FSBO with previous damage

[Denise Munoz]

Hi there,

I am new to real estate and looking to acquire my first buy and hold rental property. I was wondering if you guys would be able to help me analyze a deal and provide pointers on pursuing a FSBO. The sellers are an older couple who are buy and hold investors. They've had the property 20 years and no longer want to manage/ rent. I asked if they would be open to us using a buyer's agent, and they said they would have to factor in the costs to their asking price. I've been doing as much research and reading as much as I can on the topic of FSBO and negotiating a good deal, but wanted to see if members of BP may have some advice or negotiating a better deal that a new member may be naive to see in plain sight.

Here is some information on the property:

Location: Valdosta, GA (Lowndes County)
Year: 1980- 3bed/2bath- 1,252 sqft
List Price: $84,500
Current rent $750/month
Reason for selling: Owners are older and no longer want to manage property/ rent
Other information: Property has been damaged due to tree falling on roof. Insurance claim on property restored roofing and all other damages associated with tree fall. New carpet, paint, and laminate flooring. House will include new appliances. Bathroom and kitchen cabinetry, sink and tub due for an upgrade. Fenced yard and attached carport.

Financing:
VA Loan $0 down, 4.5% interest rate- 30 year fixed (will be owner occupant)

My question is: what would you guys offer for a house with previous damage?
My initial offer would be $75,000, what type of information would you use to negotiate a better deal?

Here are some of my proforma numbers: