Well, you don’t know it’s a deal until the bidding is over, if then.
Is this an auction.com REO by chance? If so, their "starting bids" are just low ball teasers....the undisclosed reserve price is many times their normal starting bids.
You haven’t filled out your profile so no one knows what your goals are. There are many things you can do with it but it depends on what you want short term and long term.
Well, you don’t know it’s a deal until the bidding is over, if then.
Is this an auction.com REO by chance? If so, their "starting bids" are just low ball teasers....the undisclosed reserve price is many times their normal starting bids.
the problem with auction.com is that everyone is looking at auction.com :) bidding wars ensue.
still, it wouldn't hurt to get acquainted with the process. due your due diligence on the property, bid on it up to a set low ball offer. if you get it, great. if you don't you don't but you have learned the process.
@ed emmons Thanks for pointing that out. I have not finished my profile but i intend to get that done . My goal is to find a small multi-family as an owner occupied and compete the BRRRR strategy.
@Kaelyn Hearn I am looking to do the same (owner occupy a small muli-family and rehab). The one thing I have been looking at is the FHA 203k loan. This loan is a variation of the traditional FHA loan in that it allows you take a loan to both purchase and rehab the property.
From what I have seen on BP, it is very important that you have a lender that is experienced with the 203k loan, so ask around. Many say that 203k loans have too many hoops to jump through, but if you can get past the additional nuances of the loan it may be easier than finding a private or hard money lender and then having to refinance later. I hope to use this as a proof of concept of the BRRRR method for myself.
One drawback: If you have a really good deal, then you may be able to pull out more cash than you have in the deal with the BRRRR method, while with the 203k loan you will have to put up the 3.5%. Although I suppose you could refinance your 203k loan at some point too.
@Michael Kelley i'm in the process of getting approved with a 203K loan specialist right now. They also have a grant program for the down payment. All i have to do is find the deal. I hope to find deal, rehabbed it. and be moved in by June/July time frame.