Hi,
I’ve recently re-posessed a house in Grenfell, NSW (near Cowra). A bank valuation came back at $60,000 (well below what I am owed).Property is 3 bed weatherboard house with tin roof. It requires the following renovations inside:
1. New kitchen (no kitchen exists currently),
2. Repair missing floorboards in 3rd bedroom,
3. Carpet throughout or polish floorboards,
4. Garden needs tidying up.The block is 1012 square metres and can be subdivided for around $10,000 and would fetch $40,000, leaving the old house worth $50,000. Would then recoup $80,000 (still short of what I am owed by approx $60,000).
Should I bother renovating the existing house also or will it be hard to get back what I spend on renovations? Does anybody have a rough estimate of what it would cost to fix up this house (I know this is just a rough guide but any estimate would be helpful). I’m thinking $25,000 with me supplying materials and getting builder to do work.
I can sue the client for the remainder but I don’t fancy my chances!
What to do? Any suggestions would be gratefully received.
Cheers
“Most people operate under a false ceiling which is 3 feet high” Stuart G Goldsmith
Any other suggestions would be welcomed too!
“Most people operate under a false ceiling which is 3 feet high” Stuart G Goldsmith
hi Roofarmer
great place grenfell do some great chicken in the iga there ( I setup the rational oven and taught them how to cook chicken)
what is the property worth to the bank read it tells me 140k if this is the case I would min the reno pick up a large box trailer come to sydney go to the auction buy the cheapest kitchen $1,500.00, taps, doors, lino, carpet,and a cheap lawn mower and take it back out there do it this way and you’ll be out of it for under $5,000.00
then subdivide and sell off the reno house for 90,000 hopefully and try to sell the block or pm me and I’ll tell how to build a cheap house on the site.dazzling will love the last bithere to help
Hi Grossrelaisation,
Thanks for your suggestion. The house is currently only worth $60K as is and $90K with sub-division with $10,000 in costs to sub-divide.
I would be interested in how to put a cheap house on the site. I will PM you.
Cheers
“Most people operate under a false ceiling which is 3 feet high” Stuart G Goldsmith
Can’t help but ask the obvious question….
What happened to the value of the property ??
Its only worth $60k but it owes you considerably more??
WHY ??
What happened…kp
Long story – but basically lent more than what it was worth currently for client to carry out renovations. The guy he got in shot through and he basically stuck his head in the sand and never paid me a dime.
I’ve learned a very valuable lesson!
“Most people operate under a false ceiling which is 3 feet high” Stuart G Goldsmith
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