Selling a dilapidated house?
Discussion
Long story short – my parents are a nightmare, they effectively haven’t maintained their house since they moved into it in 1967. Thankfully they had enough capital to buy a replacement, so after years of sustained nagging from my brothers and me they’ve finally moved somewhere that isn’t about to fall down. Six months later and I’ve just about finished emptying all the cr*p out of their old house, so next step is getting rid of it.
The old house is pretty knackered. It’s just about liveable but I very much doubt that it’s mortgageable. The windows and doors are rotten, the roof is leaking, the electrics are old and dodgy, and there are some (probably) minor structural issues. But it’s in a reasonable part of the country and location (apart from their house being there!) and I’m sure there would be a market for it as a project.
A few weeks ago, when I was there spending another of my weekends sorting through my father’s hoarded cr*p, someone knocked on the door and expressed an interest in buying it. He seemed genuine, and we’ve exchanged contact details. The other obvious option – I’ve watched a bit of Homes Under The Hammer in my time - is selling it at auction, but I wonder if there are other options worth considering? I half expect that most estate agents know the local builders who are interested in buying run-down properties?
My personal perspective on this is that I just want rid of the bloody thing, in the easiest way possible. I’ll need to manage the sale, and want it to be as straightforward as possible - I’ve already given up most of the last year helping them move and sorting out their various issues and selfishly I just want my life back. That being said, it isn’t my house and I can’t give it away.
I’m in the seemingly novel position of living in a house that I bought normally, because it was in good condition (and that I continue to maintain - shock), so – Homes Under The Hammer viewing aside – I know nothing about selling an unusual home.
Any advice?
The old house is pretty knackered. It’s just about liveable but I very much doubt that it’s mortgageable. The windows and doors are rotten, the roof is leaking, the electrics are old and dodgy, and there are some (probably) minor structural issues. But it’s in a reasonable part of the country and location (apart from their house being there!) and I’m sure there would be a market for it as a project.
A few weeks ago, when I was there spending another of my weekends sorting through my father’s hoarded cr*p, someone knocked on the door and expressed an interest in buying it. He seemed genuine, and we’ve exchanged contact details. The other obvious option – I’ve watched a bit of Homes Under The Hammer in my time - is selling it at auction, but I wonder if there are other options worth considering? I half expect that most estate agents know the local builders who are interested in buying run-down properties?
My personal perspective on this is that I just want rid of the bloody thing, in the easiest way possible. I’ll need to manage the sale, and want it to be as straightforward as possible - I’ve already given up most of the last year helping them move and sorting out their various issues and selfishly I just want my life back. That being said, it isn’t my house and I can’t give it away.
I’m in the seemingly novel position of living in a house that I bought normally, because it was in good condition (and that I continue to maintain - shock), so – Homes Under The Hammer viewing aside – I know nothing about selling an unusual home.
Any advice?
The best thing financially would be to get it done up and sell. Doesn’t sound like you want to do that.
Simplest option would be to tout it round the local estate agents and see who gives you the best price / cost to sell it combo. Any worth doing business with will have a book of developers who will be interested without it even going on right move.
Just bear in mind a developer is looking to make 25%+ profit after all costs so what you sell it for will be market value less that and less whatever the work costs.
Simplest option would be to tout it round the local estate agents and see who gives you the best price / cost to sell it combo. Any worth doing business with will have a book of developers who will be interested without it even going on right move.
Just bear in mind a developer is looking to make 25%+ profit after all costs so what you sell it for will be market value less that and less whatever the work costs.
In theory it should be easier to sell a dilapidated house because the offers your get won't try to chip the price because the roof might need repairs in 5 years time or asking for the service & warrant papers on a 25 year old boiler.
Anybody offering on a dilapidated house will have plans to gut the place and re-do everything, so apart from any significant structural issues, the prospective buyer will be happy with whatever condition the property is in.
Obviously the offer price will reflect the condition but even if you spent tens of £1000's bringing the property up to scratch, there is no guarantee that you would recoup that investment even if you sold at a higher selling price.
Anybody offering on a dilapidated house will have plans to gut the place and re-do everything, so apart from any significant structural issues, the prospective buyer will be happy with whatever condition the property is in.
Obviously the offer price will reflect the condition but even if you spent tens of £1000's bringing the property up to scratch, there is no guarantee that you would recoup that investment even if you sold at a higher selling price.
The house sounds exactly (and it's even the same age) the same as one of my neighbours. House is on a great plot too and is one of the few larger ones of the estates that were dropped on our village - proper 4 bedroom house, most are really 3 bed but some have 4 squeezed in.
When the owner died I had a chat to the sons and they were full of how much interest they'd had (I expected it would attract attention) and they wanted a price in the £400's, but they sat on it right through Covid and only decided what to when the bubble had burst
We'd moved on with other plans and it seemed all the interest evaporated. They sold it using modern auction (very unusual around here so probably put a lot of people off). I didn't sell so they dropped the guide price and it went for £320K.
I'm sure if they'd put it with a good local agent they'd have got near the £400K. There's loads of the smaller houses been coming up as the original (or long standing) purchasers are croaking and they often need heavily refurbing but it doesn't seem to put people off.
When the owner died I had a chat to the sons and they were full of how much interest they'd had (I expected it would attract attention) and they wanted a price in the £400's, but they sat on it right through Covid and only decided what to when the bubble had burst
We'd moved on with other plans and it seemed all the interest evaporated. They sold it using modern auction (very unusual around here so probably put a lot of people off). I didn't sell so they dropped the guide price and it went for £320K.
I'm sure if they'd put it with a good local agent they'd have got near the £400K. There's loads of the smaller houses been coming up as the original (or long standing) purchasers are croaking and they often need heavily refurbing but it doesn't seem to put people off.
Auction is probably the best prospect for getting rid of it quickly, unless the doorknocker has cash waiting. Probably worth asking local EAs, even if they aren't any good they will have the details of developers after property like yours. Modern auction isn't an auction, it's a scammy load of nonsense, lining the EA's pockets with both vendor's and buyer's money, I'd ignore any property offered through it.
Edited by hidetheelephants on Thursday 10th July 22:40
trickywoo said:
Simplest option would be to tout it round the local estate agents and see who gives you the best price / cost to sell it combo.
Definitely talk to agents, but don't just pick on price. Pick the agent you want to deal with, then haggle the rate down!As you're bringing a potential buyer with you, suggest a lower fee if they end up being the buyer...
I helped a relative sell a similar house.
It had original gas light connections in the bedrooms and very little done since 1960's.
There was plenty wrong with it so before viewing the major bad points were confirmed with the "buyer" who were informed we were only interested in offers of the asking price and above.
It was a good location and soon received offers but buyers did withdraw when they realised the scale of the project.
Finally it was sold to a young family for the asking price but as they were having to get a mortgage we did pay to fix a sagging lintel and the house sold.
It was able to get a mortgage and it was inhabitable but it was a project.
It had original gas light connections in the bedrooms and very little done since 1960's.
There was plenty wrong with it so before viewing the major bad points were confirmed with the "buyer" who were informed we were only interested in offers of the asking price and above.
It was a good location and soon received offers but buyers did withdraw when they realised the scale of the project.
Finally it was sold to a young family for the asking price but as they were having to get a mortgage we did pay to fix a sagging lintel and the house sold.
It was able to get a mortgage and it was inhabitable but it was a project.
I bought something similar last year, it had to be cash, it was too much work for most people, I've done a out 30 flips and this was the worst. I would just speak to few agents and get it on the market asap, advertise it as cash buyers only, you should get it sold and completed in 6 weeks easy if its priced well and in a good location.
Chris Peacock said:
I know you cant be arsed but I'd struggle not to get it renovated to a decent standard and then sell. Someone else will make money on it if your family don't.
Depends whether the area will support a done up price high enough to make it worthwhile.I watch the oldies’ houses being sold around us and there’s no margin for flippers. They’re bought by owner occupiers and the buyers who have to get people in to do the work drag on for years, I guess being done as they can get money together.
What sort of house is it? Semi, terraced or what? Is it double brick or not? Does it have space round it?
It could be worth quite a bit to someone wanting a self-build site in an established area to demolish and start again.
What part of the country?
Getting an old house up to a good contemporary standard is a lot of work - building a new house on an established plot is often the more attractive option - just depends on all the above.
It could be worth quite a bit to someone wanting a self-build site in an established area to demolish and start again.
What part of the country?
Getting an old house up to a good contemporary standard is a lot of work - building a new house on an established plot is often the more attractive option - just depends on all the above.
I live on a small 1960's development, around 25 detached bungalows. Most have been extended, or had dormer conversions. 2 or 3 were still "as built" - 2 bed.
One of the "as built" ones was bought new, and lived in by the surviving son. Looked like it had never been touched, barely visible through the overgrown gardens. About 5 years ago, there was an electrical fire, took out the kitchen and part of the roof. Owner was rehoused by social services (mental health).
The house was bought by the next door neighbour, who had just finished extending his own house. Now completely rebuilt, and twice the size.
The neighbour paid £110k for the property. Average selling price in the road at the time was at least 3x that.
A similarly-dilapidated bungalow on the main road went on the market around the same time. That one was demolished, and replaced with two detached houses.
One of the "as built" ones was bought new, and lived in by the surviving son. Looked like it had never been touched, barely visible through the overgrown gardens. About 5 years ago, there was an electrical fire, took out the kitchen and part of the roof. Owner was rehoused by social services (mental health).
The house was bought by the next door neighbour, who had just finished extending his own house. Now completely rebuilt, and twice the size.
The neighbour paid £110k for the property. Average selling price in the road at the time was at least 3x that.
A similarly-dilapidated bungalow on the main road went on the market around the same time. That one was demolished, and replaced with two detached houses.
Had to sell the ex marital home and she had let it go to wrack and ruin over 10 years.
Lovely street in SW London of beautiful little terraced houses. Our one looked like the Munster's house, I'm sure there was a permanent black cloud above it
They normally go for £1.2 million, yes gasp shock horror!
All 3 beds, most with extra bedroom in the loft and extended kitchens. Long narrow gardens.
We put it on for a million and then let it go for £900k. I just wanted it gone.
New family didn't move in at first, had builders in for months. Gutted the place.
Spent around £250k, again gasp!
The new owner showed me around and they had done wonders with the place.
It'll always go for the right price. Personally I'd sell yours rather than spend time and money doing it up.
Lovely street in SW London of beautiful little terraced houses. Our one looked like the Munster's house, I'm sure there was a permanent black cloud above it
They normally go for £1.2 million, yes gasp shock horror!
All 3 beds, most with extra bedroom in the loft and extended kitchens. Long narrow gardens.
We put it on for a million and then let it go for £900k. I just wanted it gone.
New family didn't move in at first, had builders in for months. Gutted the place.
Spent around £250k, again gasp!
The new owner showed me around and they had done wonders with the place.
It'll always go for the right price. Personally I'd sell yours rather than spend time and money doing it up.
dobly said:
What sort of house is it? Semi, terraced or what? Is it double brick or not? Does it have space round it?
It could be worth quite a bit to someone wanting a self-build site in an established area to demolish and start again.
What part of the country?
Getting an old house up to a good contemporary standard is a lot of work - building a new house on an established plot is often the more attractive option - just depends on all the above.
It’s a 1960’s semi. There’s space to extend etc, but demolishing and rebuilding is a non-starter I think. It could be worth quite a bit to someone wanting a self-build site in an established area to demolish and start again.
What part of the country?
Getting an old house up to a good contemporary standard is a lot of work - building a new house on an established plot is often the more attractive option - just depends on all the above.
It’s in Gloucestershire.
We recently had to deal with a very bad condition house owned by an elderly uncle who passed away. It was sold by an agent for £375K (asking price) which we thought was a good price for it, but then it was immediately put to auction where it got £420K. The auction sale was actually between the exchange and completion dates of our sale and we knew nothing about it until months later.
So auction may be a better bet for a house that needs renovation.
So auction may be a better bet for a house that needs renovation.
Edited by gmaz on Friday 11th July 09:18
ashenfie said:
There is no middle ground with houses, either do it up nicely or sell as is. Get the estate agent around and ask them what they think.
Isn't the middle ground 'do nothing upgrade-wise, but at least empty the contents of the rooms into a few skips'? (Which it sounds like OP has in hand.)Gassing Station | Homes, Gardens and DIY | Top of Page | What's New | My Stuff