I paid full asking price on the condition the owner take a second mortgage for 20% of the purchase price at 2% interest for 5 years.

Though they were making improvements on some of the buildings most were in very bad condition and were getting mostly superficial makeovers.

. . .1) a 60 year old house in dated but reasonably good condition is purchased for 75K2) the insurance agent's system determines that the correct replacement cost value for that square footage in that location is 190K3) it's insured for 190K, but with Actual Cash Value coverageWhat amount might be paid by the insurance company if it was a total loss shortly after it was purchased?

So I don't care about the condition, only care if it is a good deal.

There are however several other factors to consider including the area, condition, and potential appreciation although this should not be heavily weighted.

A house with top end (for the area) finishes in pristine condition is going to sell quicker and at a higher price than a house with lesser finishes and that is rough around the edges.

, I am now focusing on rent-ready units -or- units that are not in good condition, but that do cash flow at the time of purchase.For example, I purchased a duplex in Aug 2013.

basically yea - on our contracts we have attorney review, inspection, and loan conditions - the 3 ways to get out of a contract.

It's 15 minutes from my home in an area that I know very well and feel confident about the market conditions.

The property condition will also be a factor in the equation in whether or not you can borrow for the purchase?