All Forum Posts by: Suzy R.

@Thomas S. I understand that my thought process on this purchase appears to be more ‘hobby’ oriented. I have been conflicted about how/if it can be an investment. And most people’s replies have been real helpful in getting me back into an investor mindset. 

It’s interesting that you needed to point out that I “definitely don’t sound like an investor.” I do have a few successful investments but I sure have a lot more to learn. 

Thank you all very much for your help. You’ve helped me to remember that this purchase still needs to make sense as an investment even though I am emotionally involved in it. 

In regards to getting a new appraisal... can I do that before I have the property under contract?

Thanks, @Greg Scott,  I really appreciate your thoughts on my post.  You gave me important points to consider.

I am not sure how to determine the ARV. I bet someone has posted about that though. I'll look into it.

I think the struggle I am having here, is that I want this property to work as an investment, but because it is the neighboring property, I have ulterior motives.  Really, I'd like the house to be an airbnb, so that: we don't have a full time neighbor that close, I can have a project (I enjoy decorating, cleaning and meeting new people), and so that I can have the freedom to use it as a guest house for friends and family visiting.  Eventually, if I don't want the hassle of managing an airbnb, I can turn it into a normal rental.  So, I guess, my thought process on this property isn't so much as an investor trying to get the highest return on my asset, but first rather as homeowner wanting to absorb and control the hillside and secondly as an investor.

Never the less, I will do the math like an investor as you suggested.  That makes perfect sense to me.  And I think, like you said,  just being honest with my neighbor from the get go, allows her to know where I am coming from and gives her the freedom to put it on the mrket should she require a higher price.

Hi BP Community,

I have a wonderful and kind neighbor who has used her house as a storage unit for about 20 years. She stores stuff there, but lives elsewhere.  She purchased the house for $299k in 1999.  In 2017 it was appraised at $247k. Zillow estimate is $357k.  It is 3 bed/1.5 bath on 1.45 acre just outside city limits.  The house was built in 1966.  In 1999 when she bought it, it was beautifully maintained.  Now it is in very poor condition with a large amount of deferred maintenance.  The land is overgrown and unmaintained.  She recently let me know she is considering selling it and would love for it to go to us. I have had a long time dream of turning this house into a beautiful furnished rental or B&B or airbnb.  I think it could be a profitable flip, but I want to keep the property. I am struggling with the following:

How to properly value this property considering the condition it is in...

How to value an awkward and somewhat unusable acre...it is shaped like a large splinter.

Wanting to maintain friendship with my neighbor and respect her and her property while still trying to get the property at a price that makes it a wise investment...

Emotionally, I really want this property because of what I would love to do with it.  Numbers-wise,  it would be very hard for this to make sense as a good investment.  

Does anyone have any experience with or advice for this sort of situation?

My name is Suzy and I live in Eugene, OR. I have a duplex, a single family home in a college area and joint ownership in an apartment complex in S. Cal. I have a "freedom number" I am working to achieve by buying more rentals. My trouble is that when I look at Zillow or MLS, there is SO much out there and so many that look like good deals, but I wonder, if they're such good deals, why are they still out there?! To find and purchase the units that I have, I worked closely with a realtor who is also an investor... and very busy. I would like to be able to confidently locate great deals myself. Any advice on this would be much appreciated! I'm also just wanting to start networking with people in the area, so if you're around Eugene, and looking to network, let me know! Thank you.