First we will start with this:
www.rightmove.co.uk/property/42056428
This property was bought 3 1/2 years by my Mother to downsize and also to move closer for more support. She died a year ago and the property has been on the market since that time. The pictures were taken very quickly by the agents at the time of probate valuation and as you can see it is still full of her possessions. There are no upstairs or side garden pictures. It has now been cleared. It was a distress purchase at the time as there were no others available that fulfilled her requirements. Purchase price was £129K.
It is an early 60's property and has had little done in the way of upgrading and decoration recently and what has been done is not good. It does require a good makeover. However it is a cosy property.
I have and am still responsible for its upkeep and have made improvements in the garden area. I have one brother who lives darn sarff so he is not able to help me with upkeep. He hasn't a clue anyway :)
Anyway only 2 viewings in a year. We pitched it at £139K then reduced to £132K. To be fair the pictures do not particularly draw you in as a potential purchaser but properties can take time to clear out and we have not rushed. We had a lower offer figure of £125K in mind to get shut.
I have spent a vast amount of time recently with stripping the poor decoration from the upstairs bedrooms and have had to replace the cold water tanks. Work is ongoing should we say.
Now someone said, and I have to agree in hindsight, that this type of property would be of interest to someone who did not want to do much or infact any work. In which case any prospective buyer would be looking at a much reduced price as a project, maybe £85K perhaps at auction.
So my thoughts were that if that were the case then I might as well make an offer to my Brother, do the Lions share of work myself and maybe make a bit of profit. I pitched the idea to my Brother and we talked some figures taking into account what I was already owed for ongoing expenses, potential estate agents fees if we sold etc etc. He was agreeable to the idea and I told him I wanted to be in at no more than £110K which would give me a reasonable margin for kitchen, bathroom, re wire and meter move, decoration and a garage makeover. The house would then perhaps be worth maybe mid £130K ish.
So after all that has anyone any experiences / advice? Should I move it on or look at short term rental income? Pitfalls? Yes there is always risk with tenants and there could be Capital Gains issues. Put property in my name? Joint Children's names? Anything?
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Buying 2nd Property Thoughts new
Buying 2nd Property Thoughts new
