Need help/advice on what to offer on this repossession!!

bikingbarney

Hi all I am after some help/advice.

we currently have our house on the market and have had an offer from a cash buyer slightly lower than our asking price(we have it on for OIEO 150k they have offered 146k)


We have been watching a house that we really like for a month or so and having viewed it we have decided it would be ideal for us as our "forever" home.

This house is a repossession and talking to the neighbours of the property has been empty for at least 4 months and they are pretty sure it was for sale with another EA before this one and couldn't sell it??

It is this property here........

http://www.rightmove.co.uk/property-for-sale/property-32077740.html

Having had a good look at it the house does need a bit of work to get it to a livable standard. carpets, paint and although there is a bathroom in it it could do with a new one.It also has a conservatory with a loose panel where it joins the wall. There are a few other little bits like it still having a lot of the previous owners belongings in it.

Speaking to the EA who has it for sale I am getting conflicting stories about the property to the ones the neighbours have told me in that its only been empty for a month and that they have had a lot of interest in it??

I asked what sort of offers they have had on it and she told me that they couldnt tell me (surely it will be advertised in the paper anyway??) but when pushed I said are they above 160k or 165k and she said about they yes??

Now I dont know whether to believe all the info the EA is saying or not. We really want the house but obviously dont want to pay to much for it due to the work that needs doing.

Its up for 169,950k

How would you start your offers on it ??

I was thinking of going in at 10k under and seeing what happens??

Also our deposit is tied up in equity in the property we are selling, will this pose a problem?

Many thanks

BB

Loopy28

Don't believe a word the EA says!

Offer low to start, they will communicate with the bank dealing with the repo. Once a price us agree it is listed as such until exchange of contract so you can still lose it.

My brother offered 125k on a repo listed at 150k, the bank came back and said they'd accept 135k. They agreed and this was stated on the listing as something like 'an offer has been received for 135k, anyone wishing to offer more must do so by exchange of contracts'

anniecave

Do you know what properties are selling for your area versus when the market peaked back in 2007? Rightmove link to land registry sold prices shows that property selling for £167,500 in October 2008 - so that maybe when the current owners bought it?


http://www.rightmove.co.uk/house-prices/detailMatching.html?prop=17707738&sale=35466983&country=england


property bee confirms that current agent has had it on the market since 28th August - but I don't know of any way to know if a previous agent has had it on the market?

G_M

What price have other properties gone for locally recently?

And in what comparative conditions?

And how much do you want it?

That's the only way to decide what you maximum offer should be.

Once you've decided that, offer some way below and work up to you max and then stop.

Doozergirl

If Andrew Grant had an acceptable offer in progress on this, they would not give you the time of day. No one wants to sell a repo twice and Andrew Grant certainly won't.

The asking price seems pretty acceptable to me. It does need a bit of updating, £10k under would be a pretty fair offer. Certainly not taking advantage. With a repossession they'll take quite a lot of detail from you to put the offer forward.

They do normally ask for exchange within 28 days so you really need to quiz your buyer as to your preparedness.

I can highly recommend a local solicitor for you. They won't take prisoners. The right solicitor is absolutely key to a fast transaction.

Alarae

Having worked in this industry I can say that if there were a proceedable offer currently going through it would be listed on the online listing as a public notice so people knew what there was to beat. As there isn't one, I would assume that there have been no acceptable offers. I'd also say that asking the ea for a guide of what to offer is probably useless... They don't know what the figures the bank has set, that's the asset management company behind it who have instructed them! Obviously there may have been offers of what they have indicated... But it's much easier to find the lowest price that can be accepted yourself by simply offering, and then upping where necessary.

There are also different processes for what offer can be accepted, which may be calculated by length of time marketing (ie after 6 weeks they can accept less but until that point it has to be asking price) or it may just be a certain figure it has to be above.

I would recommend just putting in an offer and you would know whether it would be accepted or not pretty quickly, then you can work yourself up from there.

Failing that, you can always check the listing each day to see if a public notice goes up then you know exactly what you have to beat!

Be warned though that obviously someone else can up their offer above yours after it has gone to notice and you would lose the house unless you increase your offer. If you can't afford the asking price (if it gets to that point) then you may have to consider whether you can afford to lose fees/searches if someone outbids you at last minute.

Good luck with what you choose to do OP! After working with repossessions I'll probably not ever want to get into the process of buying one myself! :rotfl:

bikingbarney

Thanks for all the replies.

We are waiting to here tomorrow on what our possible buyers have upped Their offer to on our property before we put an offer in on this one

Cheers.