DCC AH Unsure

Hi there, I have paid my deposit and my snagging for my two bed duplex is next Saturday. The AH price is 176 and they have vulued it at 240 which i think is an over valuation. I have been told there is no negociations.

I think there is no immediate risk but if I go to sell in eg 3yrs I am afraid it may not be saleable or rentable due to the high number of apartments lying idle. I am afraid I will be stuck with it for years and if i have a change of circumstances for whatever reason, (loss of job, illness or new location) that i will be left with the repayments regardless. This is only an issue to me now because of the current climate. I am sure prices will go down a lot over the next year. I am really contemplating pulling out this week because of my concerns. I would be grateful for anyones opinion on this. The property is in the D11 area where there is a lot of redevelopment being undertaken.

many thanks.

IMHO. It would never have been a good idea to buy an affordable house if you think you might be selling in three years. In the current climate, it's madness.

I have to agree with Brooklyn. It is likely that you would find it very very difficult to rent it out or sell it if you needed to. Most people seem to think prices will continue to drop for at least another 2 years or more. Realistically it could be 5 before you're out of negative equity. If you're in any doubt about your ability to make the repayments with job etc you need to rethink it. I'm buying under AH at the moment but have public sector job and the apt is in city centre. Without these I wouldn't be going ahead with it.
On the plus side. DCC will have to do something with the unsold apartments so if you turn this down it's not going to be the end of the world, they will have to come up with some other schemes to flog them, maybe with a modified rent to buy (which are a total scam imo). Would you def loose deposit?

Thank you both for your replies. I think I will opt out and keep saving. I would love my own place but times are so uncertain I dont feel comfortable with the risk. I wont loose my deposit if I act quickly. Many thanks for your time and responce.

kind regards.

once you haven't signed anything then your deposit is fully refundable