Is Walk Thru Bedroom a Deal Killer?

[Matthew John]

Hey Guys, I found myself in a unique situation...

I came across a 3/2 at an attractive price the day it was listed on the MLS.

I have been out of town and I wasn't able to see it, all I could do was see the pics on the listing. I knew the price was attractive and it needed some minor work, it could be a potential BRRRR deal.

I decided to throw out a cash offer (sight unseen) and they accepted.

Listed price - $65k

Offer - $59k

Rehab Estimate - $20-25k

ARV - $110-125k

I have a 7 day inspection contingency and must close by July 31st.

Here’s the problem...

Since I haven’t actually been inside, I asked my dad if he would visit to check it out before hiring an inspector.

It’s listed as a 3/2. The city assessed it as a 3/1.5 (2 full bathrooms, 1 is in basement).

But he said there was only 2 bedrooms. The Bungalow upstairs is just 1 big room, but they’re counting it as 2 bedrooms.

The only way to access it as 2 different bedrooms, would be to WALK THRU the first bed to get to the 2nd.

Do you guys think this is a deal killer?

I don't think a Walk Thru bedroom would effect market rent, but as a BRRRR I need to be able to please the Appraiser.

Would the Appraiser consider this a 3 bedroom?

This house was built in 1927, it’s 1200sqft, and located in Michigan.

[Brian R.]

I have a duplex with walk thru bedrooms on both sides.  You walk into the first room, and then through the door in the wall separating the two rooms to the second room.  I have never had a problem renting it.  My realtor told me that the appraiser would count it as one bedroom, so I had to run my numbers as a one bedroom each side for my loan, but I have been advertising it as two bedrooms, with a disclaimer about the walk thru, when ever I have posted it for rent.  I have a couple living in one side, and a single mom and daughter in the other.