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Its time to buy

Studio Flats

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Just want to gather peoples opinions on these.

Basically these are flats that comprise of:

*living area with a sink and cooker on side

*a shower room with toilet and sink, usually.

These are quite pricey for what they are (about £80K).

Has anyone actually bought one of these places to live in?

I have rented one, and I can tell you they are not very good for entertaining people, and not really good for living in them for long term. Only ONE person can live in there for any considerable length of time.

Who can be buying these places, to justify the high prices? They are only slightly cheaper than a proper 1 bed flat or 2 bed starter home.

Are these a good investment opportunity? I see the rents attract about £400 pcm, and will probably appeal to single professionals. In where i am in dorset, they are still shifting (?), though some have remained on the market for some length of time.

Its incredible that the first rung (well not even a rung in this case) is so expensive.

Edited by notanewmember

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Just want to gather peoples opinions on these.

Basically these are flats that comprise of:

*living area with a sink and cooker on side

*a shower room with toilet and sink, usually.

These are quite pricey for what they are (about £80K).

£80K? Bargain! They're £180K round my neck of the woods!

£180K studio flat from Foxtons

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£80K? Bargain! They're £180K round my neck of the woods!

£180K studio flat from Foxtons

I suppose er thats cheap for London!

No that is truly a rip off. Who or what type of person could be buying one of those?

*Investor? - what kind of rent could really be covering the mortgage?

*FTB? - a highly paid professional on lots of money who needs a base away from home?

*A idiot who wants it as a get rich quick vehicle? - Buy and hope prices double?

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Ignoring the cost for a moment, something that small might be apealing if it were located in a city centre close to my work and I didn't have a partner and were six years younger.

Now though I've moved beyond the need for a crash pad and want a home where I can settle down and start thinking about a family.

Sadly both the studio flat and the house are beyond my means so it doesn't matter either way.

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Just want to gather peoples opinions on these.

Basically these are flats that comprise of:

*living area with a sink and cooker on side

*a shower room with toilet and sink, usually.

These are quite pricey for what they are (about £80K).

Has anyone actually bought one of these places to live in?

I have rented one, and I can tell you they are not very good for entertaining people, and not really good for living in them for long term. Only ONE person can live in there for any considerable length of time.

Who can be buying these places, to justify the high prices? They are only slightly cheaper than a proper 1 bed flat or 2 bed starter home.

Are these a good investment opportunity? I see the rents attract about £400 pcm, and will probably appeal to single professionals. In where i am in dorset, they are still shifting (?), though some have remained on the market for some length of time.

Its incredible that the first rung (well not even a rung in this case) is so expensive.

Surely a caravan or camper van would be better value for money, personally I would skip that rung of the ladder, to low for comfort.

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Surely a caravan or camper van would be better value for money, personally I would skip that rung of the ladder, to low for comfort.

Unfortunately thats all, some of the " richest" FTBs can afford are studios. Some must either be pressured to buy something rather than nothing.

:(

Edited by notanewmember

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Lived in one for close to a year when i moved 'darn sarf' - went from a 2 bedroom trendy large apartment to a box room with a kitchen refuse bin 4 meters from where i slept for the bargain price of 550 pounds a month.

Bedsits (yes, bedsits) used to be where decidedly down-on-your-luck people lived - not mid twenties university educated people !!!

Never again.

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Find me a studio flat in a decent area (not posh, just safe to walk home at night) for 37K and I'll buy it. Thats what it would be worth to me.

For 80K assuming an 20% deposit (BTL standard) after approximately:

Service Charges (80 per month) 960

Repairs (assume a thousand pounds a year which is a ridiculously low estimate but I'm tight!) 1000

Voids (10%) 480

Interest charges 4.5% (assume best deal and 10% deposit) 1762

You are left with the sum total of 598 profit on your 16K deposit (3.7%) for all that headache and rot and not even enough to do the place up if your tenant trashes it, and since the place is small and demoralising you are more likely to get a tenant that will.

As your capital investment goes up, your return goes down, so when you have paid back another 2K you will be getting 3.3%. Sorry, but that is a crap way to work your investment returns. And studio rents have been going down not up.

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DO NOT BUY STUDIOS!!!!!!!!!!

I bought one in 1991, and it dropped from 44k to 12K.

Those exact same flats are back up to 70-80K. If we get another crash of the same magnitude, they'll be back down to 30-40K.

The worst part is that when they crash, your upmarket young executive neighbourhood turns into a DHS dumping ground, and the BMWs in the carpark are replaced by burnt out wrecks. Add to this ripoff merchant management companies who don't maintain the communal areas and you've got the recipe for a negative equity hellhole that you'll be stuck in for years.

You have been warned.

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I live in 2 bed apartment/stud flat (stud is right) with lounge n kitchen in same room, 2 bedrooms n abathroom.

Bloody annoying when washer on or boiler going n you are tryin to chill in living area. Nice that they get fixed for free tho.

They sold for about 58k back end of 2001 and now (and for last year/ year n 1/2) various ones have been on sale for ~120k. Price seems to have remained steady but not dropped.

Rented it for 1 1/2 years now but TBH I just used it for storage up until 3 months ago when I split wi girlfriend. I used to stay at hers most of the time.

Think it would be sh!t to live in long term. I stay cos it's cheaper than renting a house and it has more than enough room for me and is covienient for work ATM. I wouldn't buy one tho if it meant I would have to stay in it for a long time (as many FTB's suckered in nowdays will have to ).

EDIT: Oh yeah built 2001, bought back by developer to be fixed in 2003 as problem wi soundproofing (prob no better as far as I can tell) and then quite a few were sold to a manchester prop developer for about 90k in mid 2004 one of which I rent. Build quality is poor.

Edited by Anti_Claus

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When the music has stoped playing, don't get caught holding a studio flat. It will be unsellable. Studios are one below the bottom rung and in a stable, not increasing drastically, moving sideways, bouncing along the top type of market and are hard to shift. In a tanking market hand back the keys as it will be unsellable, as plenty of people have found in the past.

Pablo Silver or Lead?

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When the music has stoped playing, don't get caught holding a studio flat. It will be unsellable. Studios are one below the bottom rung and in a stable, not increasing drastically, moving sideways, bouncing along the top type of market and are hard to shift. In a tanking market hand back the keys as it will be unsellable, as plenty of people have found in the past.

Pablo Silver or Lead?

They do lend themselves well to the rental market tho hence the attraction to investors/BTL in a rising market. This however could also be a major reason for their downfall when things go tits up!

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I went to view some in 1992 ish to rent. Couldn't believe how tiny they were. Got a 1 bed flat in the end for not much more rent and a lot more space.

Anyone buying one to live in full time must be barking mad.

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Guest Bart of Darkness

I went to view some in 1992 ish to rent. Couldn't believe how tiny they were. Got a 1 bed flat in the end for not much more rent and a lot more space.

Anyone buying one to live in full time must be barking mad.

A friend of mine has a flat which I would describe as being a studio flat (he probably wouldn't :) )

I get a distinct sense of claustrophobia when I visit (and I don't normally suffer from claustrophobia). I live in a flat that technically has the same number of rooms as his (actually more since I have a kitchen that is distinctly separate from the living room) and the difference is palpable. Bigger rooms, more windows, bigger windows, higher ceilings.

He has a smallish window in his kitchen area, but nothing in the living room area, I have very large window running the length of one wall in the living room, letting in plenty of light and making the room feel a lot airier.

Like me he works from home, so he spends a lot more time there than he did when we both had 9-5 jobs. I really don't know how he stands it.

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Wait for four or five years after the next correction, you'll then be able to buy half a dozen for the price of one of them now and start your own BTL empire.

TLM

I'm sure you were being ironic there, but nevertheless I think you're right :D

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£80K? Bargain! They're £180K round my neck of the woods!

£180K studio flat from Foxtons

wow - look at how stretched the sofa is in picture 4 compared to picture 1 (view them all together). amazing. estate agents' photos are like ralph steadman's photo caricatures! And that is the perfect word - checked the spelling of it in my shorter oxford and look what it says:

"1. Grotesque or ludicrous representation by exaggeration of characteristic traits, in drawing, writing, mime, etc.; a portrait or other representation displaying this.

2. An exaggerated or debased imitation or version (of), naturally or unintentionally ludicrous." :D

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wow - look at how stretched the sofa is in picture 4 compared to picture 1 (view them all together). amazing. estate agents' photos are like ralph steadman's photo caricatures! And that is the perfect word - checked the spelling of it in my shorter oxford and look what it says:

"1. Grotesque or ludicrous representation by exaggeration of characteristic traits, in drawing, writing, mime, etc.; a portrait or other representation displaying this.

2. An exaggerated or debased imitation or version (of), naturally or unintentionally ludicrous." :D

To be fair I don't think this is intentional. It is because the photo is taken portrait but the HTML of the page stretches it to match the aspect ratio of the others (taken landscape).

If you click on it, it looks normal.

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priced right, I have noticed that studios are being rented to

- foreign workers e.g. spanish, french, polish migrants, because wages are better here, but need somewhere to live

If there is still high employment, then they are easy to rent. Shame I didnt buy one when they were cheap as chips

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It's not just studio flats you have to watch out for, it ex council, and new builds in dodgy areas. All become virtually unsellable if the market tanks, and I mean unsellable. My ex bought a new build flat in a dodgy area at the height of the last boom, the market crashed a year later and you couldn't give them away. When the market picked up in 2000 we put it up for sale. It took 2 YEARS to sell it even though it was in immaculate condition. Lesson learnt:- Both of us now live in council flats and effectively lost our chance of owning again because of what at the time must have seemed like a reasonable decision to "get on the ladder". DO NOT buy anything that's in a bad location!

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  • 301 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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