Offer on a Repo

watkins101

Hi All,

Ive been looking for a month or so and think ive finally found the right house, its a Repo and its 10-12 year old house but needs a bit of love before we can move in ( kitchen a bit manky, bathrooms are livable but also grotty), Just the general stuff that an unloved house suffers from. Also as the heating is untested I would really like to assume that the boiler has to be replaced but is this reasonable to deduct for?

Ive seen what the house was originally purchased for and assuming that the property hasn't got any remorgages or charges on it even at 60% of the asking price the house there would be enough to cover the outstanding im sure.

So now to the question. I was thinking about offering 90% of the asking and justifying this by the replacement costs of the kitchen, bathrooms, carpets etc. Will the mortgage holders try and bid me up even though its not in their interests to do so? I know there haven't been any other offers on the house and its been on the market for about a month.

Also I know the estate agent has to add to their listing that there has been an offer. My solicitor has said that if any questions are answered by the sellers solicitors quickly we could be ready to exchange in 3 weeks ( I dont have a mortgage company to worry about and have money ready in an instant access account) So if after 2 weeks another better offer comes in can I just offer a little bit more and exchange or is their a statutory time that has to be left for other offers.

Im sure some people will say offer what you want Blah, blah, blah. and I understand that would be the case with a tested and lived in house that has a person selling, Im really more interested in the mechanism that relates to buying a repo.

TIA.

Watkins101.

G_M

watkins101 wrote: »

Hi All,


So now to the question. I was thinking about offering 90% of the asking and justifying this by the replacement costs of the kitchen, bathrooms, carpets etc. Will the mortgage holders try and bid me up even though its not in their interests to do so?
Yes. They have a legal duty to get as much as they can for the previous owner. Even after accepting your offer they will continue to market and seek higher offers
I know there haven't been any other offers on the house and its been on the market for about a month.
Not that long

Also I know the estate agent has to add to their listing that there has been an offer. My solicitor has said that if any questions are answered by the sellers solicitors quickly we could be ready to exchange in 3 weeks
Good
( I dont have a mortgage company to worry about and have money ready in an instant access account)
Good
So if after 2 weeks another better offer comes in can I just offer a little bit more and exchangeYes or is their a statutory time that has to be left for other offers.
No statutory obligations of any sort.
.

Once your offer is accepted, Exchange asap.

tim123456789

watkins101 wrote: »

Hi All,

Ive been looking for a month or so and think ive finally found the right house, its a Repo and its 10-12 year old house but needs a bit of love before we can move in ( kitchen a bit manky, bathrooms are livable but also grotty), Just the general stuff that an unloved house suffers from. Also as the heating is untested I would really like to assume that the boiler has to be replaced but is this reasonable to deduct for?

Ive seen what the house was originally purchased for and assuming that the property hasn't got any remorgages or charges on it even at 60% of the asking price the house there would be enough to cover the outstanding im sure.

So now to the question. I was thinking about offering 90% of the asking and justifying this by the replacement costs of the kitchen, bathrooms, carpets etc. Will the mortgage holders try

The mortgage company won't be the slightest bit interested in any "justification".

They're looking for best offer, either yours is, or it isn't.

That's it.

HTH

tim