ANYONE BUY A DEAL BASED ON LISTING PICS ONLY?

Question

Hi all.....Have any of you ever found a foreclosure listing on day 1 and jumped on it without physically going to see it?  Good pictures, great price, medium rehab??   It would be my first and I live an hour from there without a car right now...ADVICE!!!??   :/

Brian Pulaski · Answer

I just described a house I liked and via photos would have bought it based on that. Asking $109K, ARV just over $200K, brick exterior, roof looked good, agent said good area. Hardwoods, I knew the layout from other houses, replacement windows... Had a ton of pluses.

The truth when viewing the house: The right portion of the home was basically one large open vaulted room. The ridge beam was bowed down and the front and rear walls bowed outward. The home used an underground oil tank (huge red flag for me). The basement was partially finished and filled with mold. The basement under this large room was full of water and had a bunch of temporary support posts pushing the floor joists up (physically bowed up). The stuff I saw in photos was exactly what I was expecting and had signs of a good flip. The stuff you couldn't see added up to no deal.

Unless you are getting a house for DIRT cheap, I would always need to see it to make an offer. Sometimes seeing it twice if time allows.

Dorothy Butala · Answer

If you can't see what repairs are needed, assume they are needed i.e. no picture of the furnace?  Assume it needs a furnace...add up the potential and needed repairs, plus financing to include hold time and make your offer.  You could also put some type of contingency in the offer that will allow you to back out, but may times great properties are scooped up by investors that buy cash and as-is, so that could knock you out of the running.  Hope this helps.

Christine Johanns · Answer

Thank you all for your input!!!!! I decided to let that one slide for the time being, until I can get there IF it's still available. Much appreciated!

Matt Berklacy · Answer

all awesome info...I relate to this as I am often out of country..I have bought through trusted eyes for a buy/hold, never a flip.....could you chime in on either..

1.regarding an online auction purchase, and seemingly growing trend... they seem to all say "as is", no contingencies, no views, no diligence...

how in goodness name can you confidently make an offer on an online auction w/ no walk through contingency?

2. Regarding contingency offers - Out of state investors seems growing trend, and so do you see a way to offer incentive, or compensation to boots on ground to do viewing, video, and then confidently make offer w/o seeing it during due diligence yourself..

Chris Seveney · Answer

I have bought off market properties without being able to get inside but they were condo's so there was minimal risk. For a single family, go look at it UNLESS you have an inspection period.

Karen Margrave · Answer

I would never buy without being able to see it in person, there's too many things that can be very expensive to replace. If you're going to do that, assume that when walking through the doors, there's nothing on the walls, electrical all needs replaced, HVAC needs replaced, etc.

Also, if you are going to move forward with that, at the very least, go on Google Earth and check out the street view, neighborhood, etc.

ANYONE BUY A DEAL BASED ON LISTING PICS ONLY?

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