Many individuals are now aware that repossessed properties can be great value for money, and negotiation periods can be short as the sellers usually want the property off their hands as soon as possible. Because of this, many repossessed properties that hold good value are not on the market for long. It’s important to know what things to look out for when viewing the property, this way you spend as little time possible debating whether to bid or not and minimise the chances of being beaten to the repossession by an alternative bidder. Below is a list of certain things you should try and locate when viewing a property that will add to its value or renovation potential.
Is there a loft?
Don’t turn your head at an old, lifeless loft when viewing a house. Regardless of the state of it, many lofts can be turned into an extra room in the house, whether it’s just a toilet or an additional bedroom. Nationwide Building Society calculated that an extra bathroom can boost the property value by 4.9%, whilst an extra bedroom can improve value by 11.00%. Visit our quick tips page to learn other renovation techniques that won’t break your budget.
As most appliances need plug sockets, try and count the number of sockets in each room. Not only this but question where they are In the room and how useful they are in that area. For example having two sockets parallel to each other in the master bedroom is ideal, as it will allow potential future occupiers to have one on each side of the bed. Conversely, having a number of sockets throughout the property is useful, but if there is only one or two in the lounge/living room area this may be a problem.
Space for a conservatory?
If there is space to add a conservatory, statistically it will be beneficial to do so. According to property expert Phil Spencer, you can build a conservatory for £5,000, which can add around 7.00% to its value.
This is particularly important if you’re viewing a property in an urban area. Parking can be a constant problem in busy areas, so it adds value to the property if there’s somewhere to park. If there is not any available, try and consider if there’s any way you can add it. If there is a small front garden or area around the property that appears to have limited potential, putting concrete over it to add a parking space will be cheap considering the value it may add to the property.
Future investment in the area
Whether you’re buying to invest or buying to occupy the property, getting to know the area is incredibly beneficial when deciding to bid or not. Check for potential investments that have recently been announced, it may not be general knowledge to the community yet. If an area has a multi-million pound project approaching, the property prices will likely increase when the plans start to take place.
South facing garden
If the property has a south facing garden, this will generally add to its value. If this is the case you should then utilise this by visualising any ideas you may have to add to the garden’s appeal (such as building a patio or installing french doors). For those that are buying to invest, it’s wise to think about what garden would be best in the given area. It may be beneficial in younger working areas to have a west facing garden, as this will allow more sunlight in the afternoon and evening, whilst east facing gardens may attract more interest in areas with an older generation.
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