All Forum Posts by: Johnathan Osborne

Thanks Pat that info is very helpful.  Are you a member of the local CREIA (carolina real estate investors association) and do you know of any wholesalers in this area?

I need advice on a possible wholesale.I have found a home that the owner needs to sale which was his parent’s home.The house is located 20 minutes east of Asheville NC in the town of Black Mountain.Black Mountain is a growing town with retirees moving into the area.The house is located down the street from a park/lake and about 5 blocks from the golf course.The owner states that the house needs about 30-40K of work to bring it up to code.Here are the numbers on the house:

3 bed , 1 bath, 1100 sq feet on a .23 acre lot

Per owner tax values is 142K and after repair value of 171K.The 171K after repair value he said was from a local realtor.He has a few quotes from contractors on repair cost that he says is in the 30-40K range.He is asking 75K for the home.I have not been inside the house.

Recent sales in the month of September 2014 within a 5 mile radius are as follows based on Zillow

2 bed, 1 bath 768 sq feet built in 1900 on .31 acres lot sold for 84K

2 bed, 2 bath 912 sq feet built in 1959 on .45 acres lot sold for 195K

3 bed, 1 bath 1000 sq feet built in 1919 on .29 acres lot sold for 158K

Based on after repair value, if the house is worth 145K based on taxes I’m thinking offer in the range of 45-53K for the property.

Here are my numbers based on ARV (145,000 x .70)-50K in repairs =51,500K for selling price.Also the property has an 8K lean on it by BB&T bank.

This would be my first wholesale as I have no other experience in real estate other than buying my own home.I do not have an investors list, but will be going to the local real estate meeting next Monday for the first time.Any thoughts, opinions, and advice on what I should do from here are welcome.

I have a question about flood zones. I am interested in starting a mini storage business and have found a property great for this business. Recently our community has gone through some changes and a new four lane highway has been built in my area. The property is located on this highway and is 1.8 acres for 26K. My concern is that the property is only 120 feet wide and a 3 feet wide stream borders the edge of the property. The flood zones for this property is as follows: Zoned AE which are areas of inundation by the 1% annual flood chance with 2% chance of wave run up with elevations less than 3 feet above the ground. AE zones will generally extend inland to the limit of the 1% annual-chance Stillwater flood levels (SWEL). I'm not really sure what this means and my realtor is verifying that this property is not considered a flood area. I have lived in the area for 7 years and have never seen this area under water.

Thanks for any advice,
Johnathan