Buying the first property (out of state, unseen) - advice needed!
Rental Property Investor · Member since 2023 · 5 posts · 16 votes
Hi BP community! I have gathered the courage to make on offer on my first investment property. The deal seems good:
Good B+ area in Columbia, SC suburb, great schools, 3 bed 2 bath, needs some cosmetic work (repaint interior, a few holes in the wall to fix, 1 broken window to replace, likely replace laminate flooring in 1 room, replace bathroom sealant)
ARV is around 220k, it's offered for 165k and already has a cash offer of 172k (I'll be financing). After cosmetic repairs it may rent for 1.7k
I believe it's a good deal and numbers seem to work. My realtor made a few videos for me and seems like no major work needs to be done. I have no idea of repair costs.
Any advice on making an offer considering I didn't see the property in person? Should I make a contingency of inspection offer? I don't want to loose a good deal but also to get trapped into a bad one. Thank you so much!
Hi BP community! I have gathered the courage to make on offer on my first investment property. The deal seems good:
Good B+ area in Columbia, SC suburb, great schools, 3 bed 2 bath, needs some cosmetic work (repaint interior, a few holes in the wall to fix, 1 broken window to replace, likely replace laminate flooring in 1 room, replace bathroom sealant)
ARV is around 220k, it's offered for 165k and already has a cash offer of 172k (I'll be financing). After cosmetic repairs it may rent for 1.7k
I believe it's a good deal and numbers seem to work. My realtor made a few videos for me and seems like no major work needs to be done. I have no idea of repair costs.
Any advice on making an offer considering I didn't see the property in person? Should I make a contingency of inspection offer? I don't want to loose a good deal but also to get trapped into a bad one. Thank you so much!
Out of state rehab? This **** is tough. Contractors, ARVs, etc., all are a crock of ****. I recommend going turnkey out of state, unless you can get yourself to the site and be on top of it. Or know how to draft contracts for contractors to mitigated by their normal downfalls.
What is the value of seeing the home in person if the prospective owner is not proficient at inspecting homes? I've purchased many properties out of state, and I haven't been inside a single one of them before closing. Some of them I've never even seen from the street in person. Walking through the home is usually an emotional thing, not a logical thing, and when you're buying a property as an investment, emotions should be removed from the equation.
Its all about having people you trust there to look at it: a excellent investor friendly agent and a fantastic home inspector are all I need!
Why is it that people are unwilling to buy a property they've never been to, but are totally cool with buying stock in a company they know almost nothing about?
Put in an offer with the regular conditions and prior to inspection or at the same time, get yourself on a plane (or hop in a car) and look at it in person before the conditions are removed. That locked the sale in for you so someone else can't scoop it up, but gives you the buffer you need.
I’m an investor in Columbia have 50+ units around town.
I can tell you that ARVs aren’t always what they seem to be and is totally subjective to whoever is telling you that information.
what is your plan is the main question? Buy and hold. Buy it and sell it a few years later? Flip it?
Feel free to send me the address, and I will give you my opinion based on my experience with Columbia.
I would put in an offer that you feel comfortable doing so. Don't feel pressured to go over the top on your offer. If you are not able to land this offer, there will be other opportunities that can you pivot too that will come along in the future. There will always be more deals. I would personally never waive inspections since there is no telling what can be uncovered during an inspection that would really change the quality of a given deal. Realistically, if there is an all cash offer on the table, you may have to big a bit above them to make your offer stand out. If your offer is accepted, I would fly to the area for a quick trip to really get a feel for the property, inspection, and area. At the very least, if you have someone that you trust fully in the area, then they could do that step for you.
@Svetlana Kazantseva absolutely get an inspection.
Pinpoint does a good job in my experience:
Hi BP community! I have gathered the courage to make on offer on my first investment property. The deal seems good:
Good B+ area in Columbia, SC suburb, great schools, 3 bed 2 bath, needs some cosmetic work (repaint interior, a few holes in the wall to fix, 1 broken window to replace, likely replace laminate flooring in 1 room, replace bathroom sealant)
ARV is around 220k, it's offered for 165k and already has a cash offer of 172k (I'll be financing). After cosmetic repairs it may rent for 1.7k
I believe it's a good deal and numbers seem to work. My realtor made a few videos for me and seems like no major work needs to be done. I have no idea of repair costs.
Any advice on making an offer considering I didn't see the property in person? Should I make a contingency of inspection offer? I don't want to loose a good deal but also to get trapped into a bad one. Thank you so much!
If you need help, I am a licensed agent in the Columbia area and would be happy to assist you!
Hi BP community! I have gathered the courage to make on offer on my first investment property. The deal seems good:
Good B+ area in Columbia, SC suburb, great schools, 3 bed 2 bath, needs some cosmetic work (repaint interior, a few holes in the wall to fix, 1 broken window to replace, likely replace laminate flooring in 1 room, replace bathroom sealant)
ARV is around 220k, it's offered for 165k and already has a cash offer of 172k (I'll be financing). After cosmetic repairs it may rent for 1.7k
I believe it's a good deal and numbers seem to work. My realtor made a few videos for me and seems like no major work needs to be done. I have no idea of repair costs.
Any advice on making an offer considering I didn't see the property in person? Should I make a contingency of inspection offer? I don't want to loose a good deal but also to get trapped into a bad one. Thank you so much!
Out of state rehab? This **** is tough. Contractors, ARVs, etc., all are a crock of ****. I recommend going turnkey out of state, unless you can get yourself to the site and be on top of it. Or know how to draft contracts for contractors to mitigated by their normal downfalls.
Hi BP community! I have gathered the courage to make on offer on my first investment property. The deal seems good:
Good B+ area in Columbia, SC suburb, great schools, 3 bed 2 bath, needs some cosmetic work (repaint interior, a few holes in the wall to fix, 1 broken window to replace, likely replace laminate flooring in 1 room, replace bathroom sealant)
ARV is around 220k, it's offered for 165k and already has a cash offer of 172k (I'll be financing). After cosmetic repairs it may rent for 1.7k
I believe it's a good deal and numbers seem to work. My realtor made a few videos for me and seems like no major work needs to be done. I have no idea of repair costs.
Any advice on making an offer considering I didn't see the property in person? Should I make a contingency of inspection offer? I don't want to loose a good deal but also to get trapped into a bad one. Thank you so much!
Out of state rehab? This **** is tough. Contractors, ARVs, etc., all are a crock of ****. I recommend going turnkey out of state, unless you can get yourself to the site and be on top of it. Or know how to draft contracts for contractors to mitigated by their normal downfalls.
OR.... be optimistic that there are GREAT real estate agents/investors in the area that know what they're doing and have already made relationships with GREAT contractors!
Hi BP community! I have gathered the courage to make on offer on my first investment property. The deal seems good:
Good B+ area in Columbia, SC suburb, great schools, 3 bed 2 bath, needs some cosmetic work (repaint interior, a few holes in the wall to fix, 1 broken window to replace, likely replace laminate flooring in 1 room, replace bathroom sealant)
ARV is around 220k, it's offered for 165k and already has a cash offer of 172k (I'll be financing). After cosmetic repairs it may rent for 1.7k
I believe it's a good deal and numbers seem to work. My realtor made a few videos for me and seems like no major work needs to be done. I have no idea of repair costs.
Any advice on making an offer considering I didn't see the property in person? Should I make a contingency of inspection offer? I don't want to loose a good deal but also to get trapped into a bad one. Thank you so much!
Out of state rehab? This **** is tough. Contractors, ARVs, etc., all are a crock of ****. I recommend going turnkey out of state, unless you can get yourself to the site and be on top of it. Or know how to draft contracts for contractors to mitigated by their normal downfalls.
OR.... be optimistic that there are GREAT real estate agents/investors in the area that know what they're doing and have already made relationships with GREAT contractors!
I'd bet against that. I'd hope for the best, but prepare for the worst. I'd say my Georgia contractors have been the very best I've ever worked with--better than my own brother's crew. But still even with excellent communication, details, incredible problem solving we are still well behind schedule and over budget.
Hi BP community! I have gathered the courage to make on offer on my first investment property. The deal seems good:
Good B+ area in Columbia, SC suburb, great schools, 3 bed 2 bath, needs some cosmetic work (repaint interior, a few holes in the wall to fix, 1 broken window to replace, likely replace laminate flooring in 1 room, replace bathroom sealant)
ARV is around 220k, it's offered for 165k and already has a cash offer of 172k (I'll be financing). After cosmetic repairs it may rent for 1.7k
I believe it's a good deal and numbers seem to work. My realtor made a few videos for me and seems like no major work needs to be done. I have no idea of repair costs.
Any advice on making an offer considering I didn't see the property in person? Should I make a contingency of inspection offer? I don't want to loose a good deal but also to get trapped into a bad one. Thank you so much!
Out of state rehab? This **** is tough. Contractors, ARVs, etc., all are a crock of ****. I recommend going turnkey out of state, unless you can get yourself to the site and be on top of it. Or know how to draft contracts for contractors to mitigated by their normal downfalls.
OR.... be optimistic that there are GREAT real estate agents/investors in the area that know what they're doing and have already made relationships with GREAT contractors!
I'd bet against that. I'd hope for the best, but prepare for the worst. I'd say my Georgia contractors have been the very best I've ever worked with--better than my own brother's crew. But still even with excellent communication, details, incredible problem solving we are still well behind schedule and over budget.
Well that's why I'm here, to show people there are good agents around and make those connections :)
If you're coming to BPCON, let's connect!
Hi BP community! I have gathered the courage to make on offer on my first investment property. The deal seems good:
Good B+ area in Columbia, SC suburb, great schools, 3 bed 2 bath, needs some cosmetic work (repaint interior, a few holes in the wall to fix, 1 broken window to replace, likely replace laminate flooring in 1 room, replace bathroom sealant)
ARV is around 220k, it's offered for 165k and already has a cash offer of 172k (I'll be financing). After cosmetic repairs it may rent for 1.7k
I believe it's a good deal and numbers seem to work. My realtor made a few videos for me and seems like no major work needs to be done. I have no idea of repair costs.
Any advice on making an offer considering I didn't see the property in person? Should I make a contingency of inspection offer? I don't want to loose a good deal but also to get trapped into a bad one. Thank you so much!
Out of state rehab? This **** is tough. Contractors, ARVs, etc., all are a crock of ****. I recommend going turnkey out of state, unless you can get yourself to the site and be on top of it. Or know how to draft contracts for contractors to mitigated by their normal downfalls.
What is the value of seeing the home in person if the prospective owner is not proficient at inspecting homes? I've purchased many properties out of state, and I haven't been inside a single one of them before closing. Some of them I've never even seen from the street in person. Walking through the home is usually an emotional thing, not a logical thing, and when you're buying a property as an investment, emotions should be removed from the equation.
Its all about having people you trust there to look at it: a excellent investor friendly agent and a fantastic home inspector are all I need!
Why is it that people are unwilling to buy a property they've never been to, but are totally cool with buying stock in a company they know almost nothing about?
Hi BP community! I have gathered the courage to make on offer on my first investment property. The deal seems good:
Good B+ area in Columbia, SC suburb, great schools, 3 bed 2 bath, needs some cosmetic work (repaint interior, a few holes in the wall to fix, 1 broken window to replace, likely replace laminate flooring in 1 room, replace bathroom sealant)
ARV is around 220k, it's offered for 165k and already has a cash offer of 172k (I'll be financing). After cosmetic repairs it may rent for 1.7k
I believe it's a good deal and numbers seem to work. My realtor made a few videos for me and seems like no major work needs to be done. I have no idea of repair costs.
Any advice on making an offer considering I didn't see the property in person? Should I make a contingency of inspection offer? I don't want to loose a good deal but also to get trapped into a bad one. Thank you so much!
Out of state rehab? This **** is tough. Contractors, ARVs, etc., all are a crock of ****. I recommend going turnkey out of state, unless you can get yourself to the site and be on top of it. Or know how to draft contracts for contractors to mitigated by their normal downfalls.
What is the value of seeing the home in person if the prospective owner is not proficient at inspecting homes? I've purchased many properties out of state, and I haven't been inside a single one of them before closing. Some of them I've never even seen from the street in person. Walking through the home is usually an emotional thing, not a logical thing, and when you're buying a property as an investment, emotions should be removed from the equation.
Its all about having people you trust there to look at it: a excellent investor friendly agent and a fantastic home inspector are all I need!
Why is it that people are unwilling to buy a property they've never been to, but are totally cool with buying stock in a company they know almost nothing about?
Having a solid team of people that you trust (including contractors) is crucial to invest out of state! I think its very relevant to the question, but I respect the fact that you disagree.
Having a solid team of people that you trust (including contractors) is crucial to invest out of state! I think its very relevant to the question, but I respect the fact that you disagree.
I didn't say I disagreed. I was talking about something completely different.