Posted by BillW. on March 22, 2001 at 19:40:00:
Find real net cashflow and see what an investor will pay for it. I’d lock this up, subject to checking all income and expenses.
BillW.
How do I find the value? - Posted by Mel
Posted by Mel on March 22, 2001 at 19:16:46:
I live in a small place with even smaller realtors. I found a 7 unit priced $45,000 that brings in $33,500 in rents each year. All units have been recently rennovated and water heaters are new. The realtor has no idea how do deal with multi units and has NEVER listed one before. This is a HUGE house converted, and the county appraiser still has it appraised as a house. BUT IT IS 7 UNITS! I know this is a GREAT deal, and if we could keep it for income, believe me, I would. But we are new at this with bad credit and need capitol for further endeavors. SO, we desire to flip it. We already have contacts seeking investors with resonable luck. We are going to see the property this weekend (have seen many pics) and plan to put it under contract. How do we find the actual value of this thing without hiring an appraiser? I’ve called every realtor in the area to get the GRM, and nobody knows a thing. PLEASE, I need suggestions!!
Re: How do I find the value? - Posted by JPiper
Posted by JPiper on March 22, 2001 at 21:08:26:
Tie it up with contingencies for inspection, verification of leases, rents, and deposits.
Now market the heck out of it. When you get an offer you’ll know the value.
By the way, if this thing really produces rents of $33,500, I would think it could easily be worth $100K. But don’t take my word for it. The market dictates value. Tie it up, put it on the market, and see what offer you get.
JPiper