Warzone Properties...why purchase them
In 2017, I purchased a bank-owned property through an auction not knowing it was in a warzone area. A place where drugs and crime are high. Baltimore city has chosen this area to renovate. Lately, a lot of investors have been calling and texting me. I am wondering whether to take them up on their offer. What do you think I should do? Buy and hold or cut my losses. Again, Baltimore city has been renovating this area but crime is still rampant. Thanks in advance for your advice. #myfirstinvestmentproperty #strikingitrichsomeday
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Most, if not all, of the texts and calls you are getting aren't investors. They are wholesalers. You are getting all this interest because (I assume) that you own it free and clear. There is no guarantee that they will get it sold for you.
Do you have it rented out? Is it making you money? Do you enjoy owning the property? If you sold it what would you do with the money?
Some of the wholesalers that are contacting you are actually pretty competent and can probably get the house sold for you. Others will just tie your property up and give you false hope.
Not sure where you live at or what kind of contacts you have in Baltimore but after answering the above questions and the decision was to sell the house I would probably post it myself in the local Baltimore Real Estate FB groups, BP Marketplace.
If you are local stop in at the Friday lunch at Spirits and meet some of the real players in the Baltimore market. Good chance you could sell the property there.
What street is the house ? Let me know if I can be of any help to yo.
Most, if not all, of the texts and calls you are getting aren't investors. They are wholesalers. You are getting all this interest because (I assume) that you own it free and clear. There is no guarantee that they will get it sold for you.
Do you have it rented out? Is it making you money? Do you enjoy owning the property? If you sold it what would you do with the money?
Some of the wholesalers that are contacting you are actually pretty competent and can probably get the house sold for you. Others will just tie your property up and give you false hope.
Not sure where you live at or what kind of contacts you have in Baltimore but after answering the above questions and the decision was to sell the house I would probably post it myself in the local Baltimore Real Estate FB groups, BP Marketplace.
If you are local stop in at the Friday lunch at Spirits and meet some of the real players in the Baltimore market. Good chance you could sell the property there.
What street is the house ? Let me know if I can be of any help to yo.
Thanks, David. I will take your comments into consideration.
Of note, currently, I am living in the house and renovating at the same time. Also, I enjoy saving money on renting.
Finally, if I sold the property I would purchase another one but in a better neighborhood and flip it.
#3 Managing Your Property Contributor
If you are living there and fixing it up and saving on rent, I'd finish doing the renos and wait. As David said, most will be wholesalers and if you do sell, I'd go with a realtor. You will pay for their services, but you will also get market value. Winter normally isn't the best time to sell as the market is slower. Do you have the money to buy another place before you put this house on the market?
Thanks for your comments, Theresa. I would be using the proceeds from the sale to purchase another property unless my savings catch up first!
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- Real Estate Consultant
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#1 All Forums Contributor
- Real Estate Consultant
- Summerlin, NV
its insane the amount of wholesalers that work the Balt market. things are looking up there though from what I see. For locals who understand and know who to work there its pretty nice.. rents to price ratios can be very high.
- Jay Hinrichs
- Podcast Guest on Show #222
Thanks for your comments, Jay.
@Michelle Mitchell cash flow.
As long as you can tolerate living there I would continue to live in it and finish the renovations. Once its market ready higher a Realtor to get it sold for you.
Long term success is found in quality real estate! If you can, trade up to a better area, but keep in mind, the market you sell in is also the market you have to buy in: competitive!
Good advice from @Theresa Harris. Wholesalers aren't out to get you the best market price. Realtors are.
I was not sure about that Danielle. For sure when it's selling time. My plan is to move into an apartment, put my extra stuff in storage and give the keys to the Realtor hoping for the best and highest selling price.
Thanks for your response, Danielle!
