All Forum Posts by: Kathy Moser

THANK YOU SO MUCH FOR THIS AS I AM WORKING ON MY OFFER, So Appreciate Bigger Pockets!

Hi Real Estate People!

Looking for input from people who have experience making multiple offers on the same property.  

I want to know what different variables I can offer or different way s to structure the offer?  Down payment, interest rate, length of seller financing contract. What else?

I've been chasing this 3 house deal for 3 years and it just came back to me having fallen out of contract twice.They don't need to sell, they own it outright, and can rent out one of the houses now, but they don't want the hassle of managing it or doing the septics. 

The original owner died unexpectedly and the family ended up with it.They did a few repairs with the deposit the second potential buyer forfeited. They replaced a roof, painted one of the houses, put all new appliances and carpet in one of them and raised the price by $80,000! 

The buyer who backed out also did a bunch of the title work but there is not yet insurable access to the property.

I'm trying to figure out how to structure a few different versions of the offer to make it attractive to sellers without over paying. 

Looking for the sweet spot that will make it more attractive than just renting out the house that is ready to go.

Thank you in advance!

@Kevin Sobilo, thank you so very much for taking the time to reply to my question.  I see the wisdom of what you are saying and I appreciate it!

Hi All,

I'm interested in buying 1 house out of a 3 house deal for my primary residence.  There is a potential buyer for the 3 house deal who is interested in selling me that house.  The seller will only sell the 3 together.

He has not purchased the deal yet due some unresolved legal issues, including an eviction that is underway but will probably take at least 3 more months.

He reached out to me after a few months of radio silence and reaffirmed that they are interested in selling to me and asked for an informal LOI.

My lawyer and realtor are advising to hold off on giving him a number until he actually purchases the property.  

I have done a ton of due diligence, I have all the as-is sales/comps for the area for the past 3 years and have a good idea on the cost of repairs that I know about and I know the market rents so I have a number in mind.

I'm curious whether knowing what I would pay for the house would influence whether he decides to proceed.

Do you think I should give him an LOI?

THANKS!

Heres the link for the USDA loan map https://www.usdamortgagesource...

Hey folks, when I enter numbers into calculator, like $1800 for rent, it changes it to $1797, anyone else have this problem?  Is there a setting I'm missing? Thanks!

You may also need to have an engineer do a survey and draw up plans for new septic.  I am going through this with property I am purchasing in NJ and town requires approved plans for cesspool to septic upgrade.  I'm in an environmentally sensitive area and got a bunch of quotes from contractors and engineers approved by the town.  I'm planning on $50,000 per house including engineering and septic and infilling old cesspool.  You also have to be 100 feet from the well in my area or case the well.  Good luck!

Hi Amazing BP People,

Still negotiating off-market multi-house deal. Owner says "I look at this as an investment property and base values off 6.25 cap rate."

The thing is that 2 of the houses are rentals and the third will be my primary residence so I'm not sure how to work that.

Any suggestions on how to think about, calculate, present back to him the cap rate with one house being primary residence?

Thanks!

Hi Amazing BP People,

Still negotiating off-market multi-house deal. Owner says "I look at this as an investment property and base values off 6.25 cap rate."

The thing is that 2 of the houses are rentals and the third will be my primary residence so I'm not sure how to work that.

Any suggestions on how to think about, calculate, present back to him the cap rate with one house being primary residence?

Thanks!

Hi Amazing BP People,

Still negotiating off-market multi-house deal.  Owner says "I look at this as an investment property and base values off 6.25 cap rate."  

The thing is that 2 of the houses are rentals and the third will be my primary residence so I'm not sure how to work that.

Any suggestions on how to think about, calculate, present back to him the cap rate with one house being primary residence?

Thanks!