HELP ME!! buying a repossesed house

marinakelly

I'm wanting to buy a repossesed house. It's on for 75k it's a mess & needs alot doin to it it's not even habitable. I don't know what to offer on it. I don't want to pay the askin price or shd I say can't spend more than 80000 in total on buyin it & doin it up what do I offer for a repo house do u have to give the askin price or can u offer less. Is there a rule? Plz help it's the first time I've done this & me mum is remortgaging her hse for me to do it.:eek:

sonastin

I'm also considering a repo house (haven't viewed yet but its pretty high on the shortlist). I have no intention of offering anything even close to the asking price. Doing research on other sold prices in the area and what it is worth, I think the asking price for the one I am considering would be about 10% too high if the place was in a move-in-condition. Once I factor in the work I suspect will need doing, any offer I decide to make will be more like 25% less than asking. There is every chance that this offer will be turned down, but I'm only going to pay what a) I think it is worth and b) what I can afford to pay and still be able to do the work necessary.

You should do the same for the place you want to buy. Have a look at sold prices for other similar properties in the area, and if possible what sort of condition they were in when they sold (if you have been looking at the market for a while or have back copies of your local papers you might be able to make and assessment - or take a drive past and see if they are showing signs of being renovated by the new owners!). Work out what you think the "finished" house would be worth, and how much it is going to cost you to get it into a finished state and offer the difference.

If it gets rejected and you really want the place, offer a bit more but bear in mind that it might not be worth what you are going to be paying for it by then.

timmyt

some agents selling those proeprties force you to use they crappy lawyers...resist that....and go in tough but problem is they have to get best price so they could still market the property and you get gazumpted. not an attractive property to buy

and change the locks when you have bought!

lincroft1710

Have you costed out how much you will need to spend to get the house into a habitable state? If so then add this figure plus 20% for contingencies plus £2K buying costs (this is absolute minimum figure). Subtract the total from £80K, then this will give you the maximum you can offer on the house.

jockosjungle

They also won't give you a mortgage if its not in a habitable state

R