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NatWest morgage . Selling home

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phill2-0-0-3
phill2-0-0-3 Posts: 126 Forumite
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edited 10 October 2019 at 11:41PM in House buying, renting & selling
Hi

I'm currently selling my property , it's been on the market the last 6 months .
A lot of interest but no offers serious buyers

I have planning permission approved at my parents to build a property next to there's so I would like to get moving with this asap .
There is other reasons . As I regret buying this property
My parents live in the area where I work and where my children live .
I'm not miles away but it makes everything more difficult .
Plus I have to keep a eye on my parents as there elderly .

I was planing to rent this property and get a residential morgage for my parents property . But after speaking to people on here I don't feel this would be a good option for me . As I have zero experience with rental .

The situation I'm in at present via the morgage is I'm paying £750 , £570 is interest .as I'm on a variable rate .

If I tied in for 2 years it would be £530 . And around £280 interest .

But if I was to sell within the two years I believe it's 2% of the remaining loan £152000 . So roughly £3000 . Or if it's after 1 year 1% .

Plus £1000 for the new morgage .

I'm not 100% sure what to do .
Or the best way to proceed forward as 200+ extra a month hasn't been easy to find out of thin air .

And I've allready paid £1200 extra over the last 6 months

I thought I would ask on here .

I've dropped the house price by £20000 . If I was to go any lower I would be losing money as I had a lot of work done . The estate agent believes it's due to uncertainty around Brexit .


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  • AdrianC
    AdrianC Posts: 42,189 Forumite
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    phill2-0-0-3 wrote: »
    I'm currently selling my property , it's been on the market the last 6 months .
    A lot of interest but no offers serious buyers
    It's too expensive, then.

    Care to provide a RM link, and we can maybe make some suggestions as to what's putting people off, or what would be a more appropriate price?
    The situation I'm in at present via the morgage is I'm paying £750 , £570 is interest .as I'm on a variable rate .

    If I tied in for 2 years it would be £530 . And around £280 interest .
    £220/mo more expensive on the variable.
    But if I was to sell within the two years I believe it's 2% of the remaining loan £152000 . So roughly £3000 . Or if it's after 1 year 1% .
    So even taking that ERC into account, you'll be better off at 12mo, the minute you click onto that 1% ERC.
    Or the best way to proceed forward as 200+ extra a month hasn't been easy to find out of thin air .
    If the difference between £530/mo and £750/mo is a budget-breaker, you can't afford to build a property.
    I've dropped the house price by £20000 . If I was to go any lower I would be losing money
    That's not the problem of any potential buyers, though. Sometimes you have to swallow and cut your losses.
    as I had a lot of work done
    Did anybody promise you that the work would make the place more valuable, rather than simply nicer to live in? If they did, they lied.
    The estate agent believes it's due to uncertainty around Brexit.
    It's an easy way to shrug away responsibility, given he's clearly tried telling you the real reason and you don't want to know.
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
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    Take the property off the market and remarket in the spring.
  • need_an_answer
    need_an_answer Posts: 2,812 Forumite
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    Phil you've had lots of advice on selling your home over the past few months....if I'm right you were looking at renting it out but have now decided against that option,probably very wisely.

    I cant remember too much about the history of you wanting to sell,your house looked in good order when you posted a link to it ...I think you might have said there was an issue but you felt it shouldn't hinder the sale?

    post your latest link and perhaps others can advise.

    It may well be that you need to take a hit and sell it for close to what you bought it for,even though I know you've renovated it,but sometimes that's what happens in housing...nothings guaranteed
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  • Crashy_Time
    Crashy_Time Posts: 13,386 Forumite
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    Taking a hit is selling it for less than you bought it for.
  • MobileSaver
    MobileSaver Posts: 4,237 Forumite
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    phill2-0-0-3 wrote: »
    If I was to go any lower I would be losing money as I had a lot of work done . .

    That's the way the cookie crumbles sometimes; there's no guarantee you'll get back any extra money you put into a house. For example, if you spent £20k on a new kitchen when the old one was perfectly usable but tired you've possibly not added a penny to the property's worth; indeed if you chose gaudy colours/materials that you like but others may not you can even weaken the value.
    Every generation blames the one before...
    Mike + The Mechanics - The Living Years
  • phill2-0-0-3
    phill2-0-0-3 Posts: 126 Forumite
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    https://gothicestates.com/site/go/viewParticulars?propertyID=517076
  • phill2-0-0-3
    phill2-0-0-3 Posts: 126 Forumite
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    Appreciate the Advice .

    As to if I can't afford the extra £200 a month I can afford it but I'm not rich I have to work a lot of overtime to earn that extra . As I have to earn close to £300 to take home that £200 . And if feels like it's for nothing

    And as regards to building the new build its on the side of my parents house so I will be taking the equity out of this house when it sells . I have a builder in place and all the planing is done and approved .

    I'm just waiting on this house to sell . My family member owns half this house and doesn't want to take a loss which I completely understand . House cost £238'750 spent around £30'000+ on the house .

    Every room redecorated flooring plaster
    paint/wallpapered including hall
    new porch area .
    Downstairs loo .
    Rear single exstention .
    New bathroom and kitchen .
    New drive .
    Porch roof across the bay window .
    Fascia all round and ventalation to loft .
    Stud wall to split downstairs loo and bathroom.
    All popped windows replaced
    And tbf I was quoted £35'000 just for the rear exstention so to get the whole lot done for roughly that price I feels reasonable. I helped a lot with the work .

    As to the issue there's a house a few doors down 3 bedroom everytime I reduce they reduce by £5k more..

    I did have a few valuations and 280/290'000 was the feedback . But I've reduced under that as seems to be a buyers market at present . Had a lot of interest just no buyers .
    I have a few jobs that I'm geting finished shortly . Boiler cover . New plinths In kitchen repaint . But nothing major as that's all done .
    There is another issue at the rear of my property there knocking down the garages and building two dwellings which is a concern .
    My estate agent recommend renting for two years then Placing it back on the market after this point as the not knowing how the rear houses will over look the property will put people off . There more off to the right but still it's the unknown .
  • AdrianC
    AdrianC Posts: 42,189 Forumite
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    phill2-0-0-3 wrote: »
    House cost £238'750 spent around £30'000+ on the house .
    That doesn't necessarily mean it's worth £268,750. It simply doesn't work like that.
    As to the issue there's a house a few doors down 3 bedroom everytime I reduce they reduce by £5k more..
    Doesn't that tell you something about your price expectations?

    And you've already dropped £20k.

    C'mon, RM link. Let's have a look, see about the presentation and the comparables.
  • phill2-0-0-3
    phill2-0-0-3 Posts: 126 Forumite
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    No I completely understand it doesn't make it worth that . It's only worth what people are willing to pay .
    But I've had 3 estate agents all-say similar prices £280-290k that's there valuation
    So I can only.go off that to what the house is worth and it's currently listed under that . I will get a link for the other property .
    The link for mine is above
  • phill2-0-0-3
    phill2-0-0-3 Posts: 126 Forumite
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    https://www.rightmove.co.uk/property-for-sale/property-61601778.html
    Originally this house was up for £300k .
    Then when mine went on for £290 .
    They reduced to £280 .
    Then I reduced to £270 .
    They reduced to £260 the same day
    They brought from auction for £215 I've looked it up as the previous owner couldn't sell .
    It has no front or rear drives smaller garden no exstention or downstairs washroom
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