Making the offer

[Gregory Van Liew]

I have found a small house (2/1) that is available for little more than the value of the land it sits on. The house needs everything: Roof, gutters, siding (asbestos shingles nailed over older cedar shingles), drainage abatement, rehabbed bath, total kitchen, replaced flooring (half), refinished flooring (other half), back steps, total landscape, HVAC (old furnace is missing), insulation (2" in attic; none elsewhere) additional electrical circuits, plumbing includes iron pipes, interior trim and paint. Owner wants 65k. Comps in neighborhood average >140k.  My carpenter walked through it with me and thinks the work can be done in two months, for around $30k with my sweat equity included (I figured closer to 45K).

Am I nuts to make an offer? And if I do, can I use an off the shelf "Offer to Purchase Real Estate" form?