Skip to main content

Tips for buying Bank Repossession property

10 tips for Buying Bank acquired  Repo Property

1) Whether you’re buying a home to live in Australia or you’re buying an investment property to let out, you need to check the property in light of your expectations of it and for it.  I.e., if you’re going to be living in it, is it located in a neighbourhood that suits you, if you’re going to be renting it out, does it have the space you need, does it match your target rental market’s requirements for it?

2) Find out what the Bank value of the home is – and focus on this.  Is this a value you are comfortable paying for the property – could it be worth a lot more than the listed price?

3) Scrutinize the state of the property externally and internally.  Look at everything from the foundations to the roof, from the electrics to the plumbing.  Is there dry rot?  Termite damage?  Will you need to redecorate or renovate?  Factor in all of the extra costs you will incur if you are successful in your purchase.  Add this on to the expected auction price and see whether the home still looks like a bargain.

4) Get surveys and checks  done if you are very serious about the property but you are unsure about its true state – remember, a few dollars spent at this point on such matters could be thousands of dollars saved down the line. 

5) If you decide to use a broker to search and/or bid on homes for you, check up front what their commission will be and how you have to pay it. Check if you can bargain or lower the commission.

6) Before you begin bidding on the property at auction, be sure you know how the process works, when you will be required to pay a deposit and when the final sum will need to be paid.

7) Think carefully about using a professional to bid for you – they won’t go over your budget, they won’t get carried away by the excitement of the bidding war.

8) Know that the auction process can be fast and furious and that you may find yourself bidding against determined buyers with deep pockets.  Be ready for your lot, have your ceiling and stick to it. 

9) If you are successful at auction – congratulations – now check that all the paperwork is 100% in order with the sale.  Use a solicitor.

10) Be patient, even though it seems to all happen so quickly up to this point and you are required to have your money in place and be ready to go immediately, you are buying a home from a bank at the end of the day, and as you well know they are slow moving beasts and they can drag out the final handover process.


  1. Thanks for sharing those tips on buying properties, those information would really help. keep on posting!
    Philippines properties for sale

  2. This comment has been removed by the author.

  3. Once you have decided that the property you are considering is a good buy.. then ideally you should make an offer that is within 90 – 95% of the Banks asking price..:-)
    it will help you..

  4. If we are going to buy a property we need to consider if this property has a good quality. Those tips are really helping on us. Thanks and keep it up.

  5. Thanks for sharing those tips. Before buying any properties we should know first everything about them and off course if those properties are legal. Keep it up.


Post a Comment

Popular posts from this blog

How to get a cheap Bank repossession properties ?

It would appear that repossesions are a good way to get a property under current market value, however how would you find out about them ?
Is this information available to all of us ? Is the purchase any different because it's a repo ie are lenders a bit more wary ?Solutions :If it property is being reposessed the seller (mortgage company) also considers the speed of sale - if they "could" get a higher price with another buyer they will also consider how quickly the sale could go through.
Therefore some latitude is given to agents in what offer is accepted (eg an agent can say that buyer "x" is well known to them and can proceed quickly. Buyer "b" offered 10k more but is an unknown quantity.Bank Repossesion Houses List DatabaseThese days repo's don't really go much cheaper we had one only 3 months ago and it went well over asking price. If you were to ask an agent to give you a call when one is available its very rare they would but some mig…

Fashion chain Lisa Ho in Australia in administration

Who is Lisa ho ?Lisa Ho is an Australian fashion designer born in Albury, on the New South Wales and Victorian border. She is married to Philip Smouha. WikipediaLisa Ho Designs is the latest Australian retailer to fall in financial trouble , with the high end fashion chain placed into administration last week.Dressed in a black outfit, a stony-faced Ms Ho faced creditors yesterday for the first time since the business that she founded 30 years ago was placed into administration earlier this month. It is understood she did not address the creditors.Administrators appointed for fashion houseFinancial firm HLB Mann Judd has confirmed it was appointed as administrator of the high-end fashion chain last Wednesday. The administrator will sift through the company’s assets  and liabilities and look for a suitable buyer. A creditors’ meeting is scheduled for May 20, and in the meantime all 10 stores will reportedly continue to trade.The Lisa Ho chain today comprises 10 flagship stores in Austr…

Bank Mortgage Repo sales

What is Repo sales?Repo sales is a slang used around the internet and sometimes even  among real estate agents for  houses or assets repossessed by the banks or  other financial institutions.Most of the time it is Houses repossession or repo done by the bank. These sort of houses that get  taken over by the bank due to default in payments  and other financial difficulties borne by the person who took the loan are called repo houses . These houses either go under the hammer at some auction or then  is given to real estate agents to get rid off in the market.Bank mortgages often go into default  due to various reasons and the bank at this part of time  repossesses the house  and puts it back into the marketIf you are examining repossession properties for sale in Australia do so with caution and do so carefully.  There are many bargains to be bagged, but ensure that you are buying through a reputable auction house and that if you are unsure of anything at any step of the way, seek profes…