First Offer - Texas TREC 1-4 - No Realtor

[Account Closed]

I'm putting together my first offer. I found a buyer wanting to sell a duplex in Texas. I have driven the property, met with the owner, but I have not yet had an inspection or walked the inside of the property with the inspector. I believe this is the correct way to present an offer that is tenant occupied.

The seller came up with a number of $76,500. The tax assessed value is $57,510. I have based my offer of $60,000 solely off of the rent comps from a friend who is a a property manager in the area. Rent is under priced by about $50 on the 1/1 and about $150 under on the 2/1. 

I've called the local utility company and have added the electric, water, and trash average for last year. It does have gas, what should I add for that a month? It's a one water meter, one electric meter, and owner pays utilities. 

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I am not using a realtor, so I'm planning on using a TREC 1-4 contract and presenting it to the owner tomorrow before he lists with his realtor on MLS.

I honestly don't mind paying $65,000 for it. I have a feeling he is going to counter whatever I offer.

[Jim Cummings]

@Account Closed. Tax Assessed Value has ZERO relevance to Market Value of the property. Your friend who is a PM, probably also can find Sold Comps for similar properties.

Gas - dependent upon what appliances gas utilizes. If you are located nearby and have gas,  look at your gas expenses and make a guess from there - you probably won't be more than +/- $20 off. 

Go with your Offer and get the ball rolling, but expect to get a counteroffer.

Good luck.