All Forum Posts by: Maria Murphy

Yeah. Anyway, this question is now moot. Turns out, while we were negotiating, they got another offer they accepted for one of the 2 units. Only 1 unit remaining but they don't want a pro-rated amount for it, so I am out!

Well, they want to redeploy the capital so having them kept with a third party negates that purpose. They don't need it to finish the rehab, they told me they would pay the rehab at delivery.

Basic research on the persons doesn't yield much result but we don't have the same background check possibilities and tools you have in the US.

In any case, I would have my local lawyer look at the deal before signing anything.

That’s the thing, it would be going to them, directly. In France (my home market), money goes to a segregated account. In Spain too for new constructions per law but this is a rehab, so this rule doesn’t apply. Which is why I insisted on having the balance paid on delivery.

Hello,

Trying to source deals, I've been reaching out to many RE pros in my market (Spain) and came to be in touch with a family office that offered to sell me, among other overpriced assets, the whole fifth floor - subdivided in 2 apt - of a building they're renovating in the city center. The building has 8 units, all the other units have been sold.

The renovation work will be done by April 2025. The deed of sale is to be signed at the end of the year as the seller won't be able to sell it legally beforehand as it bought it at a judicial auction and the judge order will come in November.

The price agreed is €450K, that is less than €3K/sq. meter. Renovated or new residential units in the neighborhood sell at €4K+/sq. meter. I've had 4 different local RE agencies assess the asset at €580K, €650K, €730K and €800K. 

Regarding payment terms, the seller wants 10% at the reservation of asset (this month), 10% in a couple of month, and the balance at the signing of the deed of sale in December. I am not too kin to pay it all before the renovation work has been completed and have negotiated to keep 15% to be paid when renovation work has been completed, so that the seller has an incentive to complete the work adequately. But I am having second thoughts and think this might not be enough.

The seller tell me they are willing to sell it at a significant discount because they need to rotate assets and redeploy capital. I'm generally skeptical and only half convinced by this explanation. I don't see why the seller would accept such a large haircut only to have the asset sold a few months before.

Am I missing something obvious?

Thanks,

Hopefully! Some of the agents I talked to told me they didn't have the time or resources to do this kind of work, so here I am. 

But yeah, but for one, I don't think the agents I am in touch with are that helpful and geared toward working with investors or willing to share good deals with foreigners/people they don't know.

Good to read that you're able to find adequate opportunities. Thanks for offering your help, I'll get in touch through DM.

Hello everyone,

I bought my first apartment in Valencia (Spain) last year through an agent, for (student) rental purposes. It was a pretty good deal and an introduction to the market. The agent told me that he has such deals more or less monthly, but failed to deliver any others in a year. Turns out his own boss has been asking him to send the good deals his way since I bought mine. So this source pretty much dried up before he could deliver on his promises.

In general, after watching the market for almost a year, it now seems clear to me that agents are sending me ok deals at best, not good ones. I haven't seen more than 3-4 good deals on the MLS (Idealista/Fotocasa) in a year and it's always almost impossible to get them (sold in hours or fake listings).

That is why I thought that I would take the matter into my own hands. I've compiled a list of all the vacant lots and dilapidated buildings in my areas of interest, along with their cadastral references. My plan is to request the "nota simple" for each of them to get the name of the owner(s). Then google those names to get their contact information to see if they are interested in selling and on what terms.

I tried this on a couple of properties with mixed success. For one, I was able to find the owner and message him on Facebook. For the other, it got me almost nowhere (many namesakes, no social profiles, no phone or email or address...).

Any tips?

I am not sure what else I can do to be able to locate owners and contact them, short of hiring a private investigator. Maybe there are some DB or other means I am unaware of.

Thanks a lot!