General Discussion: Property thread


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illwill
illwill avatar

3663 posts since 17/5/04

11 Jul 2019 12:20
Cheers for that, Andy.

Any property lawyers on here?

My girlfriend wants us to buy a house that I would say is about 5-10% overpriced. The vendor isn't desperate to sell so won't budge.

I think it's madness to overpay for a place in current market conditions.

She says that she's willing to shoulder any potential losses. I.e. If the house was to be sold for a loss in 5 years, I would still receive 50% of the original purchase price from the sale.

Is this something that's even possible?
nothingelseworked
nothingelseworked avatar

3280 posts since 21/2/10

11 Jul 2019 12:44
illwill looking for a house prenup Laughing out loud
figurine
figurine avatar

5740 posts since 14/5/07

11 Jul 2019 12:46
Not a lawyer, but fairly sure it would be possible to draw up a Declaration of Trust to cover you.
illwill
illwill avatar

3663 posts since 17/5/04

11 Jul 2019 13:09
I daresay anything is possible but it's hurting my head working out how we'd account for any improvements we make to the property.
Fuzzyduck121
Fuzzyduck121 avatar

1595 posts since 14/12/12

11 Jul 2019 13:46
illwill wrote: Cheers for that, Andy.

Any property lawyers on here?

My girlfriend wants us to buy a house that I would say is about 5-10% overpriced. The vendor isn't desperate to sell so won't budge.

I think it's madness to overpay for a place in current market conditions.

She says that she's willing to shoulder any potential losses. I.e. If the house was to be sold for a loss in 5 years, I would still receive 50% of the original purchase price from the sale.

Is this something that's even possible?

so you are happy for her to agree in writing to shoulder the losses that you will be shielded from?

You actually discussed that and shes still with you?

Legend status achieved


Rez
Rez avatar

7964 posts since 5/4/09

11 Jul 2019 14:02
This thread has mccoy crisps as a tip potential, calling it now
Burt
Burt avatar

5548 posts since 3/1/10

11 Jul 2019 14:35
Fuzzyduck121 wrote: You actually discussed that and shes still with you
It's like YLAup and his work bird's relationship in complete reverse.
illwill
illwill avatar

3663 posts since 17/5/04

11 Jul 2019 14:56
Laughing out loud it's more the fact that she's a complete div that lives in a consequence free dreamland.

I think she was pretty spoiled growing up. Why do you need 2 ponies?
andymakesglasses
andymakesglasses avatar

20203 posts since 26/1/06

posted 11 Jul 2019 15:09, edited 11 Jul 2019 15:09
illwill wrote: I daresay anything is possible but it's hurting my head working out how we'd account for any improvements we make to the property.

Short answer, you can't.

There are too many variables in property and the market and you will never know what a property "could have gone for".

Say for argument's sake the only improvement you make is revamping a bathroom, ripping out a suite that didn't prevent you from buying the property in the first place and spending 5 grand to replace it.

By the time you come to sell if the market has grown then you would expect your property to be worth more than you paid regardless of the cost of the new bathroom. But is it that simple? Has "overpaying" in your eyes (you will never know if you actually have overpaid, property is only worth what someone is prepared to pay for it) impacted on your profit?

If the market grows but the property only sells for what you paid plus 5 grand do you assume that you overpaid in the first instance, that the property has finally caught up with the market and that the bathroom added 5 grand of value?

If the market drops and you've invested money to make improvements but the property is valued at less than you've paid overall and you absolutely need to sell for some hypothetical reason how can you possibly calculate what relative value the improvements added in order to work out how much you overpaid by?

That's just a "simple" example with fixtures and fittings. If you make any bigger changes like carving out a new bedroom or removing one that could have an even bigger impact on the property's value and complicate your dynamic even further.

I think this whole thing is a recipe for disaster. You need to agree between you a price you're both happy to pay for the property in the first place.
Rirawin
Rirawin avatar

9234 posts since 17/7/05

11 Jul 2019 15:23
andymakesglasses wrote: I think this whole thing is a recipe for disaster. You need to agree between you a price you're both happy to pay for the property in the first place.

This, 100%.
Burt
Burt avatar

5548 posts since 3/1/10

posted 11 Jul 2019 15:34, edited 11 Jul 2019 15:34
illwill wrote: …Why do you need 2 ponies?
2 pocket's.
illwill
illwill avatar

3663 posts since 17/5/04

11 Jul 2019 15:49
Rirawin wrote:
andymakesglasses wrote: I think this whole thing is a recipe for disaster. You need to agree between you a price you're both happy to pay for the property in the first place.

This, 100%.

Yeah, it's a completely retarded idea.

I just need to shut her up.
andymakesglasses
andymakesglasses avatar

20203 posts since 26/1/06

11 Jul 2019 16:14
Does the property have a patio?
sydneyking
sydneyking avatar

4559 posts since 26/9/09

11 Jul 2019 16:20
Laughing out loud
illwill
illwill avatar

3663 posts since 17/5/04

11 Jul 2019 16:26
Laughing out loud
YLAup
YLAup avatar

5157 posts since 5/9/11

11 Jul 2019 18:42
Laughing out loud
stoney
stoney avatar

17396 posts since 22/1/05

12 Jul 2019 02:38
Pm me the address and I’ll value it.
Burt
Burt avatar

5548 posts since 3/1/10

12 Jul 2019 05:13
Laughing out loud andy.
swede
swede avatar

8029 posts since 21/3/09

12 Jul 2019 08:16
illwill wrote: Laughing out loud it's more the fact that she's a complete div that lives in a consequence free dreamland

Laughing out loud
toiler
toiler avatar

86 posts since 4/5/09

21 Jul 2019 19:01
Can anyone recommend a kitchen company? Got one in mind where I live but not sure if they're expensive without shopping around. Trying to avoid wickes etc..