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Landlord Trying To Sell To Me At Discount

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A few months ago I was chatting to my landlord and mentioned that I thought prices would slip by the end of the year.

"Prices always go up" he replied.

Fast forward to now and he thinks prices might drop for up to 10 years.. and wants to sell the house to me at a possible discount of up to 15-20% off the average price of other houses on our street.

Interesting scenario for me, actually. It's a nice house, nice location, we have the 25% deposit. The thing that makes it really interesting though is that the landlord is a parent, and if I decide not to buy - they will sell it and kick me out anyway. Forcing me to pay double the rent I currently pay elsewhere.

Thinking it might actually be a good decision to buy with this discount..

Funny how the landlord's thought process changed over the last few months though.

Edited by fadeaway

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Guest KingCharles1st

A few months ago I was chatting to my landlord and mentioned that I thought prices would slip by the end of the year.

"Prices always go up" he replied.

Fast forward to now and he thinks prices might drop for up to 10 years.. and wants to sell the house to me at a possible discount of up to 15-20% off the average price of other houses on our street.

Interesting scenario for me, actually. It's a nice house, nice location, we have the 25% deposit. The thing that makes it really interesting though is that the landlord is a parent, and if I decide not to buy - they will sell it and kick me out anyway. Forcing me to pay double the rent I currently pay elsewhere.

Thinking it might actually be a good decision to buy with this discount..

Funny how the landlord's thought process changed over the last few months though.

I feel you are in many people's dream scenario.

I suggest a search through recorded house prices and see what he actually paid for the property. If he has owned the house for 8 years or more- he could possibly even look at a 30% drop to escape the coming storm.

Could be he has some large bills- could be he is just switched on?

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Simply that he's a Daily Mail reader. And many people I know have performed exactly the same volte face over the past few days, based on the "10 years" story in that paper. To be honest, they seem to believe the last thing they read.

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Same thing has just happened to us and we are buying our rental house - got £15k off asking price (we wanted £25k but was a no go!) so we are buying. Like you, we were concerned we'd be kicked out anyway and have kids at the local school. Realise it's a shite time to buy but mortgage rate is good (less than rent) and there is literally nothing else to rent around here (you can imagine why no doubt!). Houses in the street have come down nearly £50k from their peak in 2007 - we have been watching the market really closely since we moved here.

If it's a long term home then I guess it makes sense although I fully expect to lose money in the short term at least.

Good luck with your decision fadeaway...

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Simply that he's a Daily Mail reader. And many people I know have performed exactly the same volte face over the past few days, based on the "10 years" story in that paper. To be honest, they seem to believe the last thing they read.

Couldn't agree more. If there was some substantial research he'd done in between times to change his mind then good on him, but house price is based on confidence and in most cases confidence comes from the balance of newspaper reporting. Seems there's been a lot of negative stories coming out this week. Just shows how easily people are influenced.

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I feel you are in many people's dream scenario.

I suggest a search through recorded house prices and see what he actually paid for the property. If he has owned the house for 8 years or more- he could possibly even look at a 30% drop to escape the coming storm.

Could be he has some large bills- could be he is just switched on?

He bought for 125k about 4-5 years ago, interest only on a tracker mortgage. Wants to sell before interest rates rise and prices drop. Currently houses on my street go for roughly 150k. Persimmon new build 2 bed semis. No garage unfortunately, smaller garden than I'd like. Considering offering the 125k so he gets what he paid, and my rent covered the mortgage.. but even that might be a little higher than what prices will drop to soonish.

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He bought for 125k about 4-5 years ago, interest only on a tracker mortgage. Wants to sell before interest rates rise and prices drop. Currently houses on my street go for roughly 150k. Persimmon new build 2 bed semis. No garage unfortunately, smaller garden than I'd like. Considering offering the 125k so he gets what he paid, and my rent covered the mortgage.. but even that might be a little higher than what prices will drop to soonish.

Sounds like a bit of a negative equity buffer. If you're serious about buying though, why not put in some lower offers with other similar or better properties on the market and see if you can get a better deal. Don't just be lazy and go for the one you already live in.

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  • 259 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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