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Surely there is a huge opportunity to make money here if you can buy these flats way cheaper than market value less cost of rectification? Seems odd that the £600k flat in the article was valued at only £90k, as the costs to rectify the cladding can’t be that much.
NickCJ-
In theory but who will be selling in those circumstances? V few people. It's a golden opportunity for anyway temporarily affected by the cladding issue to stiff the government for quite a bit of cash if you did take out an equity loan which is pegged to market value
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the costs to rectify the cladding can’t be that much.
It's the discount you get for buying a flat that can't be mortgaged, let out or resold, and is potentially a fire hazard that could kill you.
And yes, nobody can or will sell. Unless they are desperate and in that case they might take 2-300k in cash.
princeperch
Howard
If she purchased it under shared ownership or whatever it's called, she needs to act now to take advantage of the loophole which some have exploited to settle the equity loan at market rate. At the moment the market rate of her flat will be 50k or whatever. That won't last forever, because once the cladding situation is resolved the flat will be back to market value.