said:

maxxpayne said:

Update time again. 

Thank you everyone (as usual, this forum is immensely helpful). The seller has accepted the offer 🎉 

Guess now we rush to beat the stamp duty rise in April. 

Many congratulations! Fingers crossed. Please keep us updated 

Thank you!