All Forum Posts by: Heather C.

Thanks for the responses. I have contacted our real estate agent and asked for some comps. Hopefully, he will give us some insight into what the house could sell for if fixed up.

I just looked on Zillow at a foreclosed house that we are considering (http://www.zillow.com/homedetails/1712-Loberg-Ln-Jonesboro-AR-72401/76106778_zpid/) and I'm just baffled how the bank can drop the price from $123,000 in November to $79,900 on January 1. What am I missing? House appears to be in decent shape so I just don't get it. Last sold in 2002 for $104,000, but assessor shows value at $131,200.

We have been looking at house that seems to have a lot of potential. The only drawback that I can see is it has a LOT of wallpaper. I know it may seem crazy, but I'm just wondering if the wallpaper doesn't come down easily (which I bet it won't because it appears to have been there a while) how difficult it will be to fix the walls. My husband-the one that does most of the rehabbing-is pretty turned off by this house only because of the amount of wallpaper. I'm just wondering if we can hire this out, but worried about what's under the wallpaper. Have any of you actually turned a deal down just because of the wallpaper?

I know there are risks to financing the 10% down payment for the buyer, but just curious if any of you have had any luck doing this. We have an $80,000 rental that tenant wants to buy and we have about $35,000 in equity so considering financing the $8,000 down payment. Does this make any sense? Buyer has good credit and qualified for loan, but doesn't have the cash saved up for the downpayment.

Here’s the deal we are looking at:House last sold for $122,000 in 2008, asking price is $69,100.

There are 2 potential problems with the house:
1.There is a small spot of mold in the master bedroom closet.Should we hire a professional and get an estimate of what this may encumber before we even make an offer?Could there be other mold in the house that we can’t see?

2.There is some settling in the house and there are about 5 places that the walls/ceilings have cracked.We are worried that there could be a major foundation issue that we are not aware of.Who would we hire to check this out?Would a home inspection do any good?

We really like the house and could fix it up with paint, flooring, etc and think we could make a pretty good amount on it, but I’m just worried about these 2 potentially major issues.We have done 8 rehabs in the past, but have never dealt with mold or foundation issues

The house is listed for $69,000, last time it sold was for $125,000 in 2008 2 issues with the house: 1. No access to the house from the 2 car garage. Is this a deal breaker for a buyer? Should we just budget this and do it? I just can't imagine not being able to get into the house from the garage. 2. The master bath has the vanity/sink outside of the bathroom in the corner of the bedroom. Should we try to make bath bigger and move this inside the bathroom or just try to find a unique piece to go there?

Guess my other question is: When you redo your loan (we can only get 3 year ARM), do you amortize over 15 years or reduce by the 3 years you have already paid and only amortize over 12 years?

We have 8 rentals and I am torn on which method I want to pursue:

1. Amortize over 30 years and have low payment/large cash flow
2. Amortize over 15 years and have larger payment/smaller cash flow

What's your method?