A Guide to Buying Abandoned Houses in Australia
Interested in acquiring an abandoned house in Australia? The process can be complex, but understanding your rights and following the necessary steps can lead to a successful purchase. This guide aims to clarify the legal framework surrounding adverse possession and the auction process for abandoned properties.
Adverse Possession for Abandoned Houses
Claiming rights over abandoned houses in Australia is a possibility under the principle of adverse possession. However, the requirements vary depending on the state and territory. Generally, you must have continuously occupied the property for a long period. In South Australia and Victoria, this period is 15 years, whereas it is 12 years in the rest of the country.
Adverse possession means that you can claim the property as your own if you can prove that you have been living there without permission for a defined period. This process requires significant evidence and legal support.
Why Abandoned Houses Become Available for Sale
Abandoned houses often end up in the hands of local councils when property owners fail to pay the rates or taxes due. After a certain period, the local council may take possession of the property, leading to potential sale through auction. This process varies by location, but generally, the property is deemed unoccupied and idle for a certain period before the council's action.
How to Buy Abandoned Houses from Auction
The process of buying abandoned houses through auction involves several steps:
Identify Potential Properties: Research areas known for abandoned houses or properties at risk of being confiscated. Websites like RealPitt and can be helpful.
Observe Local Council Announcements: Keep an eye on announcements from local councils regarding properties up for auction. Check their websites and subscribe to news alerts.
Inspect the Property: Once you identify a property of interest, arrange for an inspection. This step is crucial to understand the property's condition and potential for rehabilitation.
Register for the Auction: Register your interest in the property and attend the auction. Be prepared to bid and have some flexibility in pricing.
Post-Auction Actions: If you win the auction, engage legal professionals to complete the purchase, sign the necessary paperwork, and arrange financing if required.
Advantages and Considerations
Buying abandoned houses comes with its advantages:
Potential for rehabilitation: Renovating an abandoned house can be rewarding both personally and financially. Many properties have basic structures that can be repurposed.
Community impact: Transforming an abandoned house can improve the local neighborhood and add value to surrounding properties.
Financial investment: Investing in abandoned houses can provide a steady return on investment over time, especially as the property is resurrected.
However, it also involves considerable risks, such as potential legal challenges and the need for extensive renovations.
Conclusion
Buying abandoned houses in Australia can be a challenging but rewarding endeavor. Whether through adverse possession or auctions, it requires thorough planning, research, and legal assistance. By understanding the process and being prepared, you can successfully acquire and transform these properties into valuable assets.
FAQs
Q: What is adverse possession?
A: Adverse possession is a legal doctrine that allows a person to claim title to a property if they have openly and continuously occupied it without permission for a specified period. In Australia, this period varies by state and territory.
Q: How can I find abandoned houses in my area?
A: Research local forums, websites, and property management firms. Connecting with local real estate agents can also provide valuable information.
Q: What should I do once I find a property?
A: Arrange a property inspection, register for the auction, and be prepared to bid. Consider seeking legal advice to navigate the process smoothly.