Hello dear forum members!
Background: My boyfriend bought a house at a forced auction, quite cheaply, basically for the land value. He placed the lowest bid, assuming others would outbid him. However, no one did, and now he owns a house (which we/he do not urgently want to live in ourselves, at least not for the time being).
The house:
Overall, the house is in good condition, at least at first glance. Some renovations are necessary (e.g., the heating system). The last major refurbishment was apparently done in the 1980s. I can’t say much more about it at the moment.
My question:
Based on your experience, what is the best course of action? What makes sense financially?
For example:
1. Simply sell the house again (possibly after partial renovation and definitely at a higher price)
2. Renovate the house and rent it out as soon as possible? (The house could accommodate two tenants, and a part of it used to be a restaurant, which might be leased out again)
3. Renovate the house completely and then sell it.
What other options do you see from your experience? Where is the return on investment best?
I look forward to your answers and advice!
Best regards
Berenike
Background: My boyfriend bought a house at a forced auction, quite cheaply, basically for the land value. He placed the lowest bid, assuming others would outbid him. However, no one did, and now he owns a house (which we/he do not urgently want to live in ourselves, at least not for the time being).
The house:
Overall, the house is in good condition, at least at first glance. Some renovations are necessary (e.g., the heating system). The last major refurbishment was apparently done in the 1980s. I can’t say much more about it at the moment.
My question:
Based on your experience, what is the best course of action? What makes sense financially?
For example:
1. Simply sell the house again (possibly after partial renovation and definitely at a higher price)
2. Renovate the house and rent it out as soon as possible? (The house could accommodate two tenants, and a part of it used to be a restaurant, which might be leased out again)
3. Renovate the house completely and then sell it.
What other options do you see from your experience? Where is the return on investment best?
I look forward to your answers and advice!
Best regards
Berenike
pagoni2020 schrieb:
It seems rather presumptuous to me when someone attributes ill intent to a forum member they don’t personally know and questions their skills or knowledge in such a blunt way without knowing them.@Joedreck is known to me here as one of the active forum members who mostly talks about things they know about – here, too, he primarily shares an opinion – but after all, this isn’t a “only I hold the truth and wisdom” type of thread. Most participants here don’t know each other in real life, and as he said himself:Joedreck schrieb:
is but often a "symptom" of wannabe professionals.– "often," so not specifically aimed at me or limited to me. Besides, "wannabe professional" is almost a common colloquial translation of my profession as a management consultant: so I’m used to that, and if that were a reason to complain, I would just have to retrain.Joedreck schrieb:
Because professionals gather all available information before evaluating a matter.The internet in principle is always closer to a vending machine than to specialist medical care in terms of quality as an oracle; a qualified, case-specific consultation can never be replaced by a thread in a forum. But here you do meet a wide range of random acquaintances with very different backgrounds and can of course sample a little bit of advice from many contributions rather than eating up just one. In that respect, no single post is responsible for containing all the vitamins – anyone wanting that would supposedly "only" need six glasses of chocolate spread daily.https://www.instagram.com/11antgmxde/
https://www.linkedin.com/company/bauen-jetzt/
Worrier84 schrieb:
I’m always amazed at how housebuilding forum users can independently carry on for what feels like 2,000 pages after just 3-4 posts from a thread starter. Of course, it’s an exciting and complex topic.
These stories about bargain homes are often featured on TV as well. Young people starting with fixer-uppers who manage to create attractive homes through their own work. Even though I can’t imagine living like that myself, it could be an option here too. I have no idea if a property like that would be rentable.
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pagoni202020 Jul 2020 08:16Worrier84 schrieb:
I’m always amazed at how the homebuilding forum users can sustain a nearly 2000-page independent conversation after just 3-4 posts from the original poster. You’re right... but what else is there to do all day once the kids have been disciplined and the swans at the lake fed?
So – a sincere thank you to the homebuilding forum!
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BackSteinGotik20 Jul 2020 08:29Tassimat schrieb:
These bargain home stories are often featured on TV as well. Young people with run-down properties who manage to turn them into attractive homes through their own efforts. Even though I can’t imagine living like that myself, it would be an option here too. No idea if such a property would be rentable, though. Is scripted reality a role model for real estate practices in Germany? Of course, it’s a common pattern in the USA or the UK—buy cheap, renovate, and sell for a profit as prices increase. However, there are generally lower transaction costs, no early repayment penalties, and no mandatory energy retrofitting there. Here, some real estate agents like to call these “starter properties,” but does the concept really work well in Germany? Maybe there was such a phase 5-7 years ago in certain urban areas and metropolitan regions, but what about now? Especially in this case, where an apartment has been vacant for 1-2 years, the restaurant has been closed for a long time, and the mayor personally shows up at the local court?
Well, it seems the original poster has now successfully driven away the discussants – a pity, as this could have become a very interesting story. If they are still reading, a reminder to please share a bit more information – at least the general area would be helpful to assess if there is any potential at all.
Based on the information available, living in the property yourself might actually be the best option.
Based on the information available, living in the property yourself might actually be the best option.
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Pinkiponk20 Jul 2020 09:45Altai schrieb:
Well, the original poster has apparently driven away the participants now... For once, I hope your assessment is not correct. In my opinion, the interest and willingness of the original poster to provide comprehensive and competent help were clearly evident in every forum post and from every forum member.
Altai schrieb:
... it’s a pity, as this could have been a very interesting story. If she’s still reading, a gentle request for a bit more information... I join that request. It really is a very exciting and interesting topic, and I would like to learn more about it. So far, I still hold to my opinion that former commercial spaces used for gastronomy have enormous potential for residential use. I have seen this several times in converted barns that were impressively renovated and often surpass typical single-family homes. My husband and I will soon be moving into a “normal” single-family house ourselves, so I allow myself this comment and, to avoid any offence, happily relate it explicitly just to our own home.