General Discussion: Property thread


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MattC
MattC avatar

680 posts since 20/3/12

10 Jun 2019 12:00
Crackajack wrote: Looking at a flat with a quite standard sized 5x4m living room. The kitchen is separate, and not really big enough to entertain in but would be fine for working from home / eating with a 4 person table (4.5mx3 room).

Really struggling to work out whether that size reception room could accommodate a sofa/tv area + extendable dining table for 6 without looking too cramped.

Currently there is a three seater on wall 2, and a two seater on wall 1. Wall 3 has tv + units etc.

https://imgur.com/UsUVaZh

Any good apps or sites for room layouts etc? I have looked for other flats in the same block and there aren't any with the layout we are thinking of.

Might be a touch overkill at this stage, but I used google sketch up to layout all my stuff in my flat before I bought anything in order to get an idea of scale and free space
stoney
stoney avatar

17412 posts since 22/1/05

10 Jun 2019 12:24
How long can a sale/purchase take in legals at the shortest time if there are no hitches ? Agreed a sale on mine but the buyer has a tight timescale.
Trent
Trent avatar

1851 posts since 18/1/09

10 Jun 2019 12:43
sodomgomorra wrote: You could always sell your story to the Daily Mail when it inevitably goes south.

BREXIT PARTY
Rirawin
Rirawin avatar

9236 posts since 17/7/05

10 Jun 2019 12:54
stoney wrote: How long can a sale/purchase take in legals at the shortest time if there are no hitches ? Agreed a sale on mine but the buyer has a tight timescale.

6 weeks is what was quoted to us.
stoney
stoney avatar

17412 posts since 22/1/05

10 Jun 2019 13:37
That’s about what I have to play with ! Cheers
Crackajack
Crackajack avatar

7160 posts since 21/4/05

10 Jun 2019 17:48
MattC wrote:
Crackajack wrote: Looking at a flat with a quite standard sized 5x4m living room. The kitchen is separate, and not really big enough to entertain in but would be fine for working from home / eating with a 4 person table (4.5mx3 room).

Really struggling to work out whether that size reception room could accommodate a sofa/tv area + extendable dining table for 6 without looking too cramped.

Currently there is a three seater on wall 2, and a two seater on wall 1. Wall 3 has tv + units etc.

https://imgur.com/UsUVaZh

Any good apps or sites for room layouts etc? I have looked for other flats in the same block and there aren't any with the layout we are thinking of.

Might be a touch overkill at this stage, but I used google sketch up to layout all my stuff in my flat before I bought anything in order to get an idea of scale and free space

Ta - looks good when exact info needed.

This one is quite intuitive, and gives a 3D view without upgrade costs:

https://www.homestyler.com



stoney
stoney avatar

17412 posts since 22/1/05

11 Jun 2019 16:34
If my mrs is a stay at home mum with no income, is there any advantage (or what are the tax benefits) to trying to start her as a company in flipping houses ?
Rirawin
Rirawin avatar

9236 posts since 17/7/05

posted 11 Jun 2019 17:33, edited 11 Jun 2019 17:33
.
stoney
stoney avatar

17412 posts since 22/1/05

12 Jun 2019 07:54
Looks like not due to capital gains tax.
illwill
illwill avatar

3674 posts since 17/5/04

12 Jun 2019 08:13
Had an offer accepted on a first house. Victorian semi that's been a rental for a decade so needs some work.

Surveyor has said that the ceilings all need re-plastering, the chimney needs re-flashing and some sections of outside wall need re-pointing. Yet to get any quotes but could see it being 10k+ of work.

How does one go about negotiating on the purchase price?
Trent
Trent avatar

1851 posts since 18/1/09

posted 12 Jun 2019 08:27, edited 12 Jun 2019 08:27
stoney wrote: Looks like not due to capital gains tax.

It's better to set up a limited company as you'd reduce the CGT from about 30% to less than 20%. Bear in mind that if you are married then you'll pay stamp-duty on second property ownership at 3% plus standard stamp-duty on properties over 125k.

With the limited company you would be able to claim some building materials VAT back and run expenses through the business in general. Depends what you do with the properties but the missus (and directors) would be eligible for a 2k "tax-free" yearly dividend (recently reduced from 5k)
Trent
Trent avatar

1851 posts since 18/1/09

12 Jun 2019 08:34
illwill wrote: Had an offer accepted on a first house. Victorian semi that's been a rental for a decade so needs some work.

Surveyor has said that the ceilings all need re-plastering, the chimney needs re-flashing and some sections of outside wall need re-pointing. Yet to get any quotes but could see it being 10k+ of work.

How does one go about negotiating on the purchase price?

Lots of questions to cover really.

What is the value of property on the street - higher / lower / better condition?
Does the surveyor feel the house is valued fairly?

Generally speaking unless its prime location / an easy flip project for a builder / in London then it's only worth what you're willing to pay for it. Speak to the agent and get a feel especially if you arent in a chain.
Rirawin
Rirawin avatar

9236 posts since 17/7/05

12 Jun 2019 10:31
illwill wrote: Had an offer accepted on a first house. Victorian semi that's been a rental for a decade so needs some work.

Surveyor has said that the ceilings all need re-plastering, the chimney needs re-flashing and some sections of outside wall need re-pointing. Yet to get any quotes but could see it being 10k+ of work.

How does one go about negotiating on the purchase price?

We are sort of in a similar position. We're in the process of buying a Victorian property ourselves. Fortunately, it wasn't a rental and the vendors have refurbished the whole property to a high standard. There are only a couple of small serious issues (category 3) that needs to be addressed immediately before we exchange. Total work probably less than £1k and the vendor has already said they would address them.

The surveyor also put the market value £18k less than what we're paying. However, he understands why we're paying it because all the interior fixtures is to a high standard. He said if we don't maintain the same standard and try to sell in the short term, especially if the market hardens, it will be difficult to get the price we paid.

In the end we didn't want to rock the apple cart because the vendor is addressing the issues and we know the market for that area. At the end of the day personal value is not the same as market value.

My only advice is, it's worth investing in a decent conveyancing solicitor. We paid a premium going with a local solicitor's firm but it's been worth every penny so far. We looked at some of the communication between ours and the vendors, who are using Conveyancing Direct, an online one, and it's jokes. You want someone who fights your corner well. Also being able to drop off any paperwork in person rather than having to rely on the postal system is a bonus.
illwill
illwill avatar

3674 posts since 17/5/04

12 Jun 2019 10:51
Thanks Trent & Rira

It's definitely a knock-down price compared to others on the street but I fear that's it's not knocked down enough and we've over-offered.

We opted out of the surveyor valuation but i'm coming around to think this is a good idea.

We've been looking for about 9 months and this is the first property that we've even come close to making an offer on. Our circumstances mean that there's some pressure to buy ASAP so perhaps we were a little too eager.

Totally agree with Rira's comment about not skimping on the survey or conveyancing. We're probably paying 20-30% more than lowest bidders on the comparison sites but these guys have been great. They seem to be replying to emails in a matter of minutes rather than hours or days.
GameOver
GameOver avatar

1833 posts since 1/6/06

12 Jun 2019 10:52
Rirawin wrote:
illwill wrote: Had an offer accepted on a first house. Victorian semi that's been a rental for a decade so needs some work.

Surveyor has said that the ceilings all need re-plastering, the chimney needs re-flashing and some sections of outside wall need re-pointing. Yet to get any quotes but could see it being 10k+ of work.

How does one go about negotiating on the purchase price?

We are sort of in a similar position. We're in the process of buying a Victorian property ourselves. Fortunately, it wasn't a rental and the vendors have refurbished the whole property to a high standard. There are only a couple of small serious issues (category 3) that needs to be addressed immediately before we exchange. Total work probably less than £1k and the vendor has already said they would address them.

The surveyor also put the market value £18k less than what we're paying. However, he understands why we're paying it because all the interior fixtures is to a high standard. He said if we don't maintain the same standard and try to sell in the short term, especially if the market hardens, it will be difficult to get the price we paid.

In the end we didn't want to rock the apple cart because the vendor is addressing the issues and we know the market for that area. At the end of the day personal value is not the same as market value.

My only advice is, it's worth investing in a decent conveyancing solicitor. We paid a premium going with a local solicitor's firm but it's been worth every penny so far. We looked at some of the communication between ours and the vendors, who are using Conveyancing Direct, an online one, and it's jokes. You want someone who fights your corner well. Also being able to drop off any paperwork in person rather than having to rely on the postal system is a bonus.

The last piece of advice on conveyancing solicitors is gold - we were stung badly to the tune of maybe a 1-2 months delay because we chose a poor one a couple of years back. Cannot underestimate the importance of being able to drop documents off in person and actually speak to them face to face. Its a case of who moans the loudest with these online solicitors as each has a huge case load and only seems to prioritise based on anger…
ismvil
ismvil avatar

666 posts since 16/9/11

12 Jun 2019 11:33
Just closed a deal in 6 weeks from offer by using the same solicitors as the seller, it was Countrywide I think - having someone I could get face time in front of was crucial.
themistake
themistake avatar

10523 posts since 20/2/06

12 Jun 2019 13:42
Isn't that a massive conflict of interest?
Scottishmark
Scottishmark avatar

526 posts since 25/1/11

posted 12 Jun 2019 14:06, edited 12 Jun 2019 14:06
You can’t do it in Scotland but can in England, if I remember rightly. Can be the same firm but not the same solicitor acting for both buyer and seller.

And yes, regardless of whether it is allowed or not, it does seem to be a massive conflict. I’m a solicitor myself and I can guarantee you there will be times when the solicitor acting for the buyer/seller will “take a view” on things in negotiating with a colleague that they probably wouldn’t take a view on if dealing with a third party solicitor.

That being said, 99 times out of 100 things will be fine (and faster).
Burt
Burt avatar

5559 posts since 3/1/10

12 Jun 2019 14:34
Rirawin wrote: …rock the apple cart…
Laughing out loud
rural
rural avatar

17563 posts since 26/9/06

posted 12 Jun 2019 15:09, edited 12 Jun 2019 15:09
ismvil wrote: Just closed a deal in 6 weeks from offer by using the same solicitors as the seller, it was Countrywide I think - having someone I could get face time in front of was crucial.

Did the same thing myself. Both solicitors are partners in the same firm but at different offices. They just had to have one compliance meeting to get the ok to work together on the same deal. Went nice and smoothly after that. Was a complete coincidence that both me and the seller used the same firm.