What to look for in vacant houses

Question

As a beginner I recently started driving for dollars and came across a house that is vacant and has been for many years. This property is a block away from the California coast, good school district, low crime and is by far the worst property in a good neighborhood.

So my question is:

When analyzing to see if the numbers work is there anything to take into consideration because it’s a vacant home in need of serious rehab. (Besides a huge reduction in cost)

Is it wise to have the idea of a complete demo and remodel?  And or making this property a multi family instead.

Jake Roland · Answer

@Chad Quintana Yeah sounds like it. Maybe the owner doesn't want it anymore and you can convince them to sell it to you cheap!

Chad Quintana · Answer

@Jake Roland hi thanks for the response.  The zoning in the area is capable for multi family. From a first look it id side with needing a new roof. It’s a small 2 bed 1 bath on a 6k + lot size so I think it would be almost a total gut.

Jake Roland · Answer

@Chad Quintana For changing a single family into a multi family I'm pretty sure you'll need to check into the local zoning because the city may not allow that. If it's been vacant for a long time there may be significant damage and you should look at the roof and windows first because if the roof has been leaking all over the place in there for years the structure may not even be worth trying to save. It may be good though! If it's not too bad and you may be able get a good deal on it. I'd say you should go ahead and try to get in touch with the owner and see if they would be willing to sell. I feel like the hardest part of it is getting in touch with an owner and then convincing them to consider selling. Good luck!