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Offers on a repossession...

A house has come on the market for £515k,the last few of its kind on the same road have sold for between £690-£750 k but this one needs a heck of a lot of work complete rewire, replastering etc.

Bearing this in mind what do you think a sensible first offer would be, these houses only come on the market once every 5-10 years, we have been waiting a long time for one to come on and would love not to miss out.

There were a lot of viewers at the block viewing and at the moment it is offers, but EA said he expects it to go to sealed bids. He also saod bids have been made higher than asking price already, he said this on Sat morning before anyone had even viewed it so maybe they bid site unseen.

Also anything else to bear in mind when taking on a repossession.

Ta very much

xx

Comments

  • 418k seems a good starting point

    25k to completely renovate
    i buy houses ........... any condition.
  • PasturesNew
    PasturesNew Posts: 70,698 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    edited 20 September 2010 at 6:31PM
    I'd go in 1p under the next stamp duty threshold and say "that's it". That'd reduce anybody else offering higher than you, but also keeping under the limit.

    Once anybody pays the limit, it's a higher stamp duty bill

    So find out the absolute limit, go 1p under where it'd go to the next level.

    It's psychological, and saves you £5k, reduces your competition to only be other serious players.
  • SquatNow
    SquatNow Posts: 2,285 Forumite
    418k seems a good starting point

    25k to completely renovate

    £25k will buy you ONE HELL of a refit...

    Rewire, replumb and plaster should set you back £10k

    Another couple of £k for decorators plus a couple of £k for a kitchen and a £1k for a bathroom and powershower.

    Plumbing and Electircal are a lot cheaper to do if your planning to replaster as the plumbers/electricians dont need to spend days cutting channels etc because your wreckin crew will have been in first and stripped the place.
    Bankruptcy isn't the worst that can happen to you. The worst that can happen is your forced to live the rest of your life in abject poverty trying to repay the debts.
  • Moomum
    Moomum Posts: 958 Forumite
    The house is in London, 6 bedrooms, huge loft conversion, 3 reception rooms, is about 3100 square feet, surely will cost more than £25K to refurb?? Also the EA said they already have bids over £515k, or is he just trying his luck?
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