Wow, it's been a year since I was on BP, good to be back. I've been enjoying my retirement in CO but haven't found any deals here, but I have a chance to get one of my flips in TX back, if I want it. Here's the scenario:

I flipped this place in March 2003, paid $50K, sold it for $65K the same day, my typical deal, $2K down and I carry the note @ 8.5%. Anyway, almost 7 years in they are outgrowing the house and said they would "just take enough to MOVE to release the place". They said a local RE agent told them it probably comps at about $85K, loan balance is $59K.

I asked them for an approximate number on what it would take to move and they said about $5K (HA!), including U-haul, all deposits for a rental (they're probably going to move in a year or so anyway and may not be done cranking out babies), storage unit rental for the junk stored in the shed, cable and utility hook-up etc. I almost choked whent they said $5K, but they may figure that's the only way to get ahead at all with me.

My thought was that if I could get it for $2K-$3K, do a quick paint and new carpet in the bedrooms, collect another $2K downstroke I could increase my monthly income, extend the payout and maybe end up gaining any profit that they might. They've been trying to FSBO it but everyone who calls is looking for owner finance, the area is not a high income town.

I looked at some listings on Realtor dot com and $85 seems a bit high, especially for a "traditional" sale, but on my deals NO BUYER has ever questioned the price or interest rate, they're just glad to pay the downstroke and have payments they can afford.

I spoke with an agent friend in the town yesterday and she was visiting family 100 miles away and said she'd run some comps on Monday but she thought $85 might be high. Although, she knows my deals and knows how people react to them and the fact that this place is 100 yards from the best elementary school in town and walking distance (1/2 mile from the grocery.

Right now the P&I I'm collecting is $485 so even if I have to pay them more than what I'd collect from the next buyer, and spend Christmas painting and cleaning, IF I could turn it for $77K, I'd have a new loan (assuming 8.5%) paying me $577, almost $100 more per month, with 30 years to run instead of 23. Actually my loans, including the current one balloon in 10 years, so I could make $15K on the turnover and extend my payout 7 years.

Ideas? Suggestions? Toss some stuff in here guys.

Glad to be back

all cash

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Taking one back in TX

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