Posted by Jim IL. on January 26, 1999 at 15:32:06:
I am new to this business, so take what I say for what it may or may not be worth. But, here are my thoughts.
I would have a couple of questions first. Concerning the tenants, are they leased? And if so, for how long. You may have to honor the current leases, and this will stop you from raising the rent or removing the tenants.
Also, what is the FMV of the duplexes?
Are there others in the area to compare?
As always, make an offer, and make it low. This will at least create an open negotiation. (although, so I hear, sometimes not.)
So, far, I’ve subscribed to the “make offers, and make them often” principle.
I always offer less than I’m willing to pay, this way, if they say “yes” I am ahead of the game, and if not, then I can see where the seller sits with his price.
I recently offered approx. $15k less than an asking price which was already a good deal, and low and behold, the seller countered with an offer that was only $3k more than my offer. I am getting a good deal, and only because I asked.
hope this helps,