Opinions Please - Why is this flat so cheap?

19lottie82

Hi - Was just after some opinions on this one as I'm a bit confused.....

I purchased my flat in 2009 for £105k (it was valued by 2 surveyors @ £110k).

About 9 months ago one in the same block sold for £110k.

Last week I had my flat valued as I was moving mortgage provider. The valuer said £110k.

This morning I noticed that a flat in the same block is for sale at o/o £69k!

http://www.rightmove.co.uk/property-for-sale/property-38078567.html

The home report says it is valued at £75k...... why so low? From what I can see, it needs a bit of a cosmetic spruce up, but nothing much (kitchen is fine, bathroom is liveable) and the electrics / GCH is untested, which throws up a couple of "code 2s", but apart from that, nothing that would warrant £40k worth of a difference?

I know this area very well and trust me, I'm not being delusional (sp?) when I say that the price is VERY low.

If you look on rightmove you will see there is a 3 bed house for sale that is right next door for £160k FP. I'm guessing the sellers are not happy about the cheap flat for sale next door!

http://www.rightmove.co.uk/property-for-sale/property-34506457.html


Any opinions please?

AMO

Most likely a bargain. Flat isn't selling. Photos with it empty are a bit of a giveaway. Check the lease term.

Also, the valuation report is often played safe and they will not quote much higher than what it is put on the market for as they can be sued if the new buyer sells later and can't get that price.

Take a viewing and check it out. Any probs will get highlighted in the solicitors searches/

Torry_Quine

It does seem cheap for what it is. Maybe need a quick sale

AMO Why would it have a lease, it's for sale not rent?

bob2

Torry_Quine wrote: »

Why would it have a lease, it's for sale not rent?

Errr....aren't most flats sold as leasehold?

Torry_Quine

b!!! wrote: »

Errr....aren't most flats sold as leasehold?

Err....No not in Scotland they aren't.

londonlydia

interesting...but I wonder if the uncertainty with a few of the things in the house report/survey is putting people off?

First of all though- is it a comparable square footage to your flat? It says this one is 65sqft...maybe it's smaller because it's top floor? Also it's 4 floors up with no lift (could put people off).

The report mentions cautions on the roof, guttering (really going to feel those on the top floor), loose windows (scared that you may fall out on the top floor eek!), rusty central heating, unchecked electrics....

just my guess that the report may scare people a bit!

londonlydia

oooh and actually, after reading about condensation being visable, I had another look and the ceilings look worrying in quite a few of the pictures...a few shady patches!

londonlydia

Aha! another find (so interested in this!)

It's a REPOSESSED PROPERTY. Guessing that makes a difference....check out the seller's questionairre....

19lottie82

Thanks LL so do you think the repossession aspect would have a lot to do with it?

All the windows in the block of flats are like that and from what I can tell from a brief look no one has got theirs fixed yet.
I don't think 4th floor and no lift will put a lot of people off, most flats have that set up in Glasgow.

Anyway someone will get a bargain that's for sure. I'm just glad I got my valuation done before that one sold for peanuts!

Strapped

Perhaps they are just hoping to generate a lot of interest by having a low o/o price?

19lottie82

Strapped wrote: »

Perhaps they are just hoping to generate a lot of interest by having a low o/o price?

Maybe, but the home report valuation is only. £75k.....