buying a repo?

papercut1982

With all the doom and gloom and finally the reality of affording a proper family home seeming possible I thought the other night about buying a repossessed house.
Seen a few articles in the media hyped newspapers about auction prices on repo homes being stupidly low and it looked quite interesting, especially now it could be a beautiful home in the best street etc under the hammer..
My question is HOW do you find these properties? I have found a few websites relating to auctions but they want you to pay etc to view the listings.
Is there any info where I might be able to read up on the pros and cons of doing this? Will that house always be tarred with the associated problems OR is that just down to the individuals??
I really don't know much about it, but it seems like a good idea at the moment!

unite79

Most of the large national EA's are being passed these, you will get to know about them by being nice to Estate Agent's (something that is BLIMIN hard) - ask them the direct question. = Do you get any repossesions...
Is

papercut1982

really? I thought they would be all be auctioned for quick money. Being nice to an estate agent :rolleyes: that doesnt sound easy/fun.... I shall make some enquiries. Surely though an EA will want full market value???

poppysarah

They are on with EA often first and then the mortgage company puts them for auction. Either spot them by the tape on things on the pics or ask at the EA.

They appear with big drops suddenly on property bee too so worth looking at that

Zelie

They are often listed on places like Rightmove too. Do your usual search of an area. When the properties come up there is a list of links over to the right and down a bit which allows you to select e.g. only semis or only terraces. Any auctions will also be shown there.

Hectors_House

papercut1982 wrote: »

really? I thought they would be all be auctioned for quick money. Being nice to an estate agent :rolleyes: that doesnt sound easy/fun.... I shall make some enquiries. Surely though an EA will want full market value???

The repossessing bank has to be seen to be trying to get the best price they can so the house will go through an EA. It would then go to auction if they get no offers.

I believe the bank is obliged to accept nothing but the asking price for the first 4 weeks of listing then can consider offers and start lowering the price from then on.

jodiebabes

You know its a repo when the estate agents tells you viewing need to be done in daylight as there is no power to the property. Also I have noticed alot have a piece of paper in the window with a notice on.

I am going to view 2 next week. Wasnt looking for a repo, they just both happen to be repos!

GDB2222

sjcollett wrote: »

Hi, there are some great buys at auction at the minute. I have been producing a FREE weekly tipsheet which highlights the key buys and bargains. A new service I'm introducing is to sign up for a particular area you're interested in and I can send you all auction details of properties in that area. You can email me on [EMAIL="sjcollett@yahoo.com"]sjcollett@yahoo.com[/EMAIL] for further details.

Just a note to say that the tip sheet is free. However, there are insufficient details to identify the properties, and this is in fact a paid-for service, ie you have to pay a substantial fee to Sam for the details. I wish Sam Collett all the best, but advertising this service on these forums is against the forum rules.

hethmar

http://www.wheresmyproperty.com/auctions/lo.htm

Premier_2

papercut1982 wrote:

...Seen a few articles in the media hyped newspapers about auction prices on repo homes being stupidly low and it looked quite interesting, especially now it could be a beautiful home in the best street etc under the hammer...!

Don't get too excited. It is true that many properties are failing to reach a very high price at auction currently, but what isn't being reported so clearly is that many houses are failing to reach their reserve price - yes that includes repossessions.

lanerover

Please be aware buying these properties has its own rules pitfalls and advantages, some of the main ones being :
price is nearly always negotiatable about 5-10 % down.
Exchange will be expected in about 3 weeks with completion 1 week later so don't even think about it until you have the money in place.
Minimum of 10% deposit will be required the day your offer is accepted (even through an estate agent).
If you don't complete or exchange in the timescale expect to lose your deposit.
You need a solicitor who can work to the above timescales, average ones will not work this fast.
As an investor one other piece of advice: work with estate agents they will be your best source of repossesions I have several agents who ring me 2/3 times per week with these properties.
Finally if you need a solicitor, contact me and I will send details of mine who do these deals every day.
Regards Kevin.