I am a 24 year old looking to purchase a small multi family as my first home. I recently came across a 4 bedroom,2 bedroom, studio 3 family in a great location in a suburb 30 minutes from Boston. Due to covid-19 concerns I could only see 1/3 units unless I had an accepted offer. The unit needs roughly $20,000 in material (I am a carpenter and would complete the rehab myself) which didn’t scare me away but I have a number of concerns:
1. It is a 2 floor unit and 2 of the bedrooms are accessed by a very steep stair case which cannot be rearranged (10 inch rise by 6 inch run roughly)
2. All of the windows are within 6 inches of the floor which concerns me in the likelihood that children would be in the unit.
3.The bathroom is fairly small for a 4 bedroom unit and relocating or expanding it would be expensive and difficult
4.The 4th bedroom is only 7x8 but space could be taken from a hallway and closet to expand it
5.I considered simply boarding off the staircase to the 2 bedrooms and renting it as a 2 bedroom but it makes me feel like I’m throwing money out the window
I submitted an offer for $400,000 ($399,000 list price) which was accepted. I was able to see the studio unit today and it was unbelievably small, about 150sq ft. I had planned on living in the studio but it is just not large enough for myself, my girlfriend and our dog. My dilemma is that I would have to either live in one of the other units and be paying $7-800 a month out of pocket or plan on an addition for the studio and hope that
A. The town approves it
B. The town can do so in a reasonable time frame despite covid 19 restrictions.
I have an inspection scheduled for Tuesday morning and I am debating on going through with it or not. It is a bank foreclosure and from what I understand they’re unlikely to take less than 10% from list price, which still puts me at paying in roughly $600 a month if they even accept it. I know they say good deals are made not found but I’m scratching my head here. Any insight is greatly appreciated
