Buying a repossessed house can be of great value to your financial situation. Repossessed houses are mostly sold at a price below their market value because the auction that is selling them wants to recoup their original costs. Moreover, you will have to pay only for the legal fees and for other things of daily use that are being sold along with the house.
Here are some of the most common mistakes that people make while buying a repossessed house:
The rise in the number of repossessed houses in the market means that you can really come by great deals whether you’re looking for a home or you want to buy and resell. The prices at which these houses are sold are well below the market values because the lenders are looking to unload them to recover their capital. However, there are risks associated with repossessed houses. For example, some may have mortgages associated with them. If you’re the new owner of such a house, you’re likely to inherit these. If you’re willing to brave these risks, here’s how to find repossessed houses.
One of the most important things about investing in repossessions are the renovations you do to the property once it’s yours. We recommend to read our guide on renovating repossessed properties, to learn how you can optimise every property investment you make, whether it’s been repossessed or not. However, if you haven’t got the time, here’s some quick ideas that can boost the properties value at a budget.
Repossessed houses are homes that have been repossessed or seized by a bank or lender after the original owner had defaulted a finance arrangement or mortgage. The moment the property is repossessed by the lender, they’ll be looking to sell it as quickly as possible so that they can recoup the amount that they had loaned to the defaulting owner. The process of repossessing a property is also referred to as foreclosure. If you’re a person who’s looking for a home to purchase for yourself or to buy and resell, these houses may be a great opportunity for you to either get your dream home or do business. (more…)
Repossessed houses offer great value for money – however, due to the nature of this type of property, renovation costs, at times, can be steep. Because of this, it’s essential to have knowledge on how much renovations can potentially cost for repossessed properties.
‘Fallopia Japonica’, AKA the ‘Japanese Knotweed’, was originally located in Eastern Asia on the side of volcanoes. It was first introduced to Europe as an ornamental plant in the early 1800’s. Following an increasing understanding of Japanese Knotweed, it became recognised as one of the most quickly spreading weeds in Europe, and arguably one of the worsts plants you can possibly find in a property you reside in.
UK property prices dropped by 16.2% in the year following the financial crisis in 2008. This crisis stemmed a sharp growth in unemployment, as well a huge rise in the number of home-owners falling behind in mortgage payments. By the end of 2009, repossession rates had hit a 12 year high, with an estimated 46,000 people losing their homes. Now over 10 years on, we look back at the main reasons behind the huge rise in repossessions during this period, and consider that as the UK is becoming a toxic cocktail of sporadic Brexit negotiations, ever rising property prices and irresponsible lending, why it may be experiencing another property crash all over again. (more…)
Buying a repossessed house is akin to playing a game of Russian roulette. A single miss, and you may end up losing your investment. But if the risk pays off, you’ve hit jackpot! The recent market slump has resulted in a large number of homeowners having their property being repossessed. They’re sold for a bargain and are the perfect investment option for first time investors. Here are a few things to remember when buying a repossessed house: (more…)
Repossession isn’t an event which often brings recurring nightmares among homeowners. It occurs in several stages with opportunities available before the homeowners at every stage. If your house is due for repossession, or if you are a buyer interested in buying a repossessed property, here’s how the process unfolds: (more…)