ex-housing commission

I came across some ex-housing commission houses being sold off by DHS.
came without a vanity in the bathroom and one door is busted. Overall seems OK. Builder said maybe a 15K do up. From a valuation perspective for finance? how do the lenders see these houses as. It's like those concrete houses back in the 60s.

I have been looking closely at these type of houses after seeing how some ex-housing commission houses in Ashwood and Chadstone have been flying for more than million.

 

I can't answer your question, but I'm assuming the value is likely to be in the land anyway. I just bought one and on the Val the land was 360k and the house 32k it stated that the improvements (house) added little to no value
I had no issue with finance

Which suburb are you looking at?

 

Probably a good idea to get a COS valuation for something like this (if suitable in terms of lenders).

If going full valuation, could cause issues depending on the nature of repairs/renovations required. By the sounds of it it could cause major issues, so best avoided if possible.

 

Pending LVR bank might not even do a valuation.

If property is to be valued, you don't want it to be deemed not habbitable - so functioning cooking facilties and wet areas are usually a must.

 

I can buy it outright in cash but depending how much it goes for but I prefer just sticking to 20% deposit. But it is a worthwhile buy though. renovations and repairs itself aren't major

kitchen is fine. rooms are ok. just a bit outdated. only issue was the vanity not being there. how much would it cost to get a COS valuation?

 

Some lenders might not need a valuation - especially if there's no LMI involved.

If a full valuation is required - they will likely site the issues that need repaired and the lender will want to see you have sufficient funds available for the work.

Cheers

Jamie

 

80% LVR with quite a few lenders will fly through without valuation - so that should work.

 

Nothing. A COS valuation is where the lender will use the contract of sale to value it.

 

As stated above the true value is in the land component so aim for 70/30 land/dwelling ratio.

Also check how many other housing commission properties may still be in the area as this may have a negative impact on present and future values.