All Forum Posts by: Allie J.

Thanks for all the comments, everyone. I bet @Steve Babiak is right, maybe this person just had  a longer live in time frame. Thanks for weighing in!

@Daniel O. and  @Brandon Halley - thanks so much for the response! I really appreciate it. 

I have run across the year occupancy rule, so that makes sense. What I am confused about is that in this thread, the writer was fully intending on completing his year stay to make it legal, then move out and repeat the process, each time staying a year in the new place. He seemed to think there were problems with this... I can try to dig up the original thread. 

So as long as you stay there for a year, you can leave and repeat the process no problems? 

Thanks so much! Oh... and Daniel I'm definitely going to use your Chief Tweeter:) 

Hey all! 

I am new to BP and considering my first RE investment in Durango CO. I thought I'd throw something out there and see if anyone cared to offer an opinion. 

I am curious for any pointers on how to evaluate a foreclosed home for a "live and flip."

I have found a foreclosed townhome in a small community (4 townhomes) about 15 minute drive outside of the small town of Durango. It needs major, major attention. There is mouse poop in the refrigerator, holes in the walls, some of the outside wood paneling is covered with a sheet of plywood (maybe it used to be a door? Maybe someone drove a car through it? don't know). It's got a nice, big detached garage. 

It is going for 129k. It is "2" bed and 1 bath, although the second bedroom is a bit of a joke - it's actually a really big closet. It's 940 ft^2. I think it would need 15-20k - provided no major/unanticipated issues come up.

One of the other townhomes is for sale. It's about twice the size, three bedrooms 2 bath, and they are asking 309 (dropped from 320). This one is by no means in great shape, but not bad.

How would you guys go about evaluating the potential of this home? If the nicer one sells for 300k, and I could get the foreclosed one into equal or better shape, would... 200k be a reasonable estimated sell price? 180K? Surely half the square footage doesn't equal half the price??

Any guidance for home evaluation would be much appreciated. Thanks BP!

Allie

Hey all! I'm new to all of this and really appreciate all of the threads.

Can someone explain something? I was going back through old house hacking threads, and someone was asking whether he could do the owner live-in thing for a year then buy a new place, rent the old one out, repeat. In the discussions folks were talking about creative strategies to not "get caught." Is this technically illegal? What are you going to "get caught" doing?

Allie