Are there any possibilities here? Too green to know . . .

[Christina R.]

(Thanks in advance for any suggestions and advice)

There is a SFH property about 2 miles from my house that I drive by twice a day (to and from work). It's had a FSBO sign in front of it almost from the time I moved to this area, which is going on 5 years now.

(Right away that tells me that there is probably no deal here as it would've been snatched up already, right?)

Here are the stats I know so far

* older (over 70) woman wanting to use proceeds from this sale to retire to New England. She told me this house "is (my) retirement."

* inherited house from her deceased parents

* works out of state on contract basis for living money (right now is in the Midwest). So comes and goes to the area.

However, based on my observations she doesn't stay in the property when she's back home - haven't seen turnover with cars, any activity like it's inhabited, etc.

* has a local person who can keep tabs on the property for her

* she "had it appraised" 2 years ago and is asking about 100K more than the appraisal, and about twice as much as FVM for what is selling in the area.

The intriguing thing with this property is that there is acreage that goes with it. She has a good half-acre lot that abuts the property .

Clearly with it FSBOd for several years, she is not a motivated seller in the sense of the word but I keep coming back to the fact that there is this land with this house and that there MAY be something in here -- question is, I'm so new to investing, I don't know where to start outside of the straight I buy, I fix, I resell.

What suggestions would you give me to follow up with her? She told me people keep saying they'll come to see my property but they never do (which I know is because her ask is too high). At some point I'd have to go see it but what can I do PRIOR to that to see if it's even worth the time.

[Rick H.]

Chistina - these kinds of properties can be like an old flame who periodically calls, causing us to ask ourself, 'I wonder if...'

It sounds like you are zeroing in on the land. Maybe there's a deal. Maybe not. I wish the people who moderate and run this site had an icon that would automatically post the question: "What are the numbers?"

Break out the two properties separately (presuming that they are already separate parcels). If not, you'd have to estimate cost of splitting the lot, paying entitlement fees, surveyor, etc. Probably not a good play for a novice.

Sounds like this situation will likely go to the buyer who develops the best relationship with the woman and figures out the secret sauce to make a deal work. Are you ready to sit down with her? Would you rather pursue a different opportunity? Can you drive down a different road?