Hello All,
For a long time now (probably 4 years) I have thought, analyzed, questioned, listened to all BP Podcasts, etc. in hopes to make the jump. I am in an expensive market (Sacramento area) and I am from Goliad, TX. Near there is a city called Victoria that I am looking to get into. I married an amazing woman who also loves the idea of real estate, but we are back and forth on this and thought we would reach out for some help from people who may have actual experience.
Opportunity Outline:
Asking Price: $110,000
On market for 180+ days
ARV of roughly $133,000
Rent for $1300-1,400
Approved for loan at 6% with a 6 month seasoning period.
Repairs of about $15,000 (Texturing some walls, replacing all flooring, maybe new cabinets, one wall will need sheetrock installed, some new sections of hardy plank on the exterior, painting the exterior, some work in the bathroom such as painting and flooring)
Our realtor claims that the selling agent won't budge on the price. Although the sellers may "just pull it off market and rent it out themselves if it isn't close to asking price." I find that weird considering the listing agent would then have nothing to gain? This is also a property of a recently deceased mother who has left it to her kids.
Questions:
Is my renovation budget realistic assuming that should I have to, I can fly there economically to do a lot myself (including demolition and flooring and maybe walls)?
My agent is claiming that offering less than asking isn't worth it. Am I wrong in telling her to just go in where I am comfortable given that it has been on the market so long? I am wanting the property for $100,000.
Side notes:
- I have family there and would leverage that (a little) when it comes to staying there when needed to do repairs, and also having them help some.
- If you feel like really having fun, here is the listing https://www.redfin.com/TX/Victoria/119-Avant-Garde-Dr-77901/home/142027202
Thanks Everyone!!
Brooke and Nate
