Offerring on a Repossed House

spinney48

We have found a bungalow we would really like to buy. However, it is repossed and needs quite a bit of work. We have put an offer in and we have been told by the Estate Agent that there are three other parties who have put an offer on it. As there are a few parties interested the EA has advised that the 'corporate client' will possibly ask all parties involved to put their best offer forward. Once that is done they will put the accepted offer in the newspaper for 28 days to allow higher offers. Would it therefore be advisable to keep to my lower offer when putting forward the best possible offer, wait until it is advertised in the newspaper and put my best possible offer after the advert has been run and within the 28 day period. Or am I missing something.

Is there anyway we can find out how much is outstanding on the house to try and establish what would be a more realistic offer to be accepted by the 'corporate client'.

m_13

If you buy a copy of the Title from the Land Registry (for about £3) you should be able to find out who the mortgagee is and whether there are any other secured debts on it. This should also be in the HIP (which repossessions are not exempt from). Often on a repossession you'll see the initial mortage and then a further advance which means they owe more than originally borrowed.

www.houseprices.co.uk should tell you how much it was last sold for.

You can also search the insolvency site for the names of the owners (should be on the title) to see if the debt is on their bankruptcy.

If the repossession was via an auction you should be able to see a full legal pack but if it's via an EA I don't know how this works.

Once you know what is secured on the property and who for, you can make an educated guess at the maximum mortgage % allowed at that time from that lender. Not everybody did 100% mortgages, for example.

However, none of this really matters! You need to offer what you think the house is worth to you :rolleyes: