Converting a house into flats

[vxdxm]

I have recently started thinking about buying a house to convert into flats solely for resale purposes. I just wanted to know what issues i would have to take into account prior to buying the house. Is there a bullet point list of things that the property need to meet in order to get the planning permissions. And the most important question, is it possible to find out if the property will get the planning permission prior to buying it. Look forward to all your replys and will keep you all updated as i follow through the process.

[BPVicar]

Mate. I am considering the same thing. I am going to see a mortgage advisor this afternoon. I have spoken to my local councils planning department who say they will go and look at the property this week and give me an idea of wether planning would be approved. The only concern I have is they insist flats should not be more than a 1 in 3 ratio. There is a flat next door. I have made an estimated list of costs. If you have done this before have I missed anything? I live in Lincolnshire. The purchase price of the terraced 3 bedroom property would be around 82k. Flats sell for about 60k in this area. I'd appreciate any advice. is 20k for conversion reasonable?


Building Control fees £352.00
Mortgage early penalty fees etc ? (Will have better idea after seeing mortgage advisor)
Fit kitchen £1,200.00
Estates agent/solicitors fees (All including conveyancing) £3,000.00
Combi Boiler x 2£1,000.00
Fit rear UPVC door and stairs £1,200.00
Planning Fees £265.00
Achitects fees £400.00
Re-route water (Inc Installed devices) £2,000.00
Re-route wiring (Inc installed devices) £2,000.00
Building/Structural changes (make into flat) £1,500.00
Re-route gas (Inc installed devices) £2,000.00
Sound proofing £4,000.00
Painting/Decorating after work £500.00

TOTAL £19,417.00

[brian]

Something definitely worth considering at the moment is that there's a lot of volatility in the flats to rent market - if you are going to do the conversion, do take a clear and careful look at the local rental market and see whether your estimates of income are reasonable.

2c.

[BPVicar]

Cheers Brian. I'll be looking at selling one of the flats and living in the other. This would be my first venture and I'm hopeful I could get rid of my mortgage. Would be good to be mortgage free by 32 years old.

[brian]

Yes, it would be good - but please do appreciate that you are also entering a property industry that is in a downturn, which is bad news especially for sellers. The danger is of taking on too many risks with your investment, and rather than paying off your mortgage early, instead lumber yourself with huge debts that extend your repayment period, rather than reduce it.