Questions from a newbie - Posted by Shenesa

Posted by Joe Tx on May 11, 2000 at 18:59:30:

Hi Shenesa,

I am curious, what is happening in upstate NY?

The reason why I ask is I was doing research in that area I ran into some really low HUD appraisals! What trends have you noticed? I used to live in Rochester (Park Ave. area) and I don’t remember properties being that low.

Questions from a newbie - Posted by Shenesa

Posted by Shenesa on May 11, 2000 at 11:59:14:

Can you please explain the assesment value of a home.

  1. Is it what the house is worth according to the taxes that are paid on the house?
    2 Can we sell a house according to the assesed value of the home?
  2. How can I get a realator, preferably a new one, to work with me?

Thanks for your help,

Shenesa

Great Question…Long Answer - Posted by soapymac

Posted by soapymac on May 11, 2000 at 14:51:01:

It’s a great question because this goes around the board every once in a while. Let me answer your questions in the order you gave them:

“1. Is it what the house is worth according to the taxes that are paid on the house?”

No, the value that appears on the tax bill has absolutely no bearing on the true value of the house. That amount on the bill is what the assessors feel the PROPERTY (house, land, and other improvements) is to be assessed. There is no connection…nor should there be. The VALUE of a property is determined by the market itself through the use of comparable sales.

“2 Can we sell a house according to the assesed value of the home?”

Sure, you could. You could GIVE IT AWAY for all the assessors care. They are still going to make you “rend unto Caeser” for the assessed value. How much should you sell it for? Here again, doing research on comparable sales will determine an approximate vaue. (I’ll let someone else answer how to do comparables (“comps.”)

“3. How can I get a realator, preferably a new one, to work with me?”

Shenesa, you do not want a new realtor to work with you…and you do not want an “old salt” to work with you, either. What you want, ideally, is a realtor who is also an investor. The only way…the ONLY way…to get a realtor to work “with” you, is to make it worth their while. How do you do that?

Lurk around this board for a while longer. Read all the questions. Decide what area of investing you want to specialize in, then read the posts on this board of those who also specialize in the same thing. Joe Kaiser is well known for his expertise in the preforclosure market; Lonnie Scruggs specializes in “wobbly boxes.” However, I’ve never seen Joe tout mobile homes, and I’ve never seen a post from Lonnie on buying a home in preforeclosure. These gentlemen specialize. So should you.

After you have decided on what you are going to specialize in, and lurking on this board to gain experience in knowing how things work in that area, THEN “hit the street.” Drive the neighborhoods — or the Mobile Home Parks. Find something that looks good to you; then bring the particulars of the situation to this board like you have seen others do.

Walk it through…talk it through…make a financial calculator your friend…and listen to the mentors that post here.

Getting off my soapbox now.

Cordially,

Roy MacLean
"soapymac"

"

Re: Questions from a newbie - Posted by Sean Sullivan

Posted by Sean Sullivan on May 11, 2000 at 13:57:32:

What part of the country are you in?

Re: Great Question…Long Answer - Posted by Shenesa

Posted by Shenesa on May 11, 2000 at 15:04:18:

Thank you so much Roy for the information. As for me finding out my niche, I have already started hitting the streets and locating motivated sellers and networking with other investors around the area. I would like to flip to other investors and as my capital builds up, go into pre foreclosures and rehabs.

I have been following this site for quite some time now and I have taken a little portion from each dish and creating my own platter. So again thank you so much for your valuable information.

Much Success,
Shenesa

Re: Questions from a newbie - Posted by Shenesa

Posted by Shenesa on May 11, 2000 at 14:06:30:

Upstate NY.