Hello BP Members, I'm looking at a HUD property listed @109k thats been on the market for 161 days does that mean this property may have some issues know one wants deal with or could it be that its a 2br or it maybe over priced. Other homes in this area sell for 200k-250k How would I go about running the numbers and making a reasonable offer, also I must mention it will be a O/O
Could be a couple reasons...
- The property has some hidden problem. Asbestos? Constantly flooding basement? Or is it something concerning the property's history such as liens against the property?
- Overpriced. It doesn't matter if homes in the area go for 200-250k if they aren't 2 bed. Make sure you find properties with similar numbers. Lets just say your property is a 2/2/2 1500SQ craftsman on a 10000SQ lot. Make sure your comps aren't far off from that.
- Check out the neighborhood. Is there something wrong with the neighborhood(crime rate)? Or is it something concerning the neighbors such as their 100 pound barking Rottweiler next door?
- Something less common - It could be a 'fake' or 'bait' property. This is basically when agents, particularly in competitive areas, put up sold properties for sale. When someone calls asking about the property the agent says something along the lines of "Oh that property just entered closing yesterday... However I do have properties very similar to <insert property here> that I can show you".
@Jack B Thanks Jack B for your input especially about fake n bait
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