The house appraises for 180k, but I want to be in it around 130k.
Each unit will rent for about 600 a month. Only 1 of the 4 units are currently rented, leading me to believe the repairs needed are extensive. I'm estimating blindly around 50k. I visit the property on Friday. I'll have better estimates then. Unless I could find financing for repairs as well, it will be a slow rehab with alot of my own work involved...which I don't mind. I still think it's worth it--and I could afford to foot the payments until it starts cash flowing.
Once it's rented. I'm not worried about vacancy much. The area is highly desirable. I have two apartments directly across the street that only need a week's turnover and they are rented again.
@Darrell Shepherd There is a redemption period of 1 year here. I was hoping to avoid that by buying directly from the original owner. She does own it free and clear. Buy maybe it would make more sense to buy the right to redeem the property after it is sold at tax sale? That may buy me enough time to figure out the $$ situation.
I completely agree that I should be making the connection before finding deals...I just didn't expect to land this one...and especially this late. I might be able to collect a finder's fee for an investor who I know could close the deal. Perhaps I should be happy with that.
...but I'm going to take your advice and post it as an offer first to other investors. I didn't realize bigger pockets served as a platform where people felt comfortable making deals with one another!
@Thomas Hart I noticed the condition of this property and researched it, realizing it was going to be sold at auction. I then befriended the only tenant, who eventually gave me a phone number for the owner. I just kept texting her, like once a week, being persistent but also respecting her space.
