I found a property in Camira for $305,000. 3 bedroom, decent sized block, fully renovated.
House looks great inside, but is a little bit small.
It is close to Springfield.
I was fairly happy about it, until I found out that the owners payed $210,000, 7 months ago.
Now, I am annoyed. Perhaps the house is over valued. A $90k increase in 7 months is just… stupid. The seller was whining because the contract is $8k below the list price. What a greedy bastard.
I am considering just tearing up the contract, as I am still in the cooling off period.
I was buying in the hope property in the Springfield area will keep going up.
I feel angry about it now.
Can anyone give their thoughts?
Did the seller do the reno's? If so, obviously they did them to re-sell at a profit, what they paid 7 months ago has n othing to do with sale price today. 1 Man had the nerve to ask me what I was willing to accept for my 148K property 'seeing as though I only paid 110K for it' I thought that was extrememly rude as we bought it over 5 years ago and what we paid has nothing to do with todays property values, the guy before me only paid 40K and did some reno's….good on him I say!
If your trying to do what he did and make a profit, tear up the contract, take the same risks he did and reno a doer uppera and sell it for a profit, chances are, he just bought as a boom was starting!
Hey deadcat (luv that name!)
Ditto to above comments, what they paid is not always relevant. If you want to get out, yes you can on your cooling off period but it will cost you and it must be within 5 working days- see your warning statement, the t&c are easy to read. I think it is .25% of your contract price – but check that.
If you dont want to pay anything, get out on finance – talk to your solicitor or conveyancer about this. People get out of contracts all the time without paying anything.
Cheers!
I talked to a property investor friend, and now feel much better about it
I have decided to go through with it after all.
As mentioned above (and by my friend) the purchase price of the previous owners means nothing.
It was just a case of cold feet
Good to hear!
Well then I guess Congratulations are in order!
Just remember, set your expected growth per year and make decisions
based on the numbers not the heart.Good Luck and Well Done!
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