recent property visit
Hi Everyone,
I checked out a condo unit last night. This is one unit of a side-side duplex. Located city of Malden Massachusetts and so far is not Listed and being sold as a Private Sale. This may change based on how much time the owner wants to wait while trying to sell it. Owner asking $330k, built 1991, only one owner and needs tons of updating. Three levels (Basement, Living/Kitchen, Bedroom), three beds, 2 baths, off-street parking for 2 cars. The basement has been modified to add 2 additional bedrooms and 1 additional bath but I'm told these have not been permitted by the city. It's too rich for me due to the rehab costs needed. I'm looking for ideas or advise on what I can pursue with this now on my radar screen. For example, maybe I can try to capture the deal as a wholesale opportunity, or maybe I can go in on the project with a partner investor who has the capital for the rehab costs, or maybe I can introduce the owner to a broker and earn a finders fee. Not sure what may be a good strategy before I simply walk away. I also learned that the property is not properly setup with a HOA and there has been conflict with the other owner about maintenance costs. My initial idea was to check out the property as a possible long term hold for rental income. My estimate for rent is that this unit can earn $2200/month.
I know the asking price is too much. I'm not in a strong position to make an offer because I can't predict the rehab costs. Any thoughts on how you would look at this as an investment opportunity or pursue a potential deal? Or, does it sound like a bad deal and just walk away? I have not met the other owner but since the HOA is not properly setup and there has been conflict in the past I also fear an on-going problem with the over all property maintenance (landscaping, snow removal, etc.)
thanks, Frank