Investor · Las Vegas, NV · Member since 2013 · 8k+ posts · 10k+ votes
6y
My searches were so specific in Vegas where every house is almost identical. Less than 10 years old, stucco,siding, tile roof, 2+ car garage, 1800-2400sf at the lowest cost per sf (usually $55-$70). Using that criteria I walked away from probably 5 deals while closing on 15. The walk was usually over missing appliances, a few thousand worth of ac repairs, or something else stupid. I regret every single one of those 5. Each one is worth $100-$200k more 5-10 years later. Nothing like losing $500k-$1million over a max of $20k in “problems”. Don’t lose dollars haggling Over pennies.
Time cures almost all mistakes. In 10 years a 5% price difference just won’t matter. Just a having a tenant solves most problems. I’d rather have a $800 problem in an occupied home than a $400 problem in a vacant home. You forget people are paying $400/week or more to live there.
Rental Property Investor · Denver, CO · Member since 2019 · 24 posts · 13 votes
6y
@Jonathan Paul Shortt This is the one thing many people tend to overlook. What works for you dm may not work for me and vice versa. Everyone has a different set or pressures and talents. Good luck with the BRRRR. that's beyond my skill set.
Rental Property Investor · Denver, CO · Member since 2019 · 24 posts · 13 votes
6y
@Tracey Geary To expand on your last point, you touched on something about real estate that isn’t always prevalent elsewhere - what you learn on the deals you don’t do almost always inform the next deals you analyze.
I find that deals coming around again is a tribute to the way you interact with people. Not surprising a deal in the same complex found you or vice versa.
Investor · St Petersburg, FL · Member since 2014 · 231 posts · 221 votes
6y
I walked away from one a few months ago. Looking for a 2-4 unit to hack, so there was some of my own preference tied up in it, rather than just cold hard numbers. But the sellers were crazy high, asking well above the best comp in the area for a house that hadn't been updated since the 70s. I tried everything. What's the sellers' motivation? Hey, they've only owned it 18months, we can delay closing to avoid short term capital gains, etc. I researched the sellers themselves, and they'd played some stupid games with their real estate before.
I was stupid to make the offer that I did, 21% below asking. They countered at 5% below, which I just couldn't work. Even as a vacation rental, the numbers wouldn't work at that high of a price. So I walked. It eventually sold about 7-8% below asking. I drive past it from time to time, still wishing I had been able to make it work. The deal I ended up getting is a better business move, but less comfortable home for me.