What do I do if I've seen the property, know the history, and have access to it?

What do I do if I've seen the property, know the history, and have access to it?

Investor · Elkridge, MD · Member since 2015 · 2 posts · 0 votes

I am new, and perhaps I worded the question wrong - tired eyes let me tell ya.  There is a property that I've been watching for 3 months.  One day while taking my kid to school I decided to inquire about it. There was an older lady walking her dog, I figured she might know something, so I boldly asked how long had the house been vacant and why does it have postings on it.  She'd mentioned that it was a divorced couple who left the property to their 21 year old who just couldn't afford it.  The 21 year old did something - if I recall - she turned the heat completely off during the winter to cut back on having to pay a heating bill (or gas and electric bill) .  This is what the lady told me.  She further mentioned that the fire department or police (I can't remember which) came out and told the  year old that she had to either keep the heat on or vacate the house.  The  21 year old vacated the house and it's been sitting empty for a year.  I walked up to the property and saw a few bank notices on it. So I called the bank. A rep from the bank tells me that the divorced couple still owns the property and that in order to get more information I should go to the local court house.  I've already worked up some numbers on it, and I know it needs extensive work, but I want to do this deal.  I have a dumb question  - am I supposed to advertise the property in order to find a few prospective buyers? Am I being too presumptuous to think that a divorced couple with a vacant property might want to sell?  Sorry if I was too wordy, I'm just trying to figure out what I'm doing.

Thanks.

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Kyle KargesPro Member
Investor · Gilbert, AZ · Member since 2015 · 59 posts · 11 votes
11y

@Angela Fielder 

Anyone can sell.  It just depends on their situation and getting divorced alone can be one of those situations.  I wouldn't worry too much about finding a buyer.  If you find a good deal you can find a buyer.  You can always go to your local Real Estate Investors Association and there will be plenty.  You will have to talk to people though.  You just need to continue pushing with the property.  Find out where it's at...if it's going toward foreclosure.  If it is you might be able to do a short sale.  Hopefully that helps.

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  • Kyle KargesPro Member
    Investor · Gilbert, AZ · Member since 2015 · 59 posts · 11 votes
    11y

    @Angela Fielder 

    Anyone can sell.  It just depends on their situation and getting divorced alone can be one of those situations.  I wouldn't worry too much about finding a buyer.  If you find a good deal you can find a buyer.  You can always go to your local Real Estate Investors Association and there will be plenty.  You will have to talk to people though.  You just need to continue pushing with the property.  Find out where it's at...if it's going toward foreclosure.  If it is you might be able to do a short sale.  Hopefully that helps.

  • Investor · Elkridge, MD · Member since 2015 · 2 posts · 0 votes
    11y

    Thanks, Kyle. You've given me clarity on this situation.  I was beginning to get a bit overwhelmed.

  • Ned CareyPro Member
    Moderator
    Investor · Baltimore, MD · Member since 2008 · 17k+ posts · 13k+ votes
    11y

    First of all this is not likely a deal. Why? Most leads are not deals. But the only way to find the deals is to follow up on the leads. The point is don't get emotionally invested in this. The goal should be to learn the process. If a deal comes out of it that is a great bonus.

    No you should not advertise a property you have no idea if you even have a deal on yet. You can advertise it if you have it under contract to buy. 

    Step 1 is contact the owners and see if you can do a deal. 

    • Step 1a is find who the owners are Use SDAT (Google it) this is the MD property data base.
    • Step 1b is find the owners this is the trickier part. Searching for people is called a "Skip Trace"

    Step 2 If the owners want to sell, inspect the property,  and evaluate the deal. 

    step 3 negotiate and put it under contract to buy

  • Real Estate Investor · Milford, PA · Member since 2014 · 395 posts · 299 votes
    11y

      @Angela Fielder if you have a real deal you won't have much of a problem finding buyers. With that being said your going to have to have a good grasp on the ARV and the repair cost in addition to any liens, back taxes, HOA dues etc. that may be owed. A trip to the court house may be in order and reaching out to the owner to find out what the problem is and if they even will consider selling.

    It sounds like you would like to wholesale this. If so I would listen to a couple of the wholesaling podcast. I can't remember which ones, I've listen to almost all of them now and am working through them again. But the one thing that stood out to me is having your numbers right and presenting them in a professional manner.  Putting a package together not just saying I have this property. 

    You may want to read my reply to this post. Driving for dollars it's a source for finding contact numbers to properties.

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