Asbestos ceiling in rental?

[chocobo_ff]

We are looking at a 2 bedroom property that has asbestos ceiling, it is in really good condition (pending further investigation), would we be able to rent the property out or would the ceiling need to be encapsulated/replaced first? Thanks

[DaveW]

I've always had these removed, new downlights installed, and ceilings plastered and repainted.
It attracts more tenant and a higher rent.

But in answer to your question, during due diligence for your purchase, you should always seek professional advice.
In this case why not ask the local real estate offices who manage properties in the area.

[chocobo_ff]

Mid term plan we are probably looking at demo/rebuilding to be used as our personal home, so not wanting to spend the money redoing the ceiling if we can avoid it, but will check with property managers in the area, thanks!

[hawkeye]

It’s perfectly safe if it is sealed well and not dusty. Don’t let electricians drill into it. To do any work now for EQC at least you need asbestos check of all old plasterboard not just stippled as a lot of even the plain stuff has asbestos.

[John the builder]

It isnt an "asbestos ceiling" but it may be a ceiling with an textured finish that may contain asbestos (or not)?

Are you sure it does? Has it been tested?

[chocobo_ff]

Agent has advised the ceiling contains asbestos, sorry I have limited understanding so I could be wording it incorrectly.

We are on the fence about this property at the moment, we will be getting it checked out if we are interested enough.

[DaveW]

Many buyers are put off by these ceilings. Even the agent is saying it contains asbestos.

Place a conditional offer to allow you to do all the necessary inspections to allow you to do cost calculations to make the house the way you want it. Multiply this total figure by 3 and on the date of going unconditional inform the sellers agent you need to take this figure off the purchase price to make the finances work.

Turn a property's weakness to your advantage.

[donna]

Agree ^^, you've got a great opportunity to buy some time while getting it tested and quote to replace, then present a purchase price that makes the numbers work for you (still conditional etc). Other buyers are being put off by the agent, so why not put in a cheeky offer when you know where you stand.

cheers,

Donna

[hopetown]

Not sure where you are but if you need advice give this guy a ring.

he's always been super helpful and forthcoming with info and advice whenever I've contacted him

Josh Barry
Operations Manager

M. 021 586 978
www.protectus.co.nz

[chocobo_ff]

It is an auction (most in Auckland seem to be auctions), so can't do conditional offer as such, but I suspect DaveW and donna are correct that others will be put off by the presence of asbestos.

Thanks for the contact hopetown, will look into it.

[DaveW]

It is an auction (most in Auckland seem to be auctions), so can't do conditional offer as such, but I suspect DaveW and donna are correct that others will be put off by the presence of asbestos.

Thanks for the contact hopetown, will look into it.

Auctions can work in your favour too if you are in a position to bid. LOther do-upper type buyers or investors often wait till after the auction then they go in with their conditional offer.

If the property works for you i would continue to perform the due diligence of costing the renovations, talk to a valuer as to what the property will be worth after renovations and arrive at your top bid amount to suit your medium to longer term goals.

[chocobo_ff]

Thanks for all the advice/suggestions, I've organised for inspections/quotes etc, will make a decision on the property once we get those info

[chocobo_ff]

Through a pre-purchase inspection we may have found more asbestos than what the agents have disclosed already. The house is up for auction in the coming weeks, would it be in our interest to disclose the information to the agent, and if we do, would the auctioneer need to disclose this to bidders on the day of auction? Obviously can't use this info as a bargaining chip since it's an auction, but was wondering if this would throw other potential bidders off, if they haven't done their due diligence and got quotes for remedy/removal prior to the auction?

[John the builder]

was the asbestos tested or is this speculation? Did you have permission for samples?

If so disclose to vendor agent as he is bound to disclose to others, but if not be careful as you may have 'assaulted' the house.

[chocobo_ff]

Going to organise for a sample to be tested hopefully in the next day or two. Good point about speculation vs tested, didn't think about that, thanks!