All Forum Posts by: Graham Mink

This sounds like a good deal, but cost of repairs is a wild card and unless you have experience estimating costs this can really pose big problems. I wouldn't recommend this as a first deal. I feel that there are too many things that could go wrong. Rehabbing properties can be expensive and full of pitfalls. Stack that on top of finding tenants and managing a 6 unit building for the first time and you could really end up in hot water. I would recommend a more straightforward deal that had less moving parts for someone just getting started. Maybe a 2 or 3 unit that doesn't need a ton of work. That way you can learn and even just see if you like it without getting in over your head. This deal has a lot of potential, on both the good and bad side. If you want to move forward I would recommend you buy and read (several times) J Scott's book on rehabbing properties. Keep in mind that it's easier to learn to walk before you start to run. Good luck!

I'll give it a try!

It is a double.

Rather than build a garage why don't you buy another property with a place to store your stuff already included?!

There was a regular door that accessed the back half. I use the garage door to access my half. Your layout may be different.

You could frame a new interior wall inside the garage that keeps the car separate from the utilities. I did this with the garage at one if my properties. Half the garage is storage for them, half for me. It only cost a couple hundred bucks and I used standard 2x4s and osb.

whatever you can get someone to pay. If you want the garage for personal storage see what it would cost you for that at a storage place in your area. Then weigh that amount against what you are getting for interest at your asking rental price. I would throw an ad on Craigslist at $1250 and explicitly state the garage isn't included. See what you get for call backs. Where does the $1250/month number come from anyway?

I would make one more attempt at getting a call back. Mention that you have been trying to get in touch with him and want to make an offer for over a week. Then say that if he doesn't call you back that you will contact the bank and let them know that you can't get in touch with the listing agent. If you are already fed up at this point then I would call the bank now. He's not doing his job.

It sounds like a decent deal to me. Looking at the latest info you provided I would offer $130k. I think there is plenty if room for the seller to come down and if you make a solid offer they might accept it. You might also want to inquire about owner financing, as that might be a possibility.

I recommend that you find a very good property manager, not use some part time realtor. Look around your area and interview a few until you find one who you are comfortable with. If you are gone for 9 months consecutively I would think about finding a tenant for your unit while you are away. Put your stuff in storage or rent it furnished. An experienced property manager will have more insight in your market.

For a first deal this looks pretty good. You are on the right track and there is no better time to start then now! Good luck and keep us posted!

Hi J, I don't feel that asking for the highest and best offer is dishonest. I agree that the agent has every right to do that. I was saying that it's dishonest to lie about having a second offer in order to manipulate the buyer to make a higher offer. Lying could be considered dishonest, right? Lol Great books by the way! Graham

I wouldn't be surprised if there was a second offer, but I also wouldn't be surprised if there wasn't one either. Some agents are dishonest and try to make the most they can. I feel most agents wouldn't do this since the repercussions can be severe if they get caught and also most are honest. I don't think it should have much impact on your offer. I would look at the numbers again and figure out what you are willing to pay and still be happy with the deal. If it's what you've already offered then don't change. If you can increase a little and still be happy then go up. If you lose the deal then you lose it, don't overpay just because someone else is willing to lose money. Good luck and I would love to hear the outcome!