r/AusProperty • u/Jumpants • 1d ago
Markets Experience selling an older house in need of repairs?
I'm feeling trapped in an older house that needs repairs. All the things that originally made it affordable for my family are now the same things that will make it difficult to sell; stumps in need of repair, cosmetic damage to the roof, a leaning fence and general cosmetic issues inside the house. I've chipped away at some issues and improved it in other ways but we're outgrowing the space.
It's easy for me to feel like we won't find a buyer in the new market, or that we will have to accept a bad price. We'd be seeking a simultaneous settlement so that we can move smoothly into our next house but I fear the difficulty in selling this one won't make that easy.
In saying this, it does present reasonably well for first home buyers and it's on a relatively large block size within 25 mins of a capital city centre. Its just the building and pest which may drive buyers away.
Im looking for advice on how to sell a place like this, or positive testimonials about how it may not be as impossible as I'm making it out to be in my head.
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u/Future-Proposal2900 1d ago
There are things that could be fixed and things that must be fixed. Know the difference.
If there are things that you know will be on a building report, and if there is anyway of fixing them, do it. If not, consider getting a written quote to provide to potential buyers. (People will always in their heads over-estimate the cost of repairs).
A good agent will give you advise on this sort of thing.
While the budget has killed off investors, and the market is tough, there is something you should remember and that is there are now 2 types of investment that are attractive; 1. Superannuation and 2. The Owner Occupied home.
Without knowing a lot about the your home, having a reasonable large block and being 25 min from a capital city centre possibly gives it an advantagous location.
I hope that this makes your property attractive to someone who is prepared to take on a project for the sake of securing a property to live in long-term. Location might be your best friend.
Good luck
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u/Wharfie98 11h ago
Give it to a builder at a reasonable price and ask him to build a town house for you . You give him land he gives u 1/2 back with a new town house on same block
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u/Temporary-Comfort307 1d ago
You won't have difficulty selling it, as long as the price is set right. Which will of course be lower than the price if it is in good repair.
Not everyone wants a place in good repair. If it is decent to live in it might sell to someone who wants a cheaper place they can renovate over time while they live there, or it might go to a flipper who wants to do a full renovation (or a knockdown rebuild).
The place I just moved out of had a lot of major issues and sold quickly, although the price was not much more than land value. I thought a knockdown/rebuild was most likely, but they did a full renovation and resold.
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u/mrandopoulos 1d ago
I've just been looking at a property with an old kitchen and bathroom, but I like the location and block size so turned my attention to what renos would be needed and roughly how much they'd cost. BUT then I saw on satellite view the flat roof has become increasingly rusted for 7 years...
Vendor bought it as an investment at its peak in 2021 and did nothing to it.
So either they will be realists and sell it to me (or someone else) at enough of a discount to get these things sorted... Or they will try to play games (like the last two houses I tried to buy, which had flooded/mouldy subfloor issues in one, and gaping broken boards in another...and in each case the owner either didn't know or care enough to address it or price accordingly).
So it's good to know you're being thoughtful about the issues in your place...and it would suck to feel like you can't do much about it.
But all I can suggest is you get an idea of what it would cost to make all the fixes and build that into your asking price. People will take the risk if you/the agent help them see the potential.
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u/249592-82 1d ago
Are the houses around you being knocked down and new houses built? Or are they being renovated? This means that people are looking for a block - not the house. Eg in my area, people buy a house in good condition, and knock it down, and put a new house on it. There are people who have the money for a new house, and all they are looking for is a decent area and block. Look at what is happening in your area, and the areas surrounding you.
If its the same in your area, then the condition of the house wont bother them. The block size will.
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u/owlshoesjh 1d ago
you could market it as a knock down rebuild and sell it with plans. i've seen a few of those listings
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u/Intelligent-Hunt9150 1d ago
In this market they do not sell well. It’s an investor grade property and investors are gone.
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u/wvwvwvww 1d ago
Aside from the stumps it seems that everyone here who possibly can fixes those things before selling. Because it is a good return on investment I assume. You should speak to agents, who will tell you exactly which it will pay to fix and which to leave. If you definitely can’t afford to fix any, not even for a good return - then that’s simple - don’t.
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u/Reasonable-Brain-594 1d ago
Price it to what you would pay to buy a house with the same problems in todays market. Seen quite a few over priced houses needing significant repairs shouting redevelopment potential and remaining unsold for months just changing agents.
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u/Altruistic-Lab-373 1d ago
I can contribute here. Downsizing, lived here for over 40 years.
Just sold my aging (early 60’s) house on a decent block of land. Initially we marketed it for auction. Sold before in 8 days to first home buyers. I am happy with what I got
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u/Altruistic-Lab-373 1d ago
Don’t know how to edit.
House needs new kitchen bathroom driveway, but has great potential
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u/MethuseRun 1d ago
Can you borrow against it and use the money to fix what must be fixed?
Make sure you use money wisely and don’t end up with negative equity.
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u/Acrobatic-Fudge8492 1d ago
Do some maintenance before selling, your obviously going to be selling for more than you paid. So do at least one of the major issues, I.e. roof or floors (stumps are not hard if you can work in a confined space, foundations are way harder to reset.). Any self respecting buyer will get it inspected by a building inspector before purchasing, you could run the gauntlet and hope to get a naive buyer. P.s. new roof will look more obvious than level floors obviously 🙄.
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u/No_Boot2009 1d ago
It was affordable for you and someone else will also buy it because it's affordable - but it's likely to be 'more' affordable for the next buyer, because the only way you will sell a property like that in the current market is to price it low. Everything sells at the right price - it's probably not a price you're going to be happy with though.