Possible Deal - Verify Offer - Posted by Scott (GA)

Real Estate Investing
1

Posted by Brent_IL on August 20, 2003 at 18:42:55:

5-6 offers are nice; ask him how many checks he has received. If you listen to sellers, you’ll be negotiating against yourself.

This deal is very close the way it is because of the large amount of back payments. IMO, your offer at $250K is the highest almost-practical offer. When you consider sales costs and possible overruns on repairs you will lose money at $280,000.

I’d talk to the bank and ask for forbearance or ask them to add the arrearage to the back of the loan.

Personally, for a speculative $20,000 profit, I think $35,000 in cash is better spent.

2

Possible Deal - Verify Offer - Posted by Scott (GA)

Posted by Scott (GA) on August 20, 2003 at 17:22:31:

Meeting with Pre-foreclosure in a little bit.

Details:
Owes 220k balance and 30k back payments and taxes = 250k total - no seconds or other liens

Values in n’hood are 325 - 350.

House needs approx 5k repairs

Plan to offer $255,000. based on my numbers I can go as high as 280,000 and still make a $20 profit.

Asked seller what he wants and he stated he just wants to see what we ahve to offer - He has called 5-6 other investors for their offers

Thoughts?

3

Re: Possible Deal - Verify Offer - Posted by Arthur

Posted by Arthur on August 21, 2003 at 19:29:48:

Its ok to make $20k on a $60k property, but on a $280k i think your risking too much. Don’t be overkeen to get a property, remember, there are plenty of other properties out there if you look for them.

Offer him $250-255k if you really want it. Remember, he needs you more than you need him. Time isn’t his friend.

Does the property look like a dump? Maybe a short sale could be done?