My little sister is currently renting in her midsize Iowa College town. She mentioned to me the owners are wanting to sell at the beginning of next year. The home is a very popular area for students to rent as it is close to parts of campus. The home was built in 1900 and has been a part of the owners family for a couple generations as a personal home as well as a rental.
I have visited her home a couple times with the lens of a visitor and not as an investor. The home has some nice character, as you would imagine a older home to have but also brings with it some high potential for plumbing and electrical concerns which would want to be addressed. I imagine the property will need 15-30k in repair/remodel.
I am new to the real-estate investment scene and could use some ideas or recommendations on how to approach a potential property like this. I have heard a lot of terms in podcasts and books but have not invested the time to become an expert in any of them at this point in time. Ideas I have had include: conventional loan purchase, seller financing, BRRR, whole-selling.
Knowing off-market deals are hard to come by, I want to approach the seller with a solid idea and possible plan but I don’t know which direction to go in a situation as this.
What are some recommendations and thoughts you may have with pursing this type of property?
