REO under contract: Fire Before Close

[Matt T.]

Good Morning! I have an REO SFR under contract as of seven days ago. Yesterday I learned a detached single car garage caught fire and burnt to the ground. In the process it did some serious damage to a neighbor's detached garage as well. I had my guys take pictures and forward them to my realtor. He is going to ask the bank for a discount. Bottom line, garage or no garage, the numbers are still there (2.5% rent to rehabbed price and 50% rule).

I'm scheduled to close in a couple weeks. It's a cash purchase so financing/appraisals are not a factor. Not asking for legal advise, just curious if any of you have had a similar experience. Thoughts? Would you have any concerns?

Thanks in advance. I'm new to BP and learning a lot.