Investor · Montrose, CA · Member since 2015 · 14 posts · 0 votes
A friend of mine has a home in Murfreesboro that he's willing to sell me for what he owes on it $146K. He's in rough financial shape and doesn't want to get an unexpected "hey you need a new A/C unit" or other such call. He is unaware of any problems with the house, but he just wants out. The house is worth $180 to $190, probably with very little rehab. It's currently rented and has been for half a dozen years or so. Here's my question. If I buy it from him directly I figure I'll end up with $2000 in closing fees and figuring roughly $5000 for new carpet and stuff to make it tip-top for resale. Then maybe another $2000 in closing fees on the sale, plus $11000 in realtor commission. That leaves about $14000, which seems pretty skinny in case anything unexpected turns up? Any thoughts on how I could do this more economically. I'd like to help out my pal, but the reward has to be worth the risk.
I'm a licensed realtor in Middle TN. I'm new to the investing scene and I'm still reading, taking webinars, and getting all the education I can. So, I can only add my input as a realtor at this time. Have you run the comps for the neighborhood? Houses with a sales price between $100K and $200K are hot right now. In fact, multiple offers are not uncommon. So if the comps show that it would sell for what you think then it might be worth having it inspected prior to purchasing to make sure there are no gotchas.
To list or not to list on the MLS depends on the situation. I am also a licensed agent. I typically give the folks I buy from an option to list on the MLS or sell to me as is for cash. Most prefer the cash offer when in any sort of distress situation..
I am in the Boro I could take a closer look at it for you if you would like? If I knew more about the property abd situation I could advise you. If you dont want to post just send me a message.