Hello BP community, I just got off the phone with a FSBO first time making a FSBO call. Feel it went pretty good :)... I do need some assistance to see what route I can take to help the Seller get the property of there hands and to also be able to make a profit.
Currently the property is listed at 165K. She is motivated to sell the property, since she has been trying for a year with a listing agent. She is willing to come down in price around 5-6K but mainly just wants to break even. The amount owed to the property is 160K. She is not interested in doing owner finance since she is not at the liberty to do so. (has received a few calls but have been declined) The reason for her selling the property is that her family is growing and needs more room.
In this case what would I be able to do to close fast on the property? Wholesale?
All responses are welcome of course.
Property: 3Bedrooms, 2 1/2 baths.
2685sq ft. Corner lot.
I checked county records appraised value is at 166,200
Thank you everyone in advance for your assistance.
@Al C. undefined
I see a major red flag here, you should see it as well.
The least she is willing to take is $160k but you said the home is worth $166k. She is not that motivated if you ask me. I am also sure in most cases the home needs repairs and updating.
You would need to get this home for around $100k to be able to find a buyer whom you could flip it to or if you could actually purchase the home and make the repairs to sell it.
There is no deal here, not even close.
Keep at it though, Driving For Dollars is a great way to find property. Check this out.
I have to agree with @Curt Davis If the best you can get the property for is only $6k less than it's worth, there's no $ in it for you to make. But, it was a first step. Keep looking. Don't give up.
Maybe a WHOLESALE - SHORT SALE?!! LOL
1. If listed at 1 year for $165K or higher, it's clear the home is overvalued on the open market.
2. At list price of $165K, she is likely paying more in commissions than the $5K to $6K she is willing to discount to you and she will need to come to the table with cash even if a buyer gave her full price. Does she know this?
3. If the home has been listed for a year and she still won't consider owner financing, she is not motivated. You said she doesn't have the option to O.F....did she say why?
If she hasn't been able to see it or a year at 166k you will not be able to sell it at 160k.
Thank you all fro the timely replies.
@Curt Davis Thank you for your input and experience. The property according to seller is a turnkey. I would feel she would at least be some sort of motivated since she has been trying to sell for a while.
@James Stevens It does look like that is the lowest she is wiling to go is around 160k. She did say it herself she does want to break even.
@Guy Gimenez 1) I did feel it might be over priced since she has been trying to sell for a year I did check comps (zillow, realestateabc, homevalue hunt) in the area and county appraisal. Am I missing something else?
2) She did mention that the property with the agent was more. What she did to get the price that she has right now (165K) is deduct agents commission.
3) Yes she did, because at the moment she is not at the liberty to do so becsue she wants to to able to buy another home.
I want to thank everyone for the replies and assisting me, at this moment looks like it wont be a go. Since she currently owes 160K on the property and she basically wants to break even bringing it down to 100K don't see that happening. But I mean I will still call and ask her tomorrow and well if its a no I will have to tell her I wont be able to further assist her but If any change of mind well she has my number. Pretty good experience Id say getting out there and making calls. :)
@Ryan D. Thank you, I didn't see your post I was typing my response lol. I will have to tell her that it looks like I wont be able to assist her I will still ask if she is willing to drop more in price but it sure looks like she is not going to since what is owed is 160K.
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