how much to bid for repo?

ANNEGEDDES

hi all sorry if this thredd has been exhausted i have searched and looked where running horse has put links (thankyou)

We are interested in buying a repo for btl, but have no experience in pitching a bid do you do asking price below? above?? apparently 20 people are viewing house!

thanks

ANNEGEDDES

should also say we would be putting down 25% deposit, have spoken to morg advisor but dont have one approved although he has given us a few options.

House up for 69,950 is that a guide price? or offers over??

theartfullodger

House up for 69,950 is that a guide price? or offers over??

What does it say on the details/website?? Usually there's a wee hint....

Have you talked to the Agent?

have you looked at the house??

Have you seen what similar houses very near it went for??

How much can you afford??

What will it need to make it habitable/sellable whatever it is you plan to do with it??

If you dinae know a lot about the game are you comfortable you'll nae make a big mistake??

Cheers!

Lodger

G_M

ANNEGEDDES wrote: »

hi all sorry if this thredd has been exhausted i have searched and looked where running horse has put links (thankyou)

We are interested in buying a repo for btl, but have no experience in pitching a bid do you do asking price below? above?? apparently 20 people are viewing house!

thanks

You need to decide:
what you can afford (your cash + mortgage bearing in mind costs + repairs etc)
what it is worth ( market value - eg compare similar properties)
what the letting potential / rental is

Then decide from that what you are willing to pay. Doesn't matter if it is below/above asking price. Offer a bit below what you are willing to pay, negotiate up, then buy or stop and walk away.

House up for 69,950

That is just an indication of what the vendor wants. If lots of people are interested, he'll sell it for more. If noone is interested, he'll sell it for less!

ANNEGEDDES

Right been researching lots on internet and talking to peolpe in area that privately rent and think we are gonna make an offer and just see what happens.
The market value to sell is £90-100
Letting potential £450-475 pcm
we have 25% to put down for btl morg

Went to see today looks like only paint and tidy up job to rent, kitchen and bathroom are not that great but could just be deep cleaned and tidied up. BUT!! (there is alwaysabut) there is some damp in the spare room seems like gutering has leaked, roof looks good so hopefully will just be sorting that up and plastering.

so what do you guys think? anything i have not thought of?

do i just ring the estate agents and say i want to make an offer?how do i know where to pitch it?

thanks in advance

vicstick86

Ive nearly brought a repo, We started below asking price, and moved slowly up!
102k asking price 104k, then finally we had to go even higher! It was because we ending up in a bidding war kinda with another person!

The same has happened with the few repos that we've seen round our area, priced low and then they go above asking price.

I think they went with us in the end because the thought we were the most proceedable.

What matters in buying a repo, seems to be how quickly you can exchange contracts, and you seem in a good position with a btl. Even if someone goes higher than you, you still might get accepted on that basis.

socrates

ANNEGEDDES wrote: »

Right been researching lots on internet and talking to peolpe in area that privately rent and think we are gonna make an offer and just see what happens.
The market value to sell is £90-100
Letting potential £450-475 pcm
we have 25% to put down for btl morg

Went to see today looks like only paint and tidy up job to rent, kitchen and bathroom are not that great but could just be deep cleaned and tidied up. BUT!! (there is alwaysabut) there is some damp in the spare room seems like gutering has leaked, roof looks good so hopefully will just be sorting that up and plastering.

so what do you guys think? anything i have not thought of?

do i just ring the estate agents and say i want to make an offer?how do i know where to pitch it?

thanks in advance

If I was buying a repo for BTL - I would be looking for something that needs very very little done to it - I would also be looking for a higher yield - so either a cheeky offer - or - keep looking...

ANNEGEDDES

cheers guys was thinkung 60 what do ya reckon?

we are both quite handy and have time at the mo to do it up so hopefully that bit would put people off!

ANNEGEDDES

this mornings update:

Rang office someone has already put i offer, we are gona speak to morg adthen do the same

socrates

ANNEGEDDES wrote: »

this mornings update:

Rang office someone has already put i offer, we are gona speak to morg adthen do the same

Would be an idea to tell us how much the other offer is

ANNEGEDDES

socrates wrote: »

Would be an idea to tell us how much the other offer is

sorry dont know the other offer its blind offers