Found A Good Deal. Need Help

5 Replies

Hi there ok
I found a motivated seller
The reason she selling it is because of pending bank foreclosure

Asking Price is $465,000
Market Value is $571,000
Here Some More Info:
Style: Brownstone
Exterior Condition: High Average
Exterior Wall: Masonry
Lot Frontage: 17.83ft
Lot Depth: 100.00ft
Lot Shape: Regular
Lot Square Footage: 1,783
Finished Sq.Footage: 2,139
Residential Units: 2
Commercial Units: 0
Commercial Sq. Ftg.: 0
Story Height: 2.00
Garage Type: N/A
Garage Sq. Footage: 0
Unfinished Sq. Ftg.: 0
Building Frontage: 17.83ft
Building Depth: 40.00ft
Construction Type: Brick
Neighborhood Type: Residential
Year Built: 1901

what I want to do is a double escrow or assign to another investor so I can make a quick profit. Look like a good investment but the problem is that I don't know what kind of REI method I should use. I mean I want to double escrow it or assign it so should I get it into a options or what? Also do I need to get a attorney or title company to do the double escrow or assigning process because I really perfer not to have one right now because I really don't have any kind of money to pay up front to the attorney or title company so I really need help. Please respond back ASAP
Please tell me what step should I take to make this deal go through.

fizzlemahoe,

If I were doing this deal, I would simply get the property under contract and list the buyer as "fizzlemahoe and/or assigns". Then, you would assign your purchase contract to your buyer and collect an assignment fee. It's just that simple.

The bigger question is whether this is a deal or not. Your post says this is a 2-unit. which translates to "rental" to me. You listed a lot of info, but not the info that is important to a landlord. What are the gross rents?

During the recent RE Bubble, millions of wannabe investors paid ridiculous prices for investment properties they've been watching too many 'flipping' programs on TV). Those "investors" are now starting to be washed out of the market as they fail. With fewer and fewer newbies to buyl these investment properties, the prices will drop to numbers that make more sense. A successful landlord will only buy this property if he can make money.

If you've got a RELIABLE buyer lined up, then I would say go for it. Just don't put down more earnest money than you can afford to lose.

Good Luck,

Mike

hi thanks a lot umm I don't know if it's a rental property or whatever I think 2 unit mean there 2 floor i think for the SFR I got the info from a government website which only work for the nyc area if anyone from nyc here a website you can use to check out property and stuff
http://nycserv.nyc.gov/nycproperty/nynav/jsp/selectbbl.jsp

so I wouldn't need a attorney right? All I need to do is get the right Real Estate form and make the owner sign it right?

fizzlemahoe,

With all due respect, you are NO WHERE NEAR putting an offer on this property. Two-unit means duplex. You certainly aren't ready to buy something when you don't even know what it is. That is an invitation to disaster.

In addition, there is a LOT more due diligence that should be done on this property before you make an offer.

Mike

so what else do I need to find out about the property? I don't think it's a rental property because she selling because she pending bank foreclosure so if she doesn't pay up she basically going to lose the house to the governement. I know what a duplex is but I didn't understand the term residental units 2 I mean even if it is a duplex couldn't I still invest in it and resell it or re-assign it to another investor? I don't want to rent it out or anything just assign it or double escrow it just to make quick profit. You think that this is a bad deal because it's a duplex and there more to it? what about this one this one is a residental unit 1.

Asking Price: $675,000
He said the Estimated Value is: $700,000
but I check out the governemnt website &it say Market Vaule: $757,000
Here more info:
Style: Old Style
Lot Frontage: 40.00ft
Exterior Wall: Composition
Lot Depth: 96.67ft
Garage Type: N/A
Lot Shape: Regular
Residential Units: 1
Lot Square Footage: 3,867
Finished Sq.Footage: 1,772
Commercial Units: 0
Commercial Sq. Ftg.: 0
Story Height: 2.50
Garage Sq. Footage: 0
Building Frontage: 19.00ft
Unfinished Sq. Ftg.: 1,311
Building Depth: 38.00ft
Neighborhood Type: Residential
Construction Type: Frame

Do you think this would be a good deal? Do you think I would be able to get through this one and make an offer? If not what other information should I get in order to know if this is a good deal or not or what so ever.
You think I'll be able to assign or double escrow this kind of property

fizzlemahoe....you need to make sure the market values you are getting are accurate....you say "He said the estimated value is $700k"...are you referring to the seller? If so, that's not a reliable resource.

What govenment website are you using to value a property? There are no websites out there that I know of that can give you a reliable value.

You need to know what the last comp sold for and when. You need to know what current comparable homes are listed for and how long they have been on the market. The key to pricing a successful flip is knowing what your competition is listed at and pricing slightly below.

The other big question is condition of the property....does it need work? How much? How does that compare to others on the market?

Good luck!