Deal looks good on paper, I want reasons it is not!

[Ryan Kurth]

Quick summary of the deal, and in order to predispose someone with an opinion, the one thing I find difficult about the deal is the fact that it is a condo in a small (5 unit) building that is not FHA qualified due to the amount of investor owners.

Location: NW Washington DC, a literal stones-throw away from a 4-year private university. On a quiet street, a 10 minute walk to a major metro line and a 20 minute walk to the heart of the city and one of the most popular restaurant/night scene neighborhoods.

Up for Sale: Bank foreclosure condo

This is a "junior" 1-bed, ground floor condo with 1 parking space and a back and front entrance. It is about 500-600 SF (need to verify, lets go with 500 to be conservative).

Full bath, full kitchen, newer, clean appliances in kitchen, bathroom is well maintained. Appliances and bathroom were weatherized for the winter.

I had a chance to visit the property for about 20 minutes and there were no smells or obvious signs of damage. The rest of the building seemed to be adequately maintained, not immaculate but kept well for what I assume are almost all renters.

Rent in the area for a studio/small 1-bed goes is around 1,100 - 1,300

HOA fees are $245 - seems high maybe for the amount of work that this building might require.

Bank just knocked the price down to $95,000.. the only thing I've seen sell in DC for <$100,000 was a 0.05 acre of land near this building ($99,000 sales price)

This property has been on the market for ~200 days now, and the bank has knocked the price down by a total of $20,000... What gives? Why do you think no one is interested? I understand there is no way to know why unless you personally visit the property or do further research, but I am really curious to hear some guesses!

Thanks!