Urgent! Feed Back Needed-asap - Posted by James

Posted by BrokerScott (Mich) on September 07, 2003 at 18:49:29:

I concur with Barry’s assesment. Another point is that you need to make sure that market rents would cover the payments on a mortgage that size. Barry’s correct in regards to spend some time to learn. That’s the best investment you can ever make. Best, Scott

Urgent! Feed Back Needed-asap - Posted by James

Posted by James on September 07, 2003 at 17:50:02:

I just came across an add in the Sunday paper, that says,
owner needs fast $. $30k instant equity. 3br, 1 ba, osp.
$285k. Does this make sense, and is it worth looking into?
If so , could someone help me with this? I`ve never done a transaction in REI, before, ever.

James

Whoops! Read post below. NT - Posted by BrokerScott (Mich)

Posted by BrokerScott (Mich) on September 07, 2003 at 18:51:26:

nt

Re: Urgent! Feed Back Needed-asap - Posted by rocky

Posted by rocky on September 07, 2003 at 18:48:45:

Like Barry stated, 30k for a 285K deal isn’t a deal at all. The only way I would consider this is if the owner would carry or you could take it subject to the existing financing, the property needs no repairs at all, and you had a buyer lined up immediately. Or if you were looking for a residence, then 30k is a good deal. Otherwise, the costs of buying, carrying, and selling a place could possibly exceed 30k. Good luck, and good investing.
Rocky

Re: Urgent! Feed Back Needed-asap - Posted by Barry (FL)

Posted by Barry (FL) on September 07, 2003 at 18:06:19:

I have no idea what osp means or what market you are in, what the median price range for housing in your area is along with a host of other details like your exit strategy etc., but here goes. The guy is asking 285k and says there is 30k instant equity. Granted this is true, that means the property is worth 315k. 315 x 70% = 220k. No Deal!
Study your market more. Go look at 100 houses. Read more on this sight regarding exit strategies etc. Learn a little about all the different strategies and then pick one and become an expert at it. After you have that down learn another and so on.

Hope This Helps
Barry (FL)