ᐅ Selling the family home and building a new house together with your parents
Created on: 24 Sep 2019 09:34
R
Rujen12
Hello,
My parents plan to build a house together with my wife and me. The background is the sale of their existing family home as well as a building plot (850m² (9149 ft²)) they own.
The family home consists of two separate apartments (each 90m² (970 ft²)) plus a basement (90m² (970 ft²)) and is located on a small plot without a garden (200m² (2153 ft²)). The house needs renovation; several things must be done (windows, insulation, old oil heating/tank, electrical system, etc.).
In all our opinions, it does not make much financial sense to renovate the house because a lot of work is required, and the prices of comparable properties in the area are very high since the neighborhood is in great demand. Above all, my parents would no longer have to worry if something needed repairs. The available building plot is located opposite the family home and has only been used as a garden so far. My wife and I currently live in a rented apartment, and my parents should stay in the family home until the new house is ready. However, the question is how to approach the sale? We have no idea, especially considering my parents’ living situation.
Of course, it would be best to use the money from the house sale to finance the new one. I can hardly imagine finding a buyer willing to wait 1–2 years for their new home and still pay a reasonable price. I would be very grateful for any tips or advice on how to handle this. Maybe someone here has experienced a similar situation.
My parents plan to build a house together with my wife and me. The background is the sale of their existing family home as well as a building plot (850m² (9149 ft²)) they own.
The family home consists of two separate apartments (each 90m² (970 ft²)) plus a basement (90m² (970 ft²)) and is located on a small plot without a garden (200m² (2153 ft²)). The house needs renovation; several things must be done (windows, insulation, old oil heating/tank, electrical system, etc.).
In all our opinions, it does not make much financial sense to renovate the house because a lot of work is required, and the prices of comparable properties in the area are very high since the neighborhood is in great demand. Above all, my parents would no longer have to worry if something needed repairs. The available building plot is located opposite the family home and has only been used as a garden so far. My wife and I currently live in a rented apartment, and my parents should stay in the family home until the new house is ready. However, the question is how to approach the sale? We have no idea, especially considering my parents’ living situation.
Of course, it would be best to use the money from the house sale to finance the new one. I can hardly imagine finding a buyer willing to wait 1–2 years for their new home and still pay a reasonable price. I would be very grateful for any tips or advice on how to handle this. Maybe someone here has experienced a similar situation.
M
Michlhausbauaa26 Sep 2019 14:05Several generations under one roof - that wouldn’t be for me. I don’t think it works in the long run.
We had also considered that idea but later decided against it. Financially, it would have made many things easier. It might sound harsh, but to be honest, that’s how it is. At first, it sounds great to have the babysitter in the same house and to have your parents nearby for caregiving, for example.
I don’t know your parents, but the issues often start with jealousy. Your girlfriend’s parents might feel resentful. When living close to other people, more frequent conflicts can occur. This could have negative effects in the worst case. The parents might constantly be around or overly involved, and so on. Keep all this in mind. We’ve spoken with many people who live like this, and most advised against it. Almost always, the decision to build or buy with the parents was driven by financial circumstances.
How old are your parents? An 850 m² (9,150 sq ft) garden is quite large—not at all small given today’s land prices. Do they actually use all of that space? What is the shape of the plot? Is it elongated?
I would try to build a single-family house there. 450-500 m² (4,840-5,380 sq ft) should be enough for a start. Your parents could continue to use the other part as a garden.
I don’t know your parents, but the issues often start with jealousy. Your girlfriend’s parents might feel resentful. When living close to other people, more frequent conflicts can occur. This could have negative effects in the worst case. The parents might constantly be around or overly involved, and so on. Keep all this in mind. We’ve spoken with many people who live like this, and most advised against it. Almost always, the decision to build or buy with the parents was driven by financial circumstances.
How old are your parents? An 850 m² (9,150 sq ft) garden is quite large—not at all small given today’s land prices. Do they actually use all of that space? What is the shape of the plot? Is it elongated?
I would try to build a single-family house there. 450-500 m² (4,840-5,380 sq ft) should be enough for a start. Your parents could continue to use the other part as a garden.
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