All Forum Posts by: Jason Behn

Travis Dawson Thanks for the input. It sounds like finding a lender will be tough in this situation and making that happen this morning practically impossible. At this point it may be worth moving on, saving some more and getting into something in a little better shape for a little more money. The headache doesn't seem to be worth the return at this point. This adventure has definitely inspired me to keep looking though!

Aaron Gordy Thanks for the input. The seller is willing to work with me and I would like to buy but time is the biggest issue at this point. He has it for sale by owner. I asked if I could get an inspection and he said there are already 4 offers on the table and he wants to sell as quickly as possible. He even called yesterday and offered the sell it at a lower price if that would help. Then take a portion of the rent each month as payment or some variant of that. I agree an FHA with a 203k is a solid plan. It is my understanding that I will have trouble finding financing with foundation issues and roof needing to be replaced.

Thanks @Harjeet Bhatti and @Josue Vargas for the advice. I think I may end up passing on this one and keep looking. There are just to many unknowns in this deal.  I really appreciate the different suggestions and points of view!

Thanks so much for the input @Harjeet Bhatti and @Michael Evans

The property really needs a remarkable amount of work including a new roof and foundation repair. The interior hasn't been touched since the property was built in the 70s.

I am going to ask the owner about seller financing but he seems eager to rid himself of the property altogether.

Hey @Account Closed 

Lol, it was a bit long winded. 

I do have an update on the situation. The property owner claims he has 4 offers currently and wants to close as quickly as possible. I requested a few days to get an inspection and appraisal done. He said he is going to take the best offer on Monday. Its 20k below asking, but I am still hesitant. He said he would prefer to sell it to me but can't afford to take a bath. I have known him for 7 years and he is a decent human being. I have no reason he isn't telling the truth on this. I'm just concerned I will lose money on this deal at 290k when current rents are 1130 each on both sides. Any thoughts?

Shorter this time :)

Hello good people of BP,

I am in a bit of a unique situation. I have been living on one side of a MF(duplex) property for the last few years an recently my landlord has put it on the market. He is out of state, retiring and wants to get rid of the property. I have expressed interest in buying the property he is asking 309k. Current rents are around 1130 on each side (100-200 lower than market) which reflect the current condition as there haven't been many modifications since it was built in the 70s. My plan is to take advantage of an FHA with a 203f to fix it up as it could use some work. ie. Foundation which was quoted at 6k, a/c duct work, fence work, and any potential plumbing issues that may result from the foundation repair. With the remaining funds i would make some basic cosmetic improvements to the side I currently live in such as flooring, paint, etc. Shortly after that is complete flip sides with the neighbors and raise rent should they agree to a higher rate or get new tenants at a higher rate to reflect the upgrades. I am confident based on comps on the street I could bump up rent to 1500-1600. Then do the same on the other side while living in it and eventually take out an equity loan and move onto another property once the Duplex is cash-flowing. My question is does this sound like a smart approach? My current to do list is get the property inspected and find an investment friendly realtor to help me. If there are any agents in the Austin, TX area that could help I would be very appreciative. Also, any input you guys could give would be helpful. BP has been a great place to get input so any info would be helpful. Anything I'm missing? The loan would be a 30yr fixed at 3%. Sorry for the novel, but I just wanted to provide as much pertinent info as possible. He as already had a few offers all lower than asking. I'm excited for this opportunity and would like to make it happen. Thanks so much!

Jason

Thanks for reaching out Jason Grote i would love to hear more about the meet ups Eric. I am am looking for a single family that is relatively new in the buda area. Preferably west of 35. Something that will cash flow 100-200/mo. after expenses. I have been browsing through Zillow and realtor.com mostly so an idea of MLS and comps would be helpful. I'm not looking to flip. Thanks for your help! Jason Behn , I live in the Buda area and @Eric Barnett has recently been putting together some meet-ups for the south Austin/Buda area investors. This might be a great resource for you. My wife is a Realtor and so we might be of help to you. What are you looking for? MLS listings, comps, or both?.

Hello everyone,

I am currently looking to buy an investment property in Buda, TX and would prefer to work with an investor friendly realtor who is knowledgeable of the area. Thanks for your help and happy Friday!\

Best,

Jason

Hello everyone,

I am currently looking to buy an investment property in Buda, TX and would prefer to work with an investor friendly realtor who is knowledgeable of the area. Thanks for your help and happy Friday!

Hey Tunde, welcome to Bigger Pockets! I'm in Austin as well.