It’s a numbers game!

[Shaun Hunt]

So, I am currently under contract for a home I really want. Within a few hundred feet, I own another home and a duplex in the same subdivision.

The listing started out at 219K and within hours dropped to 204K. I have it under contract for $175. 

Two homes sold on the same street for 195K each. One of those had four bedrooms instead of three. 

The home I am under contract for is the exact same footprint as the one I own.

All was good, until the inspection. The current “property manager “ has let the place go to crap. No joke. The current tenants have three hound dogs, all “service animals” of course. They are inside dogs and the place smells like a dog house. The fence is trashed, the yard is trashed, the inside has to be gutted and put back in order just to get it to move in condition as were the two similar homes, previously mentioned for 195K.

Just guessing, it will take at least $15-25K to get it into a suitable condition. My “safe” numbers are $30-50K in rehab. 

After inspection, I told them I would have to be at $150K in order for my numbers to work. They said not a penny under $175 because original listing was $219K

My numbers say $117-140K however I was willing to offer $150.

Should I go for $175K or just walk away, like a boss?

I realize much more info is needed, but based on a hundred words or so...please consider a few words in response.

[Kevin Allen]

So if Homes on the same street are selling for 195 why would you pay 175 if it needs 30-50 in repairs? I would pass on just that info alone.