WHOLESALING PROPERTY WITH CODE VIOLATIONS

[Theresa Williams]

I am a brand new investor, I called an ad on Craigslist on a property that a former investor gutted, but didn't have money to complete. I checked to see if there were any code violations and there are because the property has be uninhabitable for so long, the City of Cincinnati said they will demolish it unless it is made habitable.  It doesn't appear to be attached to the property, but the new owner would need to post nearly $25K in bonds to keep the city from demolishing it.  The rep told me the new owner would get his money back when the property is deemed habitable.  The owner also owes back taxes $7K, and he wants a total of $27K. It has a lot that is hilly and detached cement garage.

The owner said that it needs about $50K of work. The ARV is around $110K. It is a 3 family, although I only saw 2 units. Did not see the basement. He said he didn't bring the key with him. The property is located near the University of Cincinnati, but also next to a multi-family unit in a low-income neighborhood.

Is there opportunity there to wholesale?