L/O Cracked foundation , Need advice - Posted by J. Ray (TX)

Posted by Bud Branstetter on February 08, 2001 at 24:38:55:

I’ve seen houses that the owner had estimates of 10-15K to fix the foundation. It took less than 5K. The engineers report detailed what was needed to fix it.

If the house is livable and not going to cause additional damage then I would reduce the lease a little bit and wait until the refi to fix it. Divulge everything that you are sure of. The actaul cost to fix is not a given. Foundation people are in the business to sell piers. A 203K loan can be used or even the money held in escrow to pay the foundation company from the ultimate refi/purchase.

L/O Cracked foundation , Need advice - Posted by J. Ray (TX)

Posted by J. Ray (TX) on February 07, 2001 at 23:10:10:

Called seller on a 3/2.5, 2 story, brick w/CH & A, $49,900K FIRM, 2200 sq ft, ceramic tile in kitchen, stain glass in master bath, appraised value is worth 80+k before the cracked foundation. It would cost $15,000-20,000 to fix, they have paid on house for 15 yrs and are selling for balance due $49,900 as indicated above.
Mortgage Pymt is 750 piti, Would be interested in doing a L/P Said she’d talk it over with her husband and I said I’d give her a call back FRIDAY. It this a good deal or do I steer clear?

A Scenario, if I L/P this home for to tenant/buyer for $53,900, $900/mo disclose to t/buyer how much to cost to fix cracked foundation ($15,000-$20,000) and appraised value being fixed $80+K Here’s what I’m thinking my take would be if I could get any bites from t/b’s:

5% option consideration ($2,695) + $150/mo spread X 12 months, difference between mortgage and rent and $4,000 on the backend, (roughly $8,495 profit if option exercised in 1st year) Would you do this deal? Though this is a lightweight deal, I Need some Feedback on this situation.

Thanks in advance.


Re: L/O Cracked foundation , Need advice - Posted by R.Barr

Posted by R.Barr on February 08, 2001 at 10:39:37:

What is an average cost to repair a foundation crack? I know a house that is in my neighborhood that has foundation problems and the owner wants to sell it for $20,000. I’m interested in flipping to another investor. But I heard that cracked foundations are very costly to repair.


Re: L/O Cracked foundation , Need advice - Posted by Fran

Posted by Fran on February 08, 2001 at 06:06:52:

Tried your e- mail it will not send, CK your adress.
I am A General Contractor E mail and explain the type
of problem.I will give you my phone number if I hear
from you.