Bank Repo - Posted by batpro

Posted by Judah hardmoney Hoover on June 10, 2006 at 16:16:46:

the first thing you need to do is find a good mortgage broker. the numbers look good to me. you are buying and fixing up for 65% of the after repair value (ARV). PLEASE PLEASE PLEASE watch out for your septic system, they are a nightmare. i have never heard of anyone saying “that was easy, and the local government didnt give me any trouble” after septic work. buy the place do the work and you resell it for full retail value. you are not buying it low enough to whole sale it to another investor… you may be able to but you should not count on it, rule of thumb “never count on a fool to get you out of a deal” anyone that pays $75k for that place is a fool.

Bank Repo - Posted by batpro

Posted by batpro on June 09, 2006 at 11:44:29:

Ok, this seems like a great deal to me but I need some help.

2001 Radco 3 br, 2 bath, 1568 sq. ft. double wide on 5.5 acres. Tax assessed value is $107,800.

It has already been foreclosed upon and is for sale by the bank. It needs a new septic within 2 years and a new well. It does not have a garage.

I suspect I can get this property for $40,000-$45,000.


What is the best way to make money on this property quickly?

  1. What type of loan would be best for me. I have excellent credit 750 score.

  2. Should I tie it up with a contract then try to advertise it and sell it for $10,000 more as is?

  3. I really think I would need to invest in the well and septic and put a garage on the property to make it a faster sale. But I can add $20,000 for those costs. So therefore I would have $65,000 into it and it then would sell for $105,000 - $110,000 fairly quickly I believe.

  4. My main interest is to make money quickly. Any investors.

This property is in Minnesota. What type of loan am I looking at for the purchase and additional costs to fix up?

Interest rate?

Any suggestions what others would do with this property to make money? These newer doubles wides on 5 acres are selling for around $100,000 to $120,000 or more. The tax assessed value on the house is $75,000 and the land $32,000. A conservative rent rate for this would be about $600 per month in this area. Taxes $700 per year.