Condemned Properties

This is my first ever blog some here it goes. After being asked so much about condemned properties I thought I would write this. Why do I focus on condemned houses (among other things) because other people are not, so less competition. I know you all think that condemned houses look like this:

However this is not always the case. Properties are condemned for unsafe living conditions. But this means a faulty breaker, or a tenant getting the water shut-off could be unsafe. You need to find out why the property is condemned. Code enforcement should be able to help you. Treat them as your friend instead of an enemy. Hire licensed contractors and enjoy the extra profits for your extra work.

So how do you find these properties?

1) Craigslist desperate sellers may try this, because it works.

2) Your own website (I have one just for condemned houses)

3) MLS There wont be alot of lookers, bring them an offer

4) Your City (Let me explain)

Cities will often take properties who have code violations. Once a violation is isused fines begin to occur. Those fines add up and often are assessed against the tax bill. At tax sale who wants to buy a condemned property, when they can not work on it right away. It will rot and get significantly worse while the redemption period runs, and is prone to vandalism that the lien owner could do nothing about. (Some states this is different but how our state works) So many communities now have land banks that these properties go to. You can often get these cheap (sometimes $1,000 or even less) but you will have to have cash. Many cities will require proof of funds for the rehab, signed quotes from contractors and sometimes a performance bond in case you don't complete the work.