Same Condo Development but Prices Vary by $20k

[Sam Sjoberg]

Hey BP,

So I'm looking to do my first deal and I (think) I have settled on a market that looks like it will be solid for buy & hold cash flow investing. The development I'm looking at has what appears to be identical condo units, same 2/2, same sf, same year built basically right next to one another however the asking price varies by $20k from one listing to the next. The cheaper listing doesn't have any pictures or description (immediate red flag).

My question here is how would you guys approach doing your due diligence to figure out what is making up the large disparity in price? My initial thoughts without talking to either listing agent are things like:

rehabbed recently vs not

fire damage/other unit damage

backed taxes?

Thanks in advance for your input. Treading carefully as I was once told if it looks too good to be true well then it probably is.

[Robert Afra]

Chris Martin
Sam Sjoberg
Chris, you make a great point. Sam, let's say you buy a property all cash. If the property doesn't meet the owner occupied threshold, it will be difficult to secure financing. When you try to sell that property in 10 years, your buyer pool will be limited to only cash payers!