Buying a repossession

[DancingBarefootOnIce]

Would you take the risk? The place looks uncared for but isn’t trashed. The property is less than 20 years old. All utilities are turned off so couldn’t be tested. We’ve put in an offer but I’m starting to feel a little nervous that there will be issues and unseen costs.

Anyone any experience buying a repossession?

We bought a repossession once. I'm afraid I can't remember the details, but that is because the process was basically without drama! To be honest I think it was less stressful than being part of a chain and dealing with vendors. I think there was a slightly more formal timescale for exchange and completion, but other than that it was a normal purchase (we arranged a mortgage, had a basic survey etc). Everything went though fine and there were no nasty surprises.

A family member bought a repossession and it was considerably cheaper than other similar property. Is this one cheap? There were no unexpected problems with the property.

We bought a repossession. It wasn't an old house, built 1984. It needed a new kitchen and we were able to save the bathroom but put a new toilet in. It was really cosmetic work after that. DH is very good at DIY. My understanding is that all floor coverings are removed in repossessions, not sure why.
Because it didn't have a working kitchen whilst we were fitting a new kitchen (except for 2 taps sticking out of the wall), we were exempt from paying Council Tax. That was 2016 so not sure if that rule is still applicable.
Our experience of buying from a corporate seller (? Bank ) was no different to buying from any other seller. In fact easier because no chain. Usual Estate Agent tricks ( rang us the morning we were due to exchange saying they had another slightly higher offer. We increased our offer. Rang us back later to say other buyer had increased their offer. I told them that we were ready and expecting to exchange but acknowledged the sellers position and decision and that we would withdraw from the purchase. We exchanged the next day and completed the following week. I would buy a repossession again.

Embarrassed to admit it was a cash purchase and we didn't have a Survey ! But if you are nervous surely a Survey (not homebuyers report) will put your mind at ease if it is OK.

We bought a repossession as first time buyers without a big budget. and it was incredibly straightforward. We had no chain, neither did the bank, and it went through really quickly and smoothly!

It needed a lot of work but we did most of it gradually although it turned out the bathroom was actually perfectly good so we didn’t even change it. (We did however have to rewire so do go in with your eyes open. )

We had a lovely five years in the house and sold for a great price that allowed us to move the ladder (to another project!). Very glad we took a deep breath and did it.

Our current house (a 400 year old converted mill) was bought as a repossession four years ago.

We were also cash buyers (had completed on the sale of our previous house a few weeks earlier) and we didn't have a survey as we are competent renovators of several old houses.

We found the process pretty straightforward too and the property hadn't been trashed, it was just very damp and badly bodged so everything needed ripping out. Ours was still carpeted and had bathroom/kitchen in situ, although these were in need of replacement.

Obviously because repossessed properties are being sold by the bank/mortgage lender, none of the usual questions on the property information forms are answered, so be aware of this if there are specific things you need to do due diligence on - in our case, being a rural property it was the water supply (private) and septic tank.

We got the property for a great price but have had to do everything except replace the main roof and have also reconfigured throughout. It's currently valued at more than twice what we paid.

I wouldn't hesitate to buy another repossession should the opportunity arise.

Bought a repossession in 1986. The mortgage company had been trying to sell for two years and practically bit our hands off . They also offered us a mortgage so the whole deal was completed very quickly . Lots of dodgy DIY . Kitchen had been ripped out and cheap assorted units left . No light fittings in some rooms . Artex everywhere . Garden full of rubbish. BUT we got a big house for a small price and I have always loved it. I did feel slightly guilty we had benefited from someone else’s misery .

We bought a repossessed house - put an offer in when it was on the market (very old property, needed gutting but we knew that), offer was rejected and it went to auction. We ended up getting it for £10k less than our declined offer, spent time and money working on it but it was a lovely home.

We did that too, except that our offer was accepted - and then we were surprised to see a ‘for auction’ poster a few weeks later. We ended up paying 20K less at auction.
We're still here.

My brother bought a repossessed house, it had been stripped, all the cupboard doors in the kitchen, no light fittings, the owner had committed suicide & the family had stripped it before it was handed back to the mortgage lenders. It made a lovely home & my brother lived in it for 7 years & nearly doubled his money on it when he sold it.

I bought a repossessed leasehold flat. The process was straightforward, though it all still took several months for no apparent reason.

We had to replace the kitchen abs bathroom and redecorate throughout. Since nobody had lived in the property for months, and someone had left a London window open, there were pidgeons (and the associated mess) in residence.

We continued to get post for the repossessed family for years and years and years, all of which we "returned to sender". Some of it was bailiff letters and repossession threats; I used to get scared we would get bailiffs knocking and had to reassure myself that we'd be able to straighten things out if they did. If I'd had kids at the time then that would have worried me more.

I used to sell repossessed houses and there was nothing particularly dodgy to be worried about. The priority was to sell them for as close to their value as possible; based on valuations that take into consideration their condition of course. I can’t think of any real advice to offer, but I wouldn’t worry about asking lots of questions and making sure anything your concerned about has been covered. If there are any specifics of the property which you’re confused about I’d be happy to search my brain for answers.

I bought a repossessed property and it was fine. I would expect a discount because the bank can't answer most questions you may have.

You have to approach things a little differently, like with the survey you're trying to find out the state it's in so you'll be happy to proceed, nothing will be fixed before closing because you asked and there will be no reduction in price because it's an as is sale.

In my case the receiver paid for the cheapest possible conveyancers who were slow and quite incompetent so the sale took way longer than necessary.

I also had the husband of the previous owner show up at my door asking questions about the repossession about 3 years after I bought it which made me uncomfortable.

I'm really happy with my purchase and it's now worth more than twice what I paid. Once you're happy with the state of the house and go into it with your eyes open buying a repossession can be a good choice.

Thanks for replies. It’s good to see most have positive experiences. We sadly didn’t end up getting the place. Turns out there were lots interested. I guess in current market people are going for anything.

Was the mortgage process any different? I'm in the process of buying a repossession too. We have an 8-week timescale for exchanging. How long did your process take?

I can't remember the details I'm afraid, but the mortgage was a regular mortgage. I seem to remember something about being told we had to complete within a certain time frame - either we must have achieved the time frame or it turned out that was just got air, because timing wasn't a problem.