All Forum Posts by: Charlie DiLisio

I agree with Jeff.  why take a chance on the sale of the property.  Many people don't even know what has been filed against their property until it is for sale.  clean title is the way to go and u will have recourse also in the event something goes amis.

I suspect that your friend was not licensed or insured either.   Usually the bank makes them produce his qualifications.  How did you not get receipts for the supplies that he purchased.  I wish you well but I'm not sure the banks policy on 203k draws and non-performance of the scope of work.  In 5 months time he could have built a complete house, was he only doing it part time.  Anyway, I wish you well and it is a good thing that it didn't cost you that much if it is only 3k.  Don't give up!  All the best to you and your project.

I would avoid HOA's if possible. SFH is the best way to go if you are interested in flipping or renting. Many exit strategies. As for needing work if you want a decent price point I always look for ones needing updating which increases the value quite a bit. I'm working on two in Lake Worth and find decent prices but needing updating. I wish you the best. Another downside of HOA's are the restrictions they impose on tenants and business vehicles.

If you are going to operate the window you need both of the cords for balance and stability.  unfortunately it will be difficult to repair without taking put the window.  

I live in Lake Worth and it really depends on the area.  the market is good now and lots of city improvements going on.  the closer to the avenue and the water the better.  i have two under contract there.  good luck.

Why does the owner want out? Perhaps it can be taken over as a subject too and work around the financing part of the deal. HML would know if your numbers are correct but you still would have to come up with the re-hab money and more. I think you have nothing to lose if you get it under contract first and shop it around for about 2 weeks to wholesalers you would know right away if there is any interest in it and maybe get 5 k from a wholesaler. You need lots more info about the property and how did you arrive on the 25k for re-hab? Wish you good luck either way.

Building violations get places on properties all the time and sometimes they accrue at 75 to 100 per day.  It goes as a lien on the property and you won't be able to get a clear title to it unless the violations are taken care of.  The building department can pull the property up and give you a list if there are any on the property for free.  At least you would have a heads up on what you are getting into.  Many do not rehab the property because of the hassle of getting permits and expensive repairs.  I do my own work so its easier for me to correct them but the list is a bargaining chip for you as well with the owner.  They may not be lying to you but just omitting the information.  

What Jarrad said. FHA 203 k loan is your best option in my opinion. Unless the owner is doing the loan himself a bank would not even consider the loan with half finished duplex. you would need a GC to qualify and he would be paid in stages. Check it out or pass on the deal. Owner finance or lease option works as well but I would be checking on building violations against the property as my first stop. Easy to do and save you lots of grief.

Depends on what state you are in.  In South Florida you do need a permit due to the hurricane requirements.  The local building department will have the answer you need.  Good luck.

Just an observation you mentioned a purchase price of 350 k up front and then you have a contract for 330k.  What happened to the 20k?  Also is the property free and clear or a mortgage on it.  Perhaps your 30% down will satisfy his needs for a subject to or lease option.  Not enough info to see the situation.  Good luck on a 5 day closing also because that is not enough time to check into the situation.  I wish you the best.