Sunnypad wrote:AF62
So sorry you're going through all this.
Re your MIL, is there a diagnosis?
There is. The surprising thing is how rapidly she has changed, although there were some indicators there before.
However she has a number of children who are taking the necessary steps to make sure she is looked after, and so my role is support to my wife and whatever practical assistance I can offer.
Sunnypad wrote:I see so many new build retirement flats, I figure there's got to be a market for the slightly less new ones? I hope it all goes okay.
The problem with selling second hand retirement flats recently is that the market for them has shrunk due to the number of people in that age group who would have been buying one have either died from COVID or one of a couple has died and the other moved directly to a care home because their family could not support their independent living in a retirement flat during COVID.
As well those who would normally have been considering a move to a retirement flat have been staying in their existing house because they were 110% complying with the various lockdowns (even though going out to look at property was allowed) and in addition they or their relatives were scared they would increase their risk of catching COVID by moving from their own home to a place with more communal areas.
Then there is the increased number which have come to the market because of the owner died of COVID, or one of a couple died and the other moved into a care home or to stay with children during COVID and are not in a fit state to return after 18 months.
My mother's flat was on the market for 10 months with three viewings in that time, but hopefully the sale is going through now.
And that was for a flat which was a 'normal' flat apart from an over 55 age requirement. It had no expensive on site manager or residents lounge, etc. In addition the leaseholders each owned a share in the management company that owned the freehold, so the leaseholders could control the service charge. Even then in the five years my parents lived there, although generally house prices in the area have risen substantially in that time, the best offer on her flat was 5% below the original purchase price.
In comparison my neighbour advertised their property in May, a detached house which they bought eight months before, for a price 20% more than they paid. It sold in four days.
But to be honest that doesn't matter as they enjoyed living in the property for those five years.
So when we think about my mother in law's flat, which has an expensive service charge because it has a resident manager, and expensive to run residents facilities, and the freehold owned by a third party who control the management company and want to run it for a profit. Well, that is not going to be easy to sell.
From looking at Rightmove a good number of similar retirement properties in her area have been advertised for sale since 2019 with more being added in 2020 as COVID hit.
The pricing of these flats is hilarious, with flats of the same design and standard being offered for prices that vary wildly - some identical to the most expensive being offered for 1/3rd the price - and the cheap one still not selling!
And these cheap flats look absolutely immaculate, so there will be a lot of work to get mother in law's flat to the same standard.
The reason for the price disparity is people compare to similar non-retirement properties (which is how the developers price when they sell) and some refuse to accept that their property or the property they inherited is worth less than they paid (or more as they see how 'normal' property has increased in value), but others recognise that few are keen on buying a property with an expensive service charge, and some relatives who have inherited the property and are now liable for paying that charge just want rid of it.
But whatever it sells for is irrelevant as it will all undoubtedly be consumed in care home fees - but again that's fine provided her last few years are the best they can be.