Best way to sell house for renovation?

sue_balu

I have a house I wish to sell that needs renovation. I imagine it would be of interest to builders, developers or at a push a BTL investor because it is probably not mortgageable it will have to be a cash sale.
I was just going to get a local EA with a good reputation in. However I just wanted to check with all you knowledgeable people first please!
Ought to say that I would like to use the proceeds to clear the mortgage on the house I live in and I havent got the time (or skills or resources) to renovate the house myself!

Please let me have your thoughts/experience

cattie

Why do you need to tell the ea anything but that you want to sell a house in need of renovation?

If a prospective buyer asks you why you want to sell you can give them any of the reasons you've mentioned or just say your circumstances don't allow you to give the house the attention it needs.

silvercar

your CGT bill will be lower (if applicable) if the house is sold needing rennovation rather than spending the money and getting a better price.

sue_balu

cattie wrote:

Why do you need to tell the ea anything but that you want to sell a house in need of renovation?

If a prospective buyer asks you why you want to sell you can give them any of the reasons you've mentioned or just say your circumstances don't allow you to give the house the attention it needs.

Sorry - I caused confusion in my post. I didnt mean I would tell the EA what I want to do with the proceeds and why I dont renovate it, I was just informing my MSE colleagues so they didnt suggest I develop it to make a bigger profit!!

I was really after opinions as to the best way to sell in these circumstances.
i.e. could I offer it to builders/developers without using an EA? If so how do I do that.
Many Thanks

fusar

May I ask where your house is?

We are looking for a property to renovate at the moment, just on the off-chance the house is close to us, I thought I may as well ask?

Many thanks
Fusar

courtjester

If you don't want to use an estate agent, try advertising it direct on the internet. There are a few good companies offering national online marketing for £100-£150 and you deal directly with interested buyers. Try googling for "sell my house" and check out the main results for the established contenders.

As long as you clearly state in your advertising that this is a renovation project, possibly giving some indication of the work involved and you price it to reflect the condition, you should get good interest without having to pay an agent anything.

This also avoids the possibility of an agent introducing you to a 'pet' developer at a below-market price, where the agent gets commission both from you and the developer (illegal but according to the media quite common).

sue_balu

courtjester wrote:

If you don't want to use an estate agent, try advertising it direct on the internet. There are a few good companies offering national online marketing for £100-£150 and you deal directly with interested buyers. Try googling for "sell my house" and check out the main results for the established contenders.

As long as you clearly state in your advertising that this is a renovation project, possibly giving some indication of the work involved and you price it to reflect the condition, you should get good interest without having to pay an agent anything.

This also avoids the possibility of an agent introducing you to a 'pet' developer at a below-market price, where the agent gets commission both from you and the developer (illegal but according to the media quite common).

Thanks Courtjester. How would I decide on its market value? Should I ask a few EA for valuations? When I've used them in the past they seem to be hopelessly overoptimistic - there again if they are lining me up for a"pet" developer they might undervalue it?
Similar houses fully renovated are e.g. £120k so if my house needs £30k spending on it should I seek £90k for example?
Does that sound realistic?? Am I missing something?

ks24

Estate agents do have people potentially waiting for renovation properties so they may be able to help, but of course who wnats to deal with them!

Out of intrest where is this property located and what renovation work is needed, i may be intrested

chant1l

property for renovation is THE most sought after property there is as everybody gets all Sarah Beeny. It can also end up selling over value as most wannabe developers undervalue the refurb costs/overvalue the sale price.
My advice is to clear ir of detritis/furniture/carpets and stick it through an agent or possibly an auction. Half the people in any auction will assume that anything bought there will be a bargain irrespective of how much is being paid.........