Would you buy a house without having set foot in it?

Muahahaha

Seems like an investor did just that at the Allsops auction currently ongoing.

Old house in Dublin 8, 2 up and 2 down rooms, a rather small 66sqm and with a reserve of €165k on it
http://www.allsopspace.ie/auction/lot/8498

The auction site explicitly states that there are tenants in situ (at €14,500 pa or €1,208pm) and that there will be no viewings whatsoever. Which I guess means you can't bring a surveyor along to visually assess the structure or neither could you check yourself for signs of damp or mould.

Yet despite not being able to set foot on the property before bidding someone had just bought the house for almost twice it's reserve of €165k, the final bid ended up at €300k according to the auction results (it was Lot 5)
http://www.allsopspace.ie/home/liveresults/20086

So a house in Dublin 8 that the purchaser could not lay foot in just sold for €300k or €4,500 per square meter

I can think of only two reasons why this has happened

1) The new owner is aware that there is a crock of gold hidden beneath the floorboards, or
2) The madness is back

I did think for a minute that maybe the tenants have bought it but that would still means that someone else bid up to €290k or €295k to push the winning bid to €300k.
So that means at least two people were willing to pay €295k for a 66sqm house in Dublin 8 that they couldn't visually inspect.

The madness is truly back.

Senna

or the tenants themselves bought it?
or a neighbour bought it?
or the buyer did actually get to view it, regardless what the agent says?

Muahahaha

Senna wrote: »

or the tenants themselves bought it?
or a neighbour bought it?
or the buyer did actually get to view it, regardless what the agent says?

All possibilities for sure. Regardless €300k for a 66sqm house off Clanbrassil Street is an exceptional price for an unexceptional house IMHO

Muahahaha

Also Lot 163 is on the same street and just a few doors down. It is also a 2bed house but at 73sqm it is almost 10% bigger than lot 5. It just sold for €284k.

These are plain enough houses which could do with a good renovation and god knows what else to bring them up to a decent standard.

To put this auction madness into perspective lets take a look at what the purchasers could have had less than a three minute walk away, a 2 bed red brick cottage with a lot of character, a decent sized garden area and in walk in condition asking €275k, also a bit bigger than the two sold at auction today
http://www.myhome.ie/residential/brochure/5-ebenezer-terrace-south-circular-road-dublin-8/2708895

o1s1n

Muahahaha wrote: »

To put this auction madness into perspective lets take a look at what the purchasers could have had less than a three minute walk away, a 2 bed red brick cottage with a lot of character, a decent sized garden area and in walk in condition asking €275k, also a bit bigger than the two sold at auction today
http://www.myhome.ie/residential/brochure/5-ebenezer-terrace-south-circular-road-dublin-8/2708895

I really like that house a lot. Thing is though, just because the asking is €275 it doesn't mean the current offer isn't €300k+. Seeing how things are going at the moment I really wouldn't be surprised.

It's mad to see what folks are spending money on right now.

Reserve 165k, sold for 284k

http://www.allsopspace.ie/auction/lot/8501
Nice location, but ugly, ugly house. 330k final bid

http://www.allsopspace.ie/auction/lot/8255

indiewindy

Rent of €14500 per year on a cost price of €300,000 gives a gross yield of 4.8%. Excluding legal fees and stamp duty. Considering that you cant get a mortgage when you purchase a property with sitting tenants you are going to lose half your rental income in tax. If I were an investor holding property in that area, I would look to sell at these prices!

Muahahaha

Things were insane at the auction yesterday. Three houses all on Hammond St, Blackpitts sold for the following-

55sqm-€162,500 or €2,954 per square meter
66sqm-€300,000 or €4,545 per square meter
72sqm-€285,000 or €3,890 per square meter

The variance on the same street is astounding, some buyers are losing the run of themselves.

When the Allsopps auctions begun three years back prices achieved were typically 10-15% above reserve I.e. Allsops had valued them pretty well. But now it seems like a good few places are achieving 30-50% more than their reserve. The two bed penthouse apartment on Mountjoy Street isn't exactly in a great area and was on reserve at €€150k but went for a massive €257k. A quarter of a mill to live in a dodgy area shows that the madness has returned.

Gael23

Not without someone I trusted highly having seen first.
I have relatives living abroad who did buy a holiday home back here without seeing it themselves but we all went to see it.