All Forum Posts by: Bob O'Neill

Thanks for the info. Your borh right. This property looks to be too much work for the reward and the owner most likely accept a price I'd be willing to py..

@Bill Goodland. Hi Bill..thank you for your response.Yes the bid I received was for 25000.Its from a contractor I've worked with before.. I know I will be spending more for other things there also..

@Jaysen Medhurst Thank you for your response.You are right that 25000 is not enough. The 25000 is only for rip, raise walls ,and reroof plus modify layout.

Thanks for the reminder that once I open up the walls I will need to change things to current code.

The kitchen and baths are OK and in working order. Rents I found are between 1600 and 2000 at the high end.

The Arv is estimated to be 230000.

The owner is wanting to sell,but with these issues what could I possibly offer without totally insulting him but still protect me?

Thanks again..

I have a property I have an interest in which is a single family home to be used as a college rental, but not sure if the numbers work.

They are Asking 179900

2 bed 2 full bath (trying to get it back to three bedroom)

1694 sq ft

House needs support beam replaced or at least jacked up and supported better. Can feel uneven floor in kitchen area.

House is a Cape that was changed over the years. Entry into second floor has low overhead and a poor layout. They added a nice master bedroom but "killed" one bedroom to do it. You need to walk through, what once was a bedroom, to get to master bedroom hallway. The second floor has poor layout and a low pitched room which takes a lot of space from existing bedroom

I want to remove and raise the roof to give a normal height ceiling. Redo the layout of second floor to get back the lost bedroom.

The house has a septic system but upon examination it is pretty much at the end of life.

The construction cost I have an estimate of 25,000 plus another 10000-12000 for new septic system.

Then there will be siding costs..unknown at his time.

City appraisal from tax Department is 159500

Assessed at 111650

The question I have is how to work the numbers to make an offer to make it worth while.

Any advice or help will be appreciated.

Thank You

Thank you Joshua and Chris for your reply.

The property has been listed for a month.The only issue scaring people from seeing it is it needs flood insurance thanks to the new FEMA map drawings after the hurricanes. What do you feel would be a fair counter offer for both of us?

I think my realtor wants this over with and to move on. Moving me towards the deal.Just aggravated I have to pay commission and taxes on 190000 which I'm not really getting..

I am selling a single family rental property for 189900.

I just received an offer for 190000 with 11000 seller concessions for closing.It was offered with a Hubbard clause/fha loan

Also the buyers will have no initial deposit as they are using proceeds from the sale of their home and the money on hand will need to go to inspections.

Buyer realtor said this :

They are ready to put their current home on the market as soon as they are under contract. They are also ready to be aggressive and get the home sold so they can wrap this up and move back to where the wife grew up….."

My question is the concession of $11000 seem like alot?

What do I pay real estate commission on 190000 or the 179000

What taxes do I pay on since this is a rental property and will have capital gaines? The 190000 or 179000?

And of course, is this a good deal or should I move on?

Any help would be appreciated..

@Kenneth Reimer. Thank you Ken. Appreciate the advice. I will do what you suggest..

@Tim Herman. Hi Tim, buyer offering 155000 cash..no mortgage..5yr term balloon payment at 5th year for remaining balance of 30000..interest rate of 4%

eviction time usually 3 months. could be longer..expense I don't know..

I would be in first place lien on property

Thank you both for the information and ideas. Very much appreciated. I will be seeing an attorney tomorrow to go over this deal.  A credit report was done and the buyer has a low credit score mid 600's, but owns her own hair salon for 15 yrs. I was going to see if I get get the time down to 3 yrs if possible. What percentage rate do you believe I should ask for considering this type of deal?  

Thanks again.

I never did a deal like this before. Is this a good/reasonable offer?  The time seems too longs to me...Whats a reasonable percentage rate for a deal like this?  Any pitfalls I need to watch out for?  Sorry for so many questions.. Any help would be appreciated.