Unexpected sale of rented apartment. Options?

  • Erstellt am 2021-12-07 18:57:10

chand1986

2021-12-07 18:57:10
  • #1
Hello everyone,

today I also want to tap into collective knowledge. Here is the current situation:

We are currently renting. In roughly 4 years, we wanted to buy my parents’ townhouse, as they want to downsize around that time. Our current apartment is perfectly located both in terms of commuting and shopping and leisure value. Consequently, the plan was to rent here and terminate precisely when my parents move.

Now the owner has announced that she wants to sell the apartment. It will be offered to us via the right of first refusal (stated in the rental contract). The asking price is €3000/m2, which corresponds to the prices for new residential buildings in our area. The property we live in was built in 1994 and is in good condition, both inside and out.

The problem: The seemingly obvious solution, to rent something else and move additionally once in between, basically doesn’t come into question – we are both currently involved in recent professional transitions with high demands, alongside ongoing further training, etc. Moreover, due to the layout of the very large open space, part of the furniture will almost certainly not fit into a new place.

At the moment I see potential loss of equity lurking everywhere, threatening to thwart our plans for my parents’ house.

Of course, I have already made a (short) list of remaining options and have appointments scheduled with two local banks for advice, which are still pending. Above all, I want to know the value of the apartment in the eyes of the banks.
To avoid being suggestive, I will not mention my own thoughts first, but instead hand over the open question to you:

What do you see as smarter and less smart actions here? What options do you generally see?

I know, actually only what can always happen has happened here – albeit with timing that can be called “suboptimal.”
 

Tolentino

2021-12-07 19:18:10
  • #2
If it’s not exactly Görlitz or Elster-Elbe-Kreis, buy. This is not a loss; the apartment does have a value and you are paying down something along the way. Later you can always sell or include the apartment in the financing thanks to the increase in value (refinance) and forbid.
 

barfly666

2021-12-07 19:24:28
  • #3
Please note, buying does not break the rent. Until a new owner evicts you due to personal use, you have bought the parents' house.

Or you adjust the price of the apartment significantly, since a rented apartment is certainly not as easy to sell … and park your equity there.
 

Osnabruecker

2021-12-07 19:26:10
  • #4
Just because she sold the apartment does not terminate your lease ("purchase does not break rent"). So if you want to continue renting, it is definitely possible. You would have to have it checked on a case-by-case basis.

Edit:
Barfly was faster;)
 

Tolentino

2021-12-07 19:26:58
  • #5
? So maybe a seriously ill person or a single parent can delay a personal need for four years. Otherwise, it's quite simple, as long as the personal need is real and not, for example, an alternative vacant option available...
 

Bertram100

2021-12-07 19:35:05
  • #6
I would probably buy if it is financially feasible. You gain a lot of quality of life with it. The apartment fits you at the moment and you don't have much energy and time to start another moving carousel for professional reasons. So, the gained quality of life would be worth more to me than the risk of possibly having thrown money away. Whether that will be the case, you will find out at the latest when you move into the house. I cannot imagine that even in the case of a loss you would lose so much that it would jeopardize the purchase of the house. The apartment is not expected to lose 80% of its value or anything like that. If real estate prices rise, the house will also become more expensive than it is today. Then you can mortgage or sell the apartment.
 

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