Home Condemned by the City

[Allen Fletcher]

Backstory: My wife and I were walking the neighborhood and writing down addresses of homes that we want to start mailing to when we came across a home that was boarded up. We talked to the neighbor and she told us that the city had condemned it due to human waste being smeared on the walls, bedbugs, and other gross stuff. The house is in the middle of foreclosure and is in decent shape not counting the gross stuff inside.

Data: 3 bedroom 1.5 bath 1216 sqft

ARV: $65,000 - $75,000 (This is conservative)

Repair Estimate: $30,000 - $40,000 (This is conservative)

I was thinking of offering $8,000 (after working out a deal with the city and bank).

Anyone have any advice or tips on how to deal with a condemned home?

Thank you in advance,

Allen Fletcher 

[Rich Baer]

@Allen Fletcher

      Condemned generally equates to raise or rehab it. If you buy it you notify the City immediately you are the new owner and your intentions are to rehab it. You want to make sure the City doesn't demolish it. You will need to pull all the proper permits and you should also contact the local inspector. I did a similar purchase in Baltimore City. It took aver a year but my $5,000 purchase turned into a $175,000 resale. But it was costly, time consuming and frustrating dealing with the city inspectors. Most likely I would not do it again. Good luck and let me know how it goes.

    Rich Baer, Esq.