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Weapon_R
08-21-2006, 08:01 PM
Just wondering what you'd have to do to get one of these back on the market?

The properties are selling for very cheap, I was hoping someone had some info on this. Also, how does one go about making an offer?

Does one have to still mention that it was a grow op after it has been cleaned?

jdmakkord
08-21-2006, 08:03 PM
Originally posted by Weapon_R
Just wondering what you'd have to do to get one of these back on the market?

The properties are selling for very cheap, I was hoping someone had some info on this. Also, how does one go about making an offer?

Does one have to still mention that it was a grow op after it has been cleaned?

By cleaning, do you mean replacing the drywall, carpet, etc. From what I have heard, there is a lot of work to make the places safe to live in again.

BlackArcher101
08-21-2006, 08:06 PM
Most are complete reno's or are torn down. The high humidity from the grow op causes toxic molds to grow everywhere. If it's cheap, it better be selling for just the land.

HRD2PLZ
08-21-2006, 08:07 PM
Former grow operations have a Health Hazard Warning registered on title. I am not sure how much a grow operation mediation costs, generally it entails stripping everything down, treating the wood and starting fresh again. Offers on grow operations are handled through Court of Queen's bench. The Courts like to see clean, condition free offers and a deposit much accompany the offer.

izzoblitzo
08-21-2006, 08:07 PM
Some of those cleanup jobs could take upwards of $20-$30k to clean up.. it's basically gutting out the whole house, scrubbing it down, and rebuilding the interior..

I do believe the growup must be disclosed.. I heard it has to be registered on title for a period of time.

GQBalla
08-21-2006, 08:29 PM
if your interested in purchasing a ex grow op house theres one right behind me

barbarian
08-21-2006, 10:31 PM
Originally posted by GQBalla
if your interested in purchasing a ex grow op house theres one right behind me
Did you get warehouse-direct pricing?:D

Shaolin
08-21-2006, 11:04 PM
a somewhat of a friend bought a duplex in Bankview that's a grow op.. he had to strip the whole thing down and redo the whole house.. not sure how he's doing with it.. but it's a lot of work..

JRSC00LUDE
08-22-2006, 07:37 AM
I think we're all interested in hearing what ashee has to say on the subject. :D

Kritafo
08-22-2006, 07:40 AM
We had one for sale down the street, it went for higher than some of the other non-contaminated houses, I couldn't figure that one out for the life of me.

Basically the CRHA comes in checks air quality etc, if it passes you can live in it. Pathetic! I don't even like living near it.

Kritafo

Kritafo
08-22-2006, 07:48 AM
http://www.calgaryrealestatelink.com/Real_Estate_News/page_276399.html#Marijuana%20grow-ops

This is an interesting article on it.

You can find grow ops on a regular basis on sites that have Foreclosure listings.

Kritafo

HRD2PLZ
08-22-2006, 08:07 AM
Here is a former Grow-Op that just came on the market. CIBC is the vendor for this one.

Braeside Grow House (http://www.foothillsrealestate.ca/cgi-bin/re/listings.cgi?overlord=Details&@mlnum=C3226638&realtor_mysqldb=&templatesys=2&listingtype=res&@status=&Nav=trevorashcroft&realtorinfo=N&realtor=)

MLS C3226638

thinmyster
08-22-2006, 08:26 AM
Originally posted by JRSC00LUDE
I think we're all interested in hearing what ashee has to say on the subject. :D

haha She should be throwing her 2 or 3 cents worth in here any minute now

broken_legs
08-22-2006, 08:37 PM
I looked into grow-op houses briefly earlier this year.

The realtor that I was talking with told me two things
1.) No one can sell a house unless it has been deemed liveable byt the city. So what she told me was that if I buy a grow op house (even from teh bank) it has already passed some sort of certification saying its healthy to live in.
2.) When selling a grow house You have to disclose that it is a (or was) a grow op house.


Not only do these houses have issues with mold, but you may also find serious structural issues (Ie holes in foundation to hide secret vent pipes to sewer, holes in walls, shotty electrical wiring) You have to remember that the ruthless drug lords (lol) who were using these houses were not concerned about the resale value of the home.

1-10 grow op houes burn to the ground.... Might be a good way to make some money off insurance?? hahah
:rofl:

googe
08-23-2006, 09:25 AM
I dont believe the part about it having to be in liveable condition to sell it but I could be wrong. Ive seen several grow op houses for sale that were as high as 80k in renos to make liveable again.

It depends on the place. Many of them have to be stripped right down to the frame. And then you have to disclose it was a growup I think, so its like selling an accident car.

dericer
08-23-2006, 09:40 AM
Originally posted by broken_legs
I looked into grow-op houses briefly earlier this year.

The realtor that I was talking with told me two things
1.) No one can sell a house unless it has been deemed liveable byt the city. So what she told me was that if I buy a grow op house (even from teh bank) it has already passed some sort of certification saying its healthy to live in.



Yup, you're right.

For it to be forsale to the average Joe, it has to already have passed the air quality tests, and be deemed liveable.

Already looked into this aswell

HRD2PLZ
08-23-2006, 09:41 AM
I attended a seminar hosted by the Calgary Real Estate Board and CPS on grow houses and it was amazing at the horrid conditions a lot of these homes are in. Of course, for the purposes of the seminar, they showed us the worst of the worst. The structural integrity of many of the homes we were shown was severely compromised. I am not going to guess on costs of remediation, but I do know it can be quite substantial.

dj_honda
08-23-2006, 09:50 AM
Originally posted by HRD2PLZ
I attended a seminar hosted by the Calgary Real Estate Board and CPS on grow houses and it was amazing at the horrid conditions a lot of these homes are in. Of course, for the purposes of the seminar, they showed us the worst of the worst. The structural integrity of many of the homes we were shown was severely compromised. I am not going to guess on costs of remediation, but I do know it is quite substantial.
Many Realtors won't sell a former grow operation because they aren't comfortable with it. I had a client last year who wanted to purchase one and I ended up referring them to another agent in my office because I didn't want the liability or guilty conscience of selling them a house I couldn't stand behind.

that house you posted. how come it says "This property can NOT be viewd. NO SHOWINGS."? why aren't you allowed to see it?

superman1
08-23-2006, 11:10 AM
If a grow house is bought and re-finished to meet the standards is it still considered as an ex-grow opp, when u resell??

HRD2PLZ
08-23-2006, 11:26 AM
Originally posted by dj_honda


that house you posted. how come it says "This property can NOT be viewd. NO SHOWINGS."? why aren't you allowed to see it?

I am not the listing Realtor for that property. My only guess would be the house is not safe for showings. One of the many schedules for the purchase contract will outline that the house is bought in "as-is" condition. I would imagine one could look through the windows but I bet the structural integrity of this home has been compromised and neither the bank or listing Realtor/Brokerage want to take on the liability in the event something happens during a showing.



Originally posted by superman1
If a grow house is bought and re-finished to meet the standards is it still considered as an ex-grow opp, when u resell??

Yes. As far as I have been told, even a remediated home will have the Health Hazard warning registered on title. I know as per my Broker's instructions, anything we list that was a former grow-operation must be disclosed in the listing.

AzN'SKillZ
08-23-2006, 11:55 AM
so are these houses worth it??

dj_honda
08-23-2006, 01:21 PM
Originally posted by HRD2PLZ


I am not the listing Realtor for that property. My only guess would be the house is not safe for showings. One of the many schedules for the purchase contract will outline that the house is bought in "as-is" condition. I would imagine one could look through the windows but I bet the structural integrity of this home has been compromised and neither the bank or listing Realtor/Brokerage want to take on the liability in the event something happens during a showing.



i realized that you werent the realtor. i meant it as a general question. thanks for the response, makes sense what you said. i saw that house the other day, prior to this thread, but now it doesnt seem too good of a deal without some major cash to put into it.

D. Dub
08-23-2006, 04:34 PM
Originally posted by HRD2PLZ


Yes. As far as I have been told, even a remediated home will have the Health Hazard warning registered on title. I know as per my Broker's instructions, anything we list that was a former grow-operation must be disclosed in the listing.

Yup as it should be. Once anything is registered on a title its there as long as the property exists.

These houses can have issues that won't show up for years even if they are properly remediated.

D. Dub
08-23-2006, 04:36 PM
Originally posted by AzN'SKillZ
so are these houses worth it??

IMHO....why risk it if you're a buyer??

gram
08-24-2006, 07:54 AM
Make sure you know what you are getting in to when buying one of these. Basically you have to rip the whole interior out including the insulation in many cases. I have researched the crap out of these and have had friends that have bought them to sell them. The covenant stays on the title for EVER. You must disclose that it was a grow op house and mold is a major issue. Mold never really goes away and a lot of people that you will talk to will say stay as far away from a molded house as you can. Also bear in mind that the guys that convert these houses to grow ops don't care about the house AT all. There is constant water in the house and everything is wet. If you do plan on buying one of these be prepared to rip it down to the foundation. Many times windows/drywall/internal framing/flooring/ceilings all have to be replaced. Go look at your unfininshed garage if you have one, this is basically what you are buying. You are also takig a huge risk with your health if you decide to live in one of these, even after it is fixed. They usually cut a hole in to the foundation to run in "their" electrical as well and you have to get this fixed by Enmax (that alone is usually in the neighbourhood of 5-10K)

HRD2PLZ
08-24-2006, 11:13 AM
Originally posted by D. Dub


Yup as it should be. Once anything is registered on a title its there as long as the property exists.

These houses can have issues that won't show up for years even if they are properly remediated.

Rob, what is the lender's stance on former grow operations? Is it possible to obtain a mortgage on these properties or not?

D. Dub
08-24-2006, 11:53 AM
^^

From my understanding some will. I haven't had any personal experience with them but my guess would be the LTV would have to be pretty low to limit their risk exposure.

HRD2PLZ
08-24-2006, 12:03 PM
Originally posted by D. Dub
^^

From my understanding some will. I haven't had any personal experience with them but my guess would be the LTV would have to be pretty low to limit their risk exposure.


I am hearing conflicting stories from people I have talked to around the office and in the industry. I just thought I would ask in case it was something you might have been familiar with. I have sold foreclosures before, but I know those are treated differently then a fromer grow house.

topmade
08-24-2006, 12:25 PM
How/can you disclose a house that was a grow op that was never busted? I've seen many houses, even through realators that shows signs of them being a grow op but nothing on the description of the listing. Some were pretty obvious, but according to the relator they didn't know.

IMO, stay as far away as possible. Unless you plan on tearing down the house anyways, like most people are doing around center st. area to make a new house, don't bother. I have heard stories about mold forming a year or so after the purchase even after the city gave a thumbs up after the inspection.

HRD2PLZ
08-24-2006, 12:33 PM
Originally posted by topmade
How/can you disclose a house that was a grow op that was never busted? I've seen many houses, even through realators that shows signs of them being a grow op but nothing on the description of the listing. Some were pretty obvious, but according to the relator they didn't know.


If we know anything about the home which would affect somebody's decision to purchase the property or not, we have to disclose that information. Sometimes the information about the property being a former grow house is disclosed to other Realtors in the Private Remarks section of our MLS system. Most agents listing a former grow house will disclose the information in the public remarks section.

superman1
08-28-2006, 09:29 AM
So where can we find these homes forsale?

3G
08-30-2006, 11:25 PM
^ :werd:

Weapon_R
08-30-2006, 11:51 PM
They are listed from time to time on the MLS