newbie with brain cramp! - 1st deal - Posted by dakotajim

Real Estate Investing
1

Posted by Dakotajim on June 19, 2000 at 11:35:14:

Paul,
Thanks for the response. To answer your question, No I wouldn’t pay 54K for it. Having talked to the owner a little more, I found out he’d realy like to cash out and take the money to pay some bills and have some left over for a downpayment on the next one. Since that doesn’t fit my game plan, I’ll wait until he doesn’t sell it and gets more motivated. Thanks. Jim.

2

newbie with brain cramp! - 1st deal - Posted by dakotajim

Posted by dakotajim on June 16, 2000 at 08:16:43:

I just got a business phone line set up and got a call
yesterday from a guy wanting to sell his house. He said
he was going to list with a realtor but saw my ad and
thought he’d give me a call first. I wouldn’t necessarily
call him motivivated but didn’t sound inflexible either.
He wants to sell and try renting something closer to his work.

Here’s what I gathered from him:

  • 2br/1bath
  • 822 sqf. up
  • 271 sqf. down (basement- house also has a garage
    tucked under the first floor)
  • roof is in good shape
  • needs painting
  • asking 54,000
  • CMA from a realtor last year put it at 54K
  • this years tax assessment at $54,304
  • owes 35,000
  • PITI: $375

I drove by the place, nothing special, but not a complete
junker either. I’m not really interested in being a landlord, especially on a lower priced house like this. I’ve got 1K to work with but prefer not to tie up much of my $ in the deal.
I’ve been reading and studying this REI stuff for several months now and thought I understood it until it came time to actually present something to a seller. Got any thoughts on this. Is it worth messing with. I appreciate any and all responses. Thanks. Jim.

3

Re: newbie with brain cramp! - 1st deal - Posted by Paul

Posted by Paul on June 17, 2000 at 22:49:40:

general rule #1 ask yourself " would you spend 54,000 ( even if you could get that much) for a TWO bedroom when you can get a third for 5 grand more? and look how small. My expierence is three bedroom min 1100 sq feet. but its your decision

4

Re: newbie with brain cramp! - 1st deal - Posted by Paul

Posted by Paul on June 17, 2000 at 22:35:31:

general rule #1 ask yourself " would you spend 54,000 ( even if you could get that much) for a TWO bedroom when you can get a third for 5 grand more? and look how small. My expierence is three bedroom min 1100 sq feet. but its your decision