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Converted Lurker

Auction Advice

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http://forum.firstrung.co.uk/index.php?showtopic=25

As for advice buying at auction here is the best advice I`ve ever heard:

"Any property at auction needs to be looked at carefully as there is always a reason why it's in there. Builders look at most and scrutinise them, so you will be up against them.

Choose a few you think are worth considering, look at them, go to the auction but don't bid.

If they go, so be it.

If they don't, come to me at the front immutably and I will tell you the reserve and anything I know about the place. I can do that after it has been offered, but not before."

Edited by Converted Lurker

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There is a house in Swansea - Derwen Fawr, nice area - that is up for auction with a reserve price of 250K. It went through one auction this Autumn with no bidders. It was built in the 1930s by some 'famous' Swansea builder and they always advertise it as such.

By chance I spoke with a local builder and commented about that house. He had been to look at it and told me that it thought it needed 100K of work and that the 100K would be exclusive of VAT so if Joe Bloggs bought it they would have to pay about 117K to some builder to get the work done. He said that he would not pay over 100K for it and would be loathe to pay much more than 80K as he did not think he could sell it for more than 200K, 220K at a push and he needed to make 30K profit on a house for the figures to make sense. That is how crazy the Swansea property market is currently.

The house is coming up in another auction in the next few weeks.

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Why do people always think that because they have bought it at auction it must be a bargain?

Here's one I found recently - guide price £150K - sold for £186K

http://www.rightmove.co.uk/viewdetails-100...a_n=13&tr_t=buy

It needs loads of work doing to it and the highest price ever achieved on that street is £167 for a detached.

Or the buyer could have just gone round the corner to the next street and bought this for £16k less

http://www.rightmove.co.uk/viewdetails-792...a_n=10&tr_t=buy

Madness :blink:

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Why do people always think that because they have bought it at auction it must be a bargain?

Here's one I found recently - guide price £150K - sold for £186K

http://www.rightmove.co.uk/viewdetails-100...a_n=13&tr_t=buy

It needs loads of work doing to it and the highest price ever achieved on that street is £167 for a detached.

Dear lord, from looking at the map it's right on top of a railway line and the A56, and hemmed into a box of motorways with the M56/M60/M62/M6 less than 3 miles away on three sides.

Hrm, "good communication links"

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Dear lord, from looking at the map it's right on top of a railway line and the A56, and hemmed into a box of motorways with the M56/M60/M62/M6 less than 3 miles away on three sides.

Hrm, "good communication links"

Yep...also surrounded by out of town retail trading parks, the canal and a number of garages/boat yards etc....but hey...it has a cheshire postcode so that's OK :lol::lol:

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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