I was wondering if perhaps this could be an easy profit? I read that houses where someone was murdered are normally purchased at deep discounts. So if you bought the house and then rented it out would this make you a lot of money? Do you have to tell people you rent to that someone was killed inside? I really dont know if this method would make a lot of money because I dont know anything about real estate, or matters concerning it....I was just wondering if this would work.
2006-10-28 13:35:23 · 15 answers · asked by Shannon83 1 in Business & Finance ➔ Renting & Real Estate
Firstly, you have to check your state's laws concerning this, believe it our not, some states do not require the seller to disclose this as it may not be considered a "known defect" because there is nothing wrong with the house structurally.
Call a local realtor and ask them, they are licensed so should know the law. Just say hypothetically, if I bought a house where a murder occured would the sellers have to disclose that to me?
Also, in this period of falling home values and economic uncertainty, you gotta ask yourself if you can unload a house with such bad feelings attached to it. Are there a lot of homes for sale/for lease in the neighborhood? If so, call and see what they are asking, and if they are not selling, keep that in mind.
I wouldn't take the risk I would end up with a house no one else wanted.
Just my thoughts..
2006-10-28 14:07:53 · answer #1 · answered by Gem 7 · 1⤊ 0⤋
Well it would really depend on where the house sits, if its in a relatively quiet neighbourhood then, yes, I would buy the house. There are other houses, such a crack house or generally in a bad neighbourhood , I would stay away from totally. Im sure if you bought it to rent it out, I would only say something about a murder only if the renters asked that particular question. I believe it would be a good idea to tell the people that might rent from you about what took place, and assure them that you will take care of the place , and try to ease any fears they may have about renting if you tell them about the home's history. If its the law that you have to make that disclosure, then you have no choice.
2006-10-28 13:50:41 · answer #2 · answered by Julius L 2 · 0⤊ 0⤋
In most States, if someone had died in a house in the past 3-5 years, whether by murder or natural causes, it's something that has to be disclosed by the seller. Yes, these houses are typically harder to sell, and one can get them at a larger discount. But remember, you would have to disclose the problem to your potential buyers and renters as well, so you will not make as much profit since you probably have to lower the costs of rent or the sales price.
Another thing to consider is whether the neighborhood itself is good or bad. If there are murders in the same neighborhood all the time, then I'm sure housing prices in that whole area will be depressed.
One way to make money in this situation is to a) get the unit really cheap in comparison to the rest of the neighborhood and b) tare it down and rebuild so it's a new house.
2006-10-28 13:43:37 · answer #3 · answered by justdennis 4 · 0⤊ 1⤋
Do check the laws in your state. Call around and ask several brokers. Not all have the knowledge they're responsible for.
If the house is in Texas, then any murder in the house MUST be disclosed. If you don't, they will find an attorney, eager for the case, because it will be an easy one for them to make a lot of money on you. You'd also have to disclose a death caused by a defect on the house. i.e. A balcony rail gave way and someone fell to their death, or fell off the roof, or the chimney fell on them, etc.
Deaths of natural causes, old age, illness (yes, even aids) do not have to be disclosed to prospective buyers.
2006-10-28 16:24:36 · answer #4 · answered by teran_realtor 7 · 0⤊ 0⤋
If the price was right and the body had been removed, sure, why not? You are only obligated to divulge information that is directly related to the condition of the house, so unless they specifically ask "Oh, by the way, has anyone ever been murdered in this house?", then keep your mouth shut. I would probably consider reselling rather than renting. There is a quicker turn-around on your investment.
2006-10-28 13:47:23 · answer #5 · answered by kidd 4 · 1⤊ 0⤋
If I brought a house dirt cheap because there was a murder in it, I would probably get it affordable. But I say no < I wouldn't tell the tenant that there was a murder in it. I rent it but won't live in it.
2006-10-28 15:29:08 · answer #6 · answered by ? 2 · 0⤊ 0⤋
I wouldn't have a problem with it. As far as I'm concerned, what happened inside the house has nothing to do with the HOUSE itself. The house didn't murder them.
2006-10-28 13:44:01 · answer #7 · answered by Jess H 7 · 0⤊ 0⤋
I agree with those that say check you states local laws. In my state(CT) you only have to disclose a psycological defect if the buyer/renter requests the information IN WRITING. Check your local laws concerning this
2006-10-28 16:37:34 · answer #8 · answered by mikeyc06010 2 · 0⤊ 0⤋
You have to disclose to the seller that someone has been murdered in the house so I'm sure you have to tell the renter as well.
2006-10-28 13:46:08 · answer #9 · answered by Mariposa 7 · 0⤊ 1⤋
yes-- but beware that not disclosing the murder could allow a renter to move before there lease was up as a judge would side with them in the emotional distress issue--got that from a Realtor
2006-10-28 14:40:24 · answer #10 · answered by cramwobarg 1 · 0⤊ 1⤋