Offlinei am just learning how this site works so please bare with me.i'm just so excited that i needed to share with like minded individuals.i have located a seller after seeing a house vacant and here are the numbers and details. the house is a 6br/2ba 2 story 2700sq ft. seller was renting it at 900/mo.after some research i learned he had it listed with a realtor for 59000 for about 4 months.he had no offers.it came off that listing and he put it on another'do it yourself site'and listed it at 45000.i contacted seller and playing the reluctant buyer he dropped the price in about 20minutes to 35000.the sellers story is he was renting,renters moved out he began fixing place up by putting 12000 into windows, drywall,new water heater,new forced heat system,etc.currently the house needs general cleanup,some shingles on roof,a couple gutters put up in place,and some drywall,ceiling tile work.estimated repairs should run around 15000.seller owes 18000 on mortgage,12000 to his brother,and 5000 on back taxes.get this...seller moved,house is in illinois,seller moved to p.a. so after talking with him i learned he just basicly wants it gone.he is very motivated.i tried to get it sub to but he didnt want to do that.i am going to wholesale it. i realize its not a bread n butter 3/2 but i feel it could be sold to either a large family that is willing to do the work on it,as it is in a livable condition. or i may flip it to a rehabber,they could fix it and flip it or they could rehab it and put up some partisans and turn it into a rental building with 2-3 units in it.so my offer to seller is going to be 31300. according to comparables it should have arv of 75000-85000. i will report back when i get it under contract,as i believe he will accept offer.thank you dean for this site and all it means to us.it is a wealth of information. i feel honored to be a part of it.i also want to thank carol and matt.all of you have truly inspired me and have given me the confidence to keep percervering and i appreciate you all so much.thanks for letting me dream again.god bless you all,i wish you all much success in 2015. rick
Rgm
Sounds like a good deal from the numbers you provided. Take action!! Lock it up under contact and find a buyer. Good luck
Reynold Orozco
Try to find out why it did not sell with the realtor or by FSBO. It looks like the property was exposes to enough air for the flies not to have missed it.
P.S. - Everything else is immaterial, irrelevant, and unnecessary.
just wanted to say thanks for the encouragement.thanks for reading my post,sorry i get alittle carried away,lol,butit means alot to hear from you. thanks a bunch. god bless and godspeed on your deals,rick
Rgm
just wanted to say thanks for the encouragement.thanks for reading my post,sorry i get alittle carried away,lol,but it means alot to hear from you. thanks a bunch. god bless and godspeed on your deals,rick
Rgm
y would you come to that conclusion? i didnt post any pics. i said it needs shingles not a new roof,also nothing was exposed,so not sure what you meant.uhhh realtors put up a sign and list on mls, and not much else to sell a property.seller only listed about 4 months could be part of reason why. also it does need work but nothing my grandma couldnt handle[ stole that from carol ] anyway, some people cant see past ugly,some of us can.this place has some real potential. true its going to to take a buyer not afraid of doin alittle work but there are a lot of people out there love to get in on this....uh hem....try to think alittle diffrently;] miracles happen everyday...just gotta have faith. 1st faith in god,then faith that he will see us thru. he put us here on purpose. i dont believe in coincedence or luck.dean is a great teacher and im soaking up all i can and i hope we all meet at the top...god bless you n yours, godspeed on your deals..rick
Rgm
until you lock it up & you could be wasting your time too which kills your biz, lock it up & then come & tell us how you are sending it out to your buyers ok
much success
Tony
Go faster do more! GFDM!
well,today i learned a few things.i started doubting that my numbers on rehab costs and arv were not accurate enough.i have read alot of posts on dg saying that zillows zestimate cant be relied on for accuracy. trouble was two fold. the comparables were a nightmare because there wasnt a property any where near close to this type property. it was a 6/2 zillows comps were based off 3-4/2. so that was a big red flag to me to start off.the arv zillow had was between 35k-100k. also a huge red flag went up.i was trying to think alittle diffrently with this because the sellers motivation was definite due to the fact he moved out of state in p.a. and house is in ill.i learned from r.a. house had been listed 4 months at 59900 with no offers,then seller did it on his own on a fsbo site dropping price to 45k. when i played the reluctant buyer in 20 minutes of emails he dropped price again to 35k. so you can see why i was excited. huge motivation factor,seller told me what was owed so he only wanted to have his costs covered.at one point he said he would take 27k just to be done with it.i thought i had all the bases covered.i tried to get it sub to in the beginning,but he wanted 20k down,then i thought well how about l/o? he said he would do that but he wanted 600/mo from me.i didnt have a tenent to consumate deal at this point and the more i thought about it a l/o wouldnt have left enough on the table for me to get involved.also in its current state of repairs being needed i wouldnt have felt right putting a tenant in it without repairs being completed first.i dont want to be a slum lord.i told him id see what else i could come up with and thats when i started realizing,an investor is going to come in and make the place like new meaning the sellers idea of repairs needed werent even in ballpark had i wholesaled it to a rehabber in a flip. plus they are going to want a fairly close idea on numbers being correct on repairs and arv which i was stuck on.long story short i came to the conclusion i didnt have the expertise to dive into something this deep and so i got ahold of seller and told him i was sorry but that i felt the project was just more than i could take on right now. he replied back that it was ok,that he had signed a lease today with someone for 800/mo.i told him that i was glad to hear his problem has gotten fixed and sorry i couldnt have done more for him. thing is he was ok with it as i made no promises and i really was trying to find a way to help us both.in the end i felt glad the seller got his needs met but a little bummed wondering should i have pulled the trigger sooner? i still think it was the right discision on my part to think it thru more. better to be safe than sorry but it still makes me wonder if i worried too much about all the what ifs too much or if i used sound judgement by not going any farther with this deal. i just want this so much and i have all the zeal,just still need more knowledge but im not giving up. im just going to use this as a learning experience and try to have things figured out better next time before just jumping in. thanks tony for the encouragement,god bless. rick
Rgm
sorry it was between 65k-100k. i missed that when i proof read it. god bless rick
Rgm
zillows arv was between 65k-100k which was a 35000 dollar gap sorry just trying to clarify god bless rick
Rgm