Buying a property for the first time

8 Replies

I am looking at buying my first property, but before I pull the trigger I want to make sure that I check and ask all my questions. Is there any suggestions anyone has on what I should be asking? Ive got questions like who pays for utilities, if there is any water damage, if there's lead paint. Stuff like that. 

@John Christodoulakis , you're on the right track. Yes, you should use an Inspector, who'll give you the lowdown on condition (and hopefully, repair estimates). As well as that side of due diligence, I reckon your greatest asset will be: having the right Property Manager. If you can find the one, they could also help you with things like: "that neighborhood doesn't attract the right sort of tenants"; "sorry, I won't manage properties in that area"; "I reckon you could get a better rent return if you choose this other neighborhood" - and such like. Cheers...

@Brent Coombs I was planning on just managing the property on my own. I don't think it would be to hard and It's located near where I live. 

Originally posted by @John Christodoulakis :

@Brent Coombs I was planning on just managing the property on my own. I don't think it would be to hard and It's located near where I live. 

Care to share the numbers (sold comps; expected monthly rent; your thoughts on offer price)?

I haven't looked at any sold comps, the expected rent is 1450 per month and offering price is 70k. I think its a good deal and the house is in a good shape

Originally posted by @John Christodoulakis :

I haven't looked at any sold comps, the expected rent is 1450 per month and offering price is 70k. I think its a good deal and the house is in a good shape

Meets the (pro forma) "2% Rule", but, sold comps research is a must

eg. What if $60k sales are common? How is $70k then a "good deal"? Cheers...

@John Christodoulakis , yeah, read Donavon's linked article. If anyone knows of better (non-MLS) sources for sold comps than what was mentioned there, please let us know. Cheers...

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