Survey Issues - Allowance for repairs?

n30_mkii

n30_mkii

n30_mkii

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Alfreton,Derbyshire
We are in the process of buying a property and made clear that our offer was subject to a survey as the property doesn't look to have been well maintained, we had spotted some issues and factored a few things into the offer such as new boiler, flat roof covering replacements, plastering and electrics. However the building survey has come up with around £10-15k worth of immediate issues on the roof for ridge tiles, chimney stacks, facias and soffits (rotten) along with others.

As far as I see it we could ask for a reduction in the house price to cover the amount and reduce the mortgage, but then we still need to find that extra cash for repairs which isn't ideal and would set back other plans of adding value. The other option is to perhaps through solicitors negotiate an allowance for repairs to cover the work on completion. So that way we still pay the right stamp duty etc. I'm unclear how the vendors are informed of this though, and if it is legal? (not trying to do anything dodgy)? Looks like some vendors will allow this, where as others will reduce the value of the mortgage to match. If they do give us an allowance, how would that work from a tax basis?

Any advice is appreciated, of course the seller may just say no and we will have to have a long hard think if we want to proceed if that's the case
 
You have to read between the lines with surveys a little bit, as the surveyor will want to cover thier backside too by listing everything and putting cost etimates against it.

That said, that's the whole point of a survey - to know what you are letting yourself in for.

Last house I tried to buy needed a good 15-20k of 'proper' work, rendering, wall ties, a bit of damp due to that, a collapsed lintle, a poorly repaired downstairs ceiling after what was clearly a water leak from the bathroom at some point.

I simply called the estate agent back and said I'd buy the place if they knock 20k off the price. (the house was up for 165k IIRC). They spoke to the owner who basically told be to jog on, so I walked away. Lost £475 for the price of the survey, but I dodged a bullet, looking back.

EDIT, you also have to factor in the inconvinience factor if your gonna have to get trades people in etc.
 
I lost you as soon as you said 'clearly hadn't been maintained'.

I'm in almost exactly the same situation and have sucked it up because 1) I love the house, 2) the location is acceptable, 3) I'm being priced out of the market, 4) houses like this rarely come up.

Try your luck if you want but it's a red flag for me and I'd bin you off as a buyer.
 
We got cash off the price due to a few things needed doing. However this was 12 years ago and not quite the same situation these days.
 
Thanks, assuming we do look to pursue a reduction is an allowance approach permitted? Would be great to here if someone has been through that process, rather than off the offer price.
 
I think it depends on if you really want the house long term, and if the price is already lower than similar houses in the same area.
Low maintenance can mean issues that aren't highlighted in the survey due to restrictions are more likely to exist vs a well maintained property. An obvious point perhaps, but surveys aren't always 100%.

In the current climate, knowing if it's affordable plus potentially taking on more debt for maintenance is also affordable is the most important thing.
 
dLockers said:
I lost you as soon as you said 'clearly hadn't been maintained'.

I'm in almost exactly the same situation and have sucked it up because 1) I love the house, 2) the location is acceptable, 3) I'm being priced out of the market, 4) houses like this rarely come up.

Try your luck if you want but it's a red flag for me and I'd bin you off as a buyer.
Click to expand...

This.......we're in exactly the same boat, for us we've found a perfect house, it should be a forever home.
It needs a few bits doing outside, which will cost the thick end of £10-£12k, probably £6-8k almost straight away, the rest over the following 12-18 months.

We got a small amount knocked off due to a mortgage under valuation - given that if I went back to the vendor now and asked for £12k off for the work needed I'd no doubt get told to jog on and I absolutely don't want to lose the house, too much time and energy have been consumed and it's almost over the line.

Good luck
 
n30_mkii said:
Yes mortgage valuation was fine, so we've not had to seek any money off up to this point. I'm in two minds what to do
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I wouldn't worry then. I guess you'll be doing work anyway, and not everything needs doing at once.
 
How does it compare to the market? For all you know the vendor has already priced in essential repairs.

An allowance for repairs (if such a thing exists) sounds like a right faff. I wouldn't even bother entertaining it as a vendor. Houses like this require a fair bit of capital on the side to modernise things.
 
All the jobs you listed I've done to our house over the past 5 years and more (circa 40k)

You've got nothing to lose by asking for money off but I also wouldn't let it be a deal breaker.
 
Renegotiations always depend on current demand, how far along in the process you are, how desperate they are to move out? Have they priced the house accordingly with the work that needs doing?
 
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