Possible Deal in Texas

[Tony Whitaker]

So, I am new but consistently trying to find deals. I joined a group in the Permian Basin, and they throw properties every so often. 

Last week I got an email for a home and here are the numbers.

Sale Price $115k

1564 Sq ft 3 bed 2.5 bath

Built in 2003

MidCad Assessed Value- $162,570

Zestimate- $215,599

Rent Estimate: $2400 (rent prices in Midland are high)

House down the street sold for $199k

Needs minor roof repair,  siding repair or replace stucco, new floors,  new doors,  replace windows,  deck repairs,  minor electrical repairs,  HVAC repair or replacement, Re-do Master bedroom,  water heater repair, new appliances

Buyer pays closing. bring best offer

I want to get into buy and hold, and this looks promising especially with Midland prices. Also, I am in high enough level position in an energy company to know things are happening. 

Thoughts?

[Greg H.]

@Tony Whitaker

The repair estimate could easily exceed $30-40K.  I would not recommend this type of project for a first timer.  You just dont know what you dont know

Moving forward some of the metrics you used are worthless. Zillow in Texas is worth about zero. Texas is a non disclosure state. The tax value is the same. Only true current comps from the MLS should be relied on