Property for sale that lost value before

noah1234

Hi everyone,

Sometimes I see houses for sale that are well below market value, when I check the sold prices, I see a strange pattern, like 1 property I looked at in the west midlands showed, 1998 £13000 > 2007 £32000 > 2018 £44000 and now the property is advertised for £35000 with a shorthold tenancy agreement tenant.

Is there any reason why would a property decrease in value dramatically, assuming that the condition didn't change much, like no visible issues.

What should I look for?

Thank you.

eddddy

noah1234 said:

...and now the property is advertised for £35000 with a shorthold tenancy agreement tenant.

Are you saying that the property is being sold with tenants in-situ?  So you are buying in order to be a landlord?

Having tenants in-situ can have an impact on the price, specially if they are bad tenants. For example, the seller could be a landlord in financial distress (e.g. due to mortgage rates), with tenants who are still in their fixed term, or whose fixed term has ended - but are refusing to leave.

And/or it could be that the area the property is located is in decline.