Would you buy a repossessed property?

L-Jay

Morally no, I wouldn't buy a repossessed house. I'm not having a go at anyone that would, just expressing my opinion.

I wouldn't feel comfortable with it.

movingforward2010

ukbondraider wrote:

I wish this was true but its total rubbish. I think this board is getting filled with more and more BS everyday.

im thinking exactly the same, where do people get this info from, id much rather live on a private new build estate, when i was looking round a few months back the houses on new built estates hadnt dropped in price:rolleyes:

do_it_today!

wxmlad wrote:

im thinking exactly the same, where do people get this info from, id much rather live on a private new build estate, when i was looking round a few months back the houses on new built estates hadnt dropped in price:rolleyes:

It really is luck of the draw I can well believe some new build developments have dropped in value. I can give an example South East London 'an up and coming area' a new development block of 'luxury' flats being punted at 200k 2bed 2 bath over valued for the whole area in general by about 40k on the opening about 2years ago buyers queing round the block to get a viewing - glutted by buy2let speculators and some first time buyers who could afford new or space to swing a cat in swankier areas bought the spin and invested (ps lots of regeneration coming to this area - the results wont really show for about another 2-3years) anyway lots of them came on the rental market looking for £800 - £900pcm in a market where the going rate was £650 £700pcm. The result being people dropped their criteria and accepted HB tennats to cut losses. Today's situation is the block is full of HB tenants I (one of them being the youngest from the family of asbo law breaking hell raisers formerly in my road!) a murder in the lobby loads of flats up for sale for months on end! £150k - 160k am glad asbo jr is no longer in my road but feel sooooooooooo sorry for those poor people who scrapped just enough money together to buy a flat believing that in doing so they might have half decent neighbours... its terrible but true. Of course not all developments end up like this but it does happen

do_it_today!

filigree wrote:

I know the OP said the house is in a good area but I would do a LOT of research to make sure of this. I read an article recently about one estate that has been plagued by problems (if I ever find the link I'll post it). Many of the flats were bought up by BTL investors and rented out to HB tenants, and the shared ownership properties are not monitored in any way and can easily be sublet. The management company have failed to maintain the structure properly and now the flats are slums. Some of the BTLs were acquired with fraudulent mortgages and have since been repossessed and stand empty, unless squatters move in. The minority of owner-occupiers can only watch in horror as they slide into negative equity.

In short, if I were interested in a property that is mysteriously losing value I would be very concerned that there is some problem with the area that I am unaware of.

On a less pessimistic note, it could be a novice BTL landlord who has taken on too much and is now desperate to get rid of their bad investment.

Years ago we looked at a repo flat that had been stripped bare, they even took the radiators! The EA suggested that it was p155ed off ex-tenants. There are dodgy landlords who cheerfully collect rent but don't pay the mortgage, and the poor tenants get a rough deal. I can understand the urge to trash the place on the way out.

All repos I have ever viewed with the exception of one where in a really bad state Its almost like its the previous owners calling card or 2 fingers up to banks.
The one that was in a great state the tenants only knew of the repossesion two days before being kicked out of the house which was terrible considering the week before they had only just paid their months in advance rent :eek: awful - if it was me I would have wanted to burn the house down - talk about insult to injury - turfed out of your home with 2 days notice and stung of your deposit and a months rent :mad:

do_it_today!

but back to the threads question - I would buy repo - the right property for the right house

nelly_2

I worked on a few newbuilds over the last couple of years and the profit margins for the builder was between 30 and 50 %.

One block of flats we did cost 1 million and he sold the lot for 2 million.

Another was 5 houses 3/4 of a million each sale price, the first 3 covered all expenses the last two were pure proffit.

zxsilver

I am buying a repossession home at the moment. It's also a 2004 new built property. The original price was 200k, and I made offer on 125K which has been accepted.

woody252506

zxsilver wrote: »

I am buying a repossession home at the moment. It's also a 2004 new built property. The original price was 200k, and I made offer on 125K which has been accepted.

How much was it on the market for now?:cool:

AnnaMonkey

Hello!

I would defo buy a repo - in fact I'm in the middle of trying to get one now! Offer accepted etc, we're just waiting for the searches etc to be done so we can complete and exchange. We offered full asking price straight away but we thought it was worth more than that anyway so it was fine.

Flat needs a bit of work on it and there are iron burns in the carpet and scribbling and handprints on the wall and ceiling!!!!! blatently to say 'f you' to the bank.

I know a fair bit about the building and area though so we're keeping our fingers crossed that it all goes ok

timbo58

I think you should just see a house as exactly that: a house.
Not many on here would have any qualms about buying a decent used car, whether it turned out to be a repo or sold because the owner couldn't afford to run it or keep up the payments.
Likewise I have friends who have been repossessed or otherwise feel aggreived by certain banks, it wouldn't stop me dealing with the same bank if that was where the best deal was to be had.
I've just had an offer accepted on a repo, I am worried about a few things but guess they should turn up on the survey and besides that I'm taking a gas/elec/plumbing guy round next week hopefully for another look and measure up, so it's 7-12k less than the house average for the street same property.
I am sympathetic to those who find a change of circumstances means they can't afford things they have bought on credit, of course I am, but the house is one I like, it needs a little cosmetic work and to be cared for and it's fairly likely to gain value I think, and I want somewhere I can live in and own.
I think buying repo's is no different than buying anything that has been owned before.