Properties in the war zone

3 Replies

Hi I have a property under contract and I am having a hard time finding an end buyer. To market I have done everything in the book (social media, signs, rei meetings etc). It seems as if nobody wants to buy it because the location is not the best, and there are a lot of vacants on the street. What should I do to overcome this obstacle?

Planning ahead is EVERYTHING.  That includes running the numbers with lots of variation; don't assume just one number.  Inner city areas take -- you'll forgive me here -- "blind greed" to own and operate.  It has to be a screaming money maker.

With this in mind:  What's it worth as-is?  Is it even rentable, or are there housing violations?  Cold it be put to a different use within the area's zoning?  What kind of cash flow (and I mean profit) if you rent it the way it is?  Could somebody get drastically more profit if it were fixed up? If it's the war zone you describe, people might only be moving OUT. 

Realize that it's going to be hard to find a tenant, hard to collect the rents, a nuisance to maintain, and risky in every sense of the word.  If you can't show big returns, anybody who has money to invest will go elsewhere. 

But at the end of the day, there's a reason there are so many "vacants".  People walked away from their properties.  Maybe you should, too.