Great Opportunity.... right??

[Andrew Miller]

Hi everyone,

I am in the process of finding my first investment property.  this is the first time ive posted in this forum.  So a lot of new!

I believe to have a great deal in front of me, especially for my first property, but need your help finding what questions to ask.  It's in Virginia Beach (ideal market for me), owned currently by a family friend/very successful real estate investor.  3br/2bath house, that has been lightly renovated (floors, cabinets, paint, cosmetic stuff), and will be sold to me for $200k.  Ceiling has about 10 yrs, new water heater.  There is an interested renter, who wants a lease to buy option, which I would probably do 3 years for option to buy at $245k.  Renter is a plumber/ handy person and wants to be able to do personal renovations.  

What questions or hesitations should I have?  

[Patti Robertson]

@Andrew Miller - I hate to be the bearer of bad news, but as a Broker, flipper, landlord, and property manager with a ton of experience in Hampton Roads, I will tell you that this is a TERRIBLE investment.  For $200,000 you can get MUCH more than $1100 of income in our market.  Although I will point out that $1100 is way too low for rent for any 3/2 in any neighborhood in Virginia Beach, unless you are renting a mobile home or apartment. Every townhome or single family home in VB should rent for at least $1300, even with SEC 8.

Your "successful RE investor friend" is is trying to take advantage of your real estate ignorance.  Only an owner occupant would pay $200K.  Your friend should be ashamed of him/herself.  I'm serious.