Buying confiscated property

Interested in a property for an investment that will be sold at an auction. The property is confiscated by government for the reason that I dont know.

What are common reasons for confiscation?

Are there any risks in buying this property? Do i have to consider anything other than the usual due deligience?

Will there be a sigma if I want to sell it at a later time?

Thanks.

 

Proceeds of crime probably. How do you know it has been confiscated?

 

Thanks. The realestate agent mentioned it.

 

In Victoria property can be confiscated under the Confiscation Act for a number of reasons, including that it was used in or derived from crime (tainted property), or where it was not tainted by any crime but it was owned by someone convicted of certain serious profit-motivated crimes and all of their assets are swept up by the confiscation action.

The most common types of crimes in practice that result in confiscation are drug offences. If the property has been contaminated by drug offending the government would have to disclose this.

If a property has been confiscated to pay victims compensation, this could arise from crimes to the person. Sex offences are a common one for victims comp purposes.

The reserve would be set based on a valuation from the Valuer-General.

 

Google the previous owners names and see what you can find out.

 

Couldn't find previous owners names as they are not mentioned as vendor. But nothing comes up searching with the Adress.

 

You can do a paid search and find it - prob cost less than $20.
Who is the vendor now?

 

You will be able to do it online, but will have to google it yourself.

 

Or ask Siri to google for you.