Last edited by BigRedV; 13-04-2013 at 18:02.
We bought our house last yr in similar circumstances but we were lucky to get in before the house went on the market again as we knew when the lease was up and put an offer in. Over 2 years the house went up 60k in asking price ( we put an offer in the first time but it was not accepted and then the sellers had to rent it out to cover the mortgage as they had already moved) and less than 6 months of owning it and it has gone up another 70k as some areas are booming. I could have bought another house but I only liked this one and it was worth paying the extra imo.
Close to the beach with a pool and tennis court sounds like paradise
Last edited by lulu 2; 13-04-2013 at 20:59.
Op at the end of the day it's your cash, unfortunately I think people overpay a lot ( prob how this guy got rich by relying on that) but its your finances.
As others have said the bank may not lend you the $$ if their valuation is lower as there is a huge price difference. There will be other places, we often think about some that we refused to pay more for and walked away. when we really think about it we are glad we did as we were seeing it with rosé coloured glasses.
Maybe talk to the managing agent see if you can have another inspection, fresh eyes may revel new elements
If OP has more than 20% deposit she will not need a bank valuation , plus try find out the last 12 weeks recent sales as that is the evidence the bank valuers have to use
Our equity is fine.
We've been looking at houses for two years in this area and always like this house. Hence why we are now ready to buy we asked if the owner will sell.
The owner is actually a surgeon.
I'm thinking on paper he paid $450 but maybe paid more in cash? Cause there was a third party transfer. I don't get this.
This house is worth more than $450 five years ago and today. Unless he walked in and lucky to grab it if the previous owner was desperate.
I will find out in the next few days whats his lowest price and we will go in with our best foot forward and offer what we got and what we will be happy to spend.
We will never lose on this house. Great for our family and great lifestyle
He could be related to the owners and got it cheap, he could have given them
Cash on the side ( illegal but happens!) or he could just be extremely lucky and get it way under market price ( rare but does happen) or $450 is the wrong amount - either way you love the house so go for it!
Transfer to a third party could mean he bought the house inititally on the contract and has added his wife on the title since.
The house selling for 550+(?) 5 years ago and then selling for 450 isn't at all un common, this has happened all over Australia, property prices have fallen. A good way to see previous prices is on realeastate.com.au and under sold prices tab look for the year in which it sold and how much property was selling for at the time (and how much its sold for this year so far)
My advice was just general advice in buying homes and advice I've received over the years that hasn't proved me wrong yet. It's just something I would personally not do, but I am ofcourse not you Good Luck. I hope you get it.
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