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Updated over 7 years ago on . Most recent reply

User Stats

65
Posts
10
Votes
Bret Blackburn
  • Investor
  • Fort Worth, TX
10
Votes |
65
Posts

Possible Deal- having 2nd thoughts

Bret Blackburn
  • Investor
  • Fort Worth, TX
Posted
I have that I'm dragging my feet on a little. I got a lead on a property in a neighborhood I've been working. It's 3/2 1320 sqft home that was redone about 10 years ago. The market value for this home is around $135k-$145k and the rental value for this home is $1/ft and rising. The owner was going to list with a realtor but I was able to talk him into selling to me directly for about $25k less than he was going to list. After taking a look at the house, I can see he did some DIY fixes when he redid. Not sure how up to code that might be. Plus, I couldn't find access to the crawl space and am not sure how much space is under there. I'm trying to clarify those things before moving forward. I would be purchasing cash and Refi out similar to BRRR strategy. My question is, would you go ahead with the deal with little money down if then cash flow would be only $1500 or less for the first year or so? The returns are great on paper. But is that worth it to deal with landlording and possible repairs for small return?

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