So this worked for me:
1. Go to Mac App Store (MAS) > Click on Store > Check for Unfinished Downloads
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2. You will have to enter your iCloud ID
3. Once complete, all the iWorks and iLife apps showed that they could be updated instead of bought.
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4. But you need to individually click into each application > Click update > enter in your iCloud user/pass and then it will start updating
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Hopefully this works for people, it worked for me. Before I did all of this I had restarted my computer, but I doubt that had anything to do with it since when I went back into MAS the iWork and iLife suite still said I had to buy etc.
This did the trick for me too, thanks so much for the tip!