Buyers warned over older properties

Posted: 26 Jun 2007 11:19:20 GMT

Prospective homebuyers are being warned over the potential pitfalls associated with buying older properties at auction.

Prospective homebuyers are being warned over the potential pitfalls associated with buying older properties at auction.

As individuals look for good property investments in old or derelict buildings at auction, many are underestimating the work that will be involved, the Society for the Protection of Ancient Buildings (SPAB) has said.

According to the society, a great deal of time and money may need to be invested in many old properties coming up for auction, making them less likely to offer a good deal to buyers.

"A lot of people are trying to buy older properties at auction and that's a bit of a double-edged sword," commented Kate Griffin from the SPAB.

"Property prices can be quite inflated at auction because the auctioneers don't necessarily understand an older property and don't necessarily know what they're putting up for auction.

"When you've actually bought your wreck and put your money on the table, you then find you'll have to spend several hundred thousand pounds more than you envisaged."

Property investors going to auction are advised to do their research before buying.

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