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FrozenOut

My Parents To Become My Landlord.

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I'm perfectly happy renting and expect house prices to fall 30% to 40% over the next few years so I wouldn't even consider buying now.

There's no way to not sound rude here, but rest assured I'm not, but aren't you quite "senior" in years? :D

My point is, your position is admirable, but this guy is at the other end, and by his own admission wanting to buy

His username is "Frozen Out"

He is anything but

This is why I've always said, lurkers and FTBers who post here need to be cautious about getting caught up in the overall (albeit admirable) opinion on here

People's motivations differ, and someone who wants to buy but is putting it on hold because of the advice and wisdom on here should exercise caution when choosing who they take their guidance from. People with 100 grand in the bank who are opting out of home ownership for whatever reason and expecting prices to fall, are sometimes barely distinguishable here in posting style from people on very low wages who could barely scrape together the required deposit for a studio flat

I don't know where the OP lives, but I bought a 1 bed semi last year for 175k in Greater London. I'm 35 and realistic about what my first house should be. Just because you're buying late in life at your peak earning, it doesn't mean you're entitled to a mansion as your first place

100k deposit and you're "earning a decent salary", something doesn't add up, and my suspicion is it's your expectations

Edited by pete.hpc

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Real boomers would've regarded parents-as-landlords as perfectly normal. Only it would be the spare room.

That's where the stereotype of the demon mother-in-law comes from. Not an easy life when she rules the home, and might poke her nose in on you at any time.

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My parents provided the funding and somewhat bullied my grandparents into a right to buy of their flat during the mid 1990's and when my grandparents had to move to a warden assisted home in 2003 we (myself, husband and daughter) moved in as my parents tenants with the rent paid in cash, no rent book or tenancy contract, just by verbal agreement. I obtained receipt of the rent from my mother on the understanding that it was kept under wraps. Two years later my grandparents died and by 2007 my parents, wanting but not needing to sell, gave us notice and engaged in verbal abuse and strong arm tactics as we put up token resistance just to give us a little more than 2 months notice. The verbal agreement prior to moving in, in 2003 was that we could live in the flat for as long as we needed it, which in the end was a further year. My Mother disputed this and called me a liar. That spelled the end for our relationship. So I would urge that you should proceed with caution by means of a legal contract as families do effectively evict family members especially when money is involved. Shelter will tell you this and much more.

was the relationship breakdown related to a loss caused by the delay in selling? (your parents wish to sell in 2007 looks like a great idea with hindsight)

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My parents provided the funding and somewhat bullied my grandparents into a right to buy of their flat during the mid 1990's and when my grandparents had to move to a warden assisted home in 2003 we (myself, husband and daughter) moved in as my parents tenants with the rent paid in cash, no rent book or tenancy contract, just by verbal agreement. I obtained receipt of the rent from my mother on the understanding that it was kept under wraps. Two years later my grandparents died and by 2007 my parents, wanting but not needing to sell, gave us notice and engaged in verbal abuse and strong arm tactics as we put up token resistance just to give us a little more than 2 months notice. The verbal agreement prior to moving in, in 2003 was that we could live in the flat for as long as we needed it, which in the end was a further year. My Mother disputed this and called me a liar. That spelled the end for our relationship. So I would urge that you should proceed with caution by means of a legal contract as families do effectively evict family members especially when money is involved. Shelter will tell you this and much more.

Ignoring her tax evasion, and the fact that RTB might not have let her rent it out for a certain period, with no AST it would have been an old-style rental contract. They would never have been able to get you out until you died.

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There's no way to not sound rude here, but rest assured I'm not, but aren't you quite "senior" in years? :D

My point is, your position is admirable, but this guy is at the other end, and by his own admission wanting to buy

His username is "Frozen Out"

He is anything but

This is why I've always said, lurkers and FTBers who post here need to be cautious about getting caught up in the overall (albeit admirable) opinion on here

People's motivations differ, and someone who wants to buy but is putting it on hold because of the advice and wisdom on here should exercise caution when choosing who they take their guidance from. People with 100 grand in the bank who are opting out of home ownership for whatever reason and expecting prices to fall, are sometimes barely distinguishable here in posting style from people on very low wages who could barely scrape together the required deposit for a studio flat

I don't know where the OP lives, but I bought a 1 bed semi last year for 175k in Greater London. I'm 35 and realistic about what my first house should be. Just because you're buying late in life at your peak earning, it doesn't mean you're entitled to a mansion as your first place

100k deposit and you're "earning a decent salary", something doesn't add up, and my suspicion is it's your expectations

What has age got to do with not wanting to lose money? I could buy now, for cash, but would prefer to wait for value to return to the housing market.

The OP said that he won't buy now, not that he can't buy now, same as me.

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was the relationship breakdown related to a loss caused by the delay in selling? (your parents wish to sell in 2007 looks like a great idea with hindsight)

MY parents had an idea that maybe the summer of 2007 was a market top for the inherited flat at that time, gave them about £120,000 profit plus the 4 years tax free rent from us.As for my Grandparents they were content in renting from the Council as the maintenance was down to the Council but the owning of the flat gave them unwanted anxieties as they were in their eighties.The total breakdown in our relationship was all about the verbal agreement that was not honoured, simply trust between mother and daughter. My Mother also scared the life out of my then 16 year old daughter who was home alone when 2 bailifs tried to intimidate her into answering the door to receive the letter of notice. No apology to my Daughter has ever been given. So the desire for money has cost them part of their small family.

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Ignoring her tax evasion, and the fact that RTB might not have let her rent it out for a certain period, with no AST it would have been an old-style rental contract. They would never have been able to get you out until you died.

We took advice from a solicitor, Shelter and the CAB and it was classed as an AST with notice being given under a Section 21. Rental after RTC slipped under the radar, so could have been valid. We did try to meet half way but Mother decided to use a sledge hammer to crack a wall nut . ££££££££ .

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I'm sitting in a 50% crash situation but I won't buy a house either until I see value in the market. NI has some way to go yet.

Some of the best deals may be available before the turn. The turn in the NI market I reckon will come a while after the Republic turns, doesn't mean there won;t be another dip though! NI is already reflecting in part the loss of faith in Irish sov. ratings.

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We took advice from a solicitor, Shelter and the CAB and it was classed as an AST with notice being given under a Section 21. Rental after RTC slipped under the radar, so could have been valid. We did try to meet half way but Mother decided to use a sledge hammer to crack a wall nut . ££££££££ .

If I were the OP I don't think I'd get involved and want my independence. There is something about families and money that doesn't mix.

My parents were in a similar position having bought my Uncles house in the 80's, let him in it for free, and then when he died came up with some weird deal with another Auntie, where she paid a lump sum (from her own house sale) for an "interest." There was no repayment when she eventually died.

Caused no end of problems, not least because it prevented my Auntie getting additional help she might otherwise have been entitled to. Also my parents resolutely refused to modernise the property which hadn't changed much since it was built in the 70's and there were rows which they tried to drag me into, over the belief that my Auntie hadn't insured the house (mistakenly) and that a relative, who they didn't like had moved in. I told them it was nothing to do with them. Good job my cousin did move in, as he was the one who found my Auntie dead, (mind he hasn't been the same since!).

Edited by Socially Housed

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Most of the 50% drop is in the terrace houses and apartments at the low end and chunks of the kiteflying top end. I'm waiting for the middle to get real. There are loads of houses that have been on at the same price for 4 and more years. Either the EAs will go bust or they will get real.

Estate agents going bust?

must be 3 new ones in my local town over the last couple of years, admitally opened up by those that worked for one that went under previously.

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So, a small ray of light I guess, my parents purchased my grandmother's house in the late 80's under right to buy for .....£21,500 - a 3 bed terrace.

They said they will pull the house wall from wall and ceilings to floors and that I can rent from them far cheaper then I rent my 2 bed flat for (£750 perm month).

It says alot when you feel that this is now my releif from this insane market - my money stays in our family - the best of evils I guess.

So sick of not being able to 'make my way' in life, without becoming a debt-slave.

Because they owned a share of a sizeable plot of land, they owned their house and my grandmothers houses - they're boomers because they lived in essentially a golden time

I'd guess worth somewhere around £200K-£250K.

Did they charge your Gran a discounted rent during all those years, or rent free?

What's it worth now? Discounted RTB in the late 80s at £21,500. £220K? Possibly decades of a rent element, even a discounted one, from your Gran? Or perhaps directly from housing benefit funds? Their own home, most likely owned outright. Golden years? Possibly good pensions on top from their employment years?

'The rent money stays in our family?' Even at a discounted rent for the house, your parents are still wanting rent from you. And they'll modernise the house for you to rent. How nice of them. I've paid out £2K this year to a younger sibling to cover certain expenses for them, simply because I don't want them touching the deposit they've been saving up towards buying a house. And I don't even own a house myself. Still adding towards my own buying fund.

If you're parents are substantially well positioned after the the golden years, pensions, and capital gains on the second home from taking advantage of someone else's RTB all those years ago, it would be nicer if they considered gifting you the property. If only to avoid IHT or capital gains tax later. Yet they still want a rent from you, even if it's a discounted one.

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Your parents and others in their generation stole that right from you, buying houses for £21,500 that 20 years later are worth 10 times that.

They stole nothing. They might be begging for an asprin in their old age, but they stole nothing.

Do you write headlines for the DM?

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