I’m looking at buying a property that is an REO that has gone through the entire foreclosure process and now it’s on the market with a Realtor showing it. I’ve looked at it three times so far.
It is a gorgeous 6 bedroom, 3.5 baths home that has 3266 above ground sq. ft. on a cul-de-sac on .75 acre lot that’s a bit of a fixer upper. The backyard landscaping with all of its trees, flowers and bushes looks like the Garden of Eden. Unlike where I live now this house is in a real high class neighborhood with little or no chance of it going downhill anytime soon. It’s also the biggest house in the neighborhood.
What I like the most about this property is that it has a guest house in back with an addition joining the guest house with the main house with a cathedral ceiling with exposed wood beams. With a separate kitchen addition added on, I see this as potential rental property where the renter pays for the home’s PITI and most if not all of the expenses while I live there for free. After the rehab, all I have to do is close a door and lock it.
The house has been on Zillow for 161 days now. It could use up to $35,000 in repairs and upgrades if I went with all top of the line stuff. The exterior of the house seems to be in very good condition. There is a musty moldy smell in the house. There is sheet rock that was ripped out in the bedroom closet of the guest house and downstairs in the basement with carpet and paint that’s needed throughout the inside. I want to add a second 3-4 car garage where I could keep all my future toys. I’m thinking of taking out one of the 6 bedrooms and making it a master bedroom suite with a master bath with shelf ceilings, a giant 4 person whirlpool tub, a separate huge spa like shower, bidet, his and her’s sinks and toilet. But first I think it’s most important to get rid of the moldy smell and make sure the rental part is done first.
They have it listed for now at $149,900 but I’m thinking the way it is now along with the rapidly continuing falling market (what first happened in Las Vegas and Detroit housing market is now happening here) the house is worth between $65,000-$75,000.
The problem is I don’t have a job (the unemployment here in Mpls/St.Paul metro is really high now), I don’t have any money at all and I just found out I have decent credit with my credit score being 682 on Experian.
I was thinking of renting the guest house portion for between $800-$850 with all utilities included, including satellite TV, high-speed Wi-Fi internet, there own kitchen and full bath plus full sized stainless steel front loading washer and dryer and a garage space in the 3 car garage. I would never rent out anything that I wouldn’t want to live in myself and furnish things they would never find in a typical apartment.
I would like to find a creative financing to make this work all work out. Should I try to find a renter before I go any further? Should I bypass the listing agent and talk directly to the bank about the price? What other things should I try to do? Fixed up this would be my dream house I've been looking for for years.
I’m looking at buying a property that is an REO that has gone through the entire foreclosure process and now it’s on the market with a Realtor showing it. I’ve looked at it three times so far.
It is a gorgeous 6 bedroom, 3.5 baths home that has 3266 above ground sq. ft. on a cul-de-sac on .75 acre lot that’s a bit of a fixer upper. The backyard landscaping with all of its trees, flowers and bushes looks like the Garden of Eden. Unlike where I live now this house is in a real high class neighborhood with little or no chance of it going downhill anytime soon. It’s also the biggest house in the neighborhood.
What I like the most about this property is that it has a guest house in back with an addition joining the guest house with the main house with a cathedral ceiling with exposed wood beams. With a separate kitchen addition added on, I see this as potential rental property where the renter pays for the home’s PITI and most if not all of the expenses while I live there for free. After the rehab, all I have to do is close a door and lock it.
The house has been on Zillow for 161 days now. It could use up to $35,000 in repairs and upgrades if I went with all top of the line stuff. The exterior of the house seems to be in very good condition. There is a musty moldy smell in the house. There is sheet rock that was ripped out in the bedroom closet of the guest house and downstairs in the basement with carpet and paint that’s needed throughout the inside. I want to add a second 3-4 car garage where I could keep all my future toys. I’m thinking of taking out one of the 6 bedrooms and making it a master bedroom suite with a master bath with shelf ceilings, a giant 4 person whirlpool tub, a separate huge spa like shower, bidet, his and her’s sinks and toilet. But first I think it’s most important to get rid of the moldy smell and make sure the rental part is done first.
They have it listed for now at $149,900 but I’m thinking the way it is now along with the rapidly continuing falling market (what first happened in Las Vegas and Detroit housing market is now happening here) the house is worth between $65,000-$75,000.
The problem is I don’t have a job (the unemployment here in Mpls/St.Paul metro is really high now), I don’t have any money at all and I just found out I have decent credit with my credit score being 682 on Experian.
I was thinking of renting the guest house portion for between $800-$850 with all utilities included, including satellite TV, high-speed Wi-Fi internet, there own kitchen and full bath plus full sized stainless steel front loading washer and dryer and a garage space in the 3 car garage. I would never rent out anything that I wouldn’t want to live in myself and furnish things they would never find in a typical apartment.
I would like to find a creative financing to make this work all work out. Should I try to find a renter before I go any further? Should I bypass the listing agent and talk directly to the bank about the price? What other things should I try to do? Fixed up this would be my dream house I've been looking for for years.
Thanks!