I'm excited

8 Replies

Hello Bigger Pockets friends! I just arrived back in the USA and an very happy to be here.

I have been monitoring a duplex in a very hot property area for some time.

It was under contract but that just fell through. Its currently priced at 200K and $89/sq ft which is substantially lower than the zipcode average.

So I called the realtor to ask to see the inside. He informed me its a Fannie Mae Home Path property and there is currently a demolition order from the city scheduled for 26 July. He said no potential buyers want to tough it knowing this information. I asked what was wrong with the property and he said he tried to speak to the city but couldn't really find out.

I said 'so price is negotiable, considering the demolition order?' and he replied 'sure, 160-165k'.

I schedule an inspection with him this afternoon. Meanwhile I went to the property last night alone. I had a pretty good geezer around the premises and through the windows. The back unit was open so I got to tour through there.

Having inspected hundreds of properties in Miami, this is one of the better rehab jobs I've seen. Its looks like concrete block construction, needs new kitchen and bathroom, some doors and windows. For the life of me I can't see what part of its needs to be demolished.

So my plan is to go with a contractor tomorrow and then try to speak to the city to see what I can find out about what the code violations are and the potential of stopping the demolition.

By the way, would the current owner (Fannie Mae) be billed for all demolition costs?

Depending on what info I can attain from the city, I'm thinking a low ball offer, all cash, with quick close may potentially float.

Does anyone have any advice to offer? (I mean helpful advise, not doomsday opinions). THANK YOU

Hi Nat,

I was wondering if you made it here. I would do the same thing. I was looking into the same thing in Lake Worth. Ran into the same issue. Seems difficult to get that info. Good luck

Nat,

Below is a link for Miami-Dade county building code violations:

http://www.miamidade.gov/building/regulation.asp

I would try doing a search using the properties folio number because it is often tricky using the properties address.

Anyways, this link will tell you everything you need to know with the citations, fees, and any order for demolition on the property. Even if you call the city the person who has more info on the property  will be the property inspector. The only thing is that the property inspector won't speak to you unless the property is under you name. 

BTW: I checked out the homepath property site for any duplex in Miami-Dade county and couldn't find any properties with orders of demolition. Also, none of those properties listed at 200k were worth their asking price. 

I said 'so price is negotiable, considering the demolition order?' and he replied 'sure, 160-165k'.

160-165? What? Then what about repairs on top! I would run away from this deal unless you can get it dirt cheap.

@Nat Chan Just a thought, get a plan in writing of all costs including repairs and anticipated repaired value to include anticipated taxes you will be paying them and rental income you think it will produce...basically sell it to them that it is in their best interest to not tear down and let you have time to make it produce money for them!!!

Originally posted by @Darron Stewart :
@Nat Chan Just a thought, get a plan in writing of all costs including repairs and anticipated repaired value to include anticipated taxes you will be paying them and rental income you think it will produce...basically sell it to them that it is in their best interest to not tear down and let you have time to make it produce money for them!!!

Who are you referring to when you say 'they' and 'them'?

Originally posted by @Edgar U. :
Nat,

Below is a link for Miami-Dade county building code violations:

http://www.miamidade.gov/building/regulation.asp

I would try doing a search using the properties folio number because it is often tricky using the properties address.

Anyways, this link will tell you everything you need to know with the citations, fees, and any order for demolition on the property. Even if you call the city the person who has more info on the property will be the property inspector. The only thing is that the property inspector won't speak to you unless the property is under you name.

BTW: I checked out the homepath property site for any duplex in Miami-Dade county and couldn't find any properties with orders of demolition. Also, none of those properties listed at 200k were worth their asking price.

I said 'so price is negotiable, considering the demolition order?' and he replied 'sure, 160-165k'.

160-165? What? Then what about repairs on top! I would run away from this deal unless you can get it dirt cheap.

Edgar, thank you for that link. Strangely when I input the folio number there were no results though.

The demolition order might not be to raze the house, but a structure or addition or fence or deck.....  Could even be for removal of something in the interior, like gutting related to hazard. substances used on the property (meth cooking, etc.).  For sure there's an actual demo order, and not just a condemned/do not enter posting?

Did you find someone to help you with your vacant Atlanta house?

I've just been informed the demolition order is relating to the property being a 'nuisance' as its been vacant for 3 years and the property was unsecured at times so crack addicts and the like were using it. Neighbors were very unhappy and police have had to attend many times. Structurally the property is good. It needs about $70,000 in repairs.

Going to the City on Monday to see if I can try to stop the demolition with a letter from a licenced contractor confirming they will repair it.

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