Posted by David Alexander on June 03, 2000 at 14:01:55:
If the seller is in bankruptcy and asking 30-35k above market when it’s fixed up, what makes you think they will ever come into reality.
That’s not anywhere near motivation but more in the frame of mind of Denial, while hoping some big hand is going to come down from the sky and save them.
Hope your not planning on being that big hand.
David Alexander
Help - Posted by Matt
Posted by Matt on June 02, 2000 at 10:31:08:
I have a question I think, by listening to your wisdom, you may be able to help me with. I came across a property I’m interested in. The seller has filed bankruptcy and has 20 days to sell the property. The owner is however asking more than what it’s worth-$130,000. I’m soon to be qualified for $100,000 but, it won’t be in time and it’s not enough. I think the property is worth about $95,000 - $100,000. It’s a 5 bedroom but needs much cosmetic work-dead trees, a shed that needs taken down, a garage that needs taken down and some siding and painting. Because it needs work and she is motivated I don’t think it will sell for that price but, I’m not yet qualified(within the next 30 days) and I don’t know how to deal creatively because she can’t own anything. Is there anyway I can please both of us? Any advice I will treasure. Thank you.
Why in the world - Posted by Carol
Posted by Carol on June 03, 2000 at 16:36:19:
would you want to stretch to purchase a property AT BEST at its full value, just because the seller is in BK and is asking over market.
Looks to me like you are writhing trying to figure out how to make a silk purse out of a sow’s ear… and then rehab it to boot.
Maybe there is something here I’ve missed, but if the property is truly of interest in and of itself, it would interest me at a cash offer of about 65k, supposing that your evaluation of 95-100k is accurate… cash out, close the door, and that, only if the repairs were minor in cost.
There ARE real deals out there. Wish someone had been around to cut me a new one when I first got started and insist that I do really GOOD deals… on the other hand, experience is a wonderful teacher.
Have fun!
Carol