Neighbors house is boarded up - I want it, how do i get it??

5 Replies

Right next to my rental property, is a boarded up house.  I want to buy it.  I know it's owned by HSBC Bank, as that's who the Tax Assessor's office has listed as the title owner.  How do I go about buying it?  Will the bank sell it to me or do they have a set process on how they handle these situations?  Does anyone have experience doing this?  Thanks in advance for looking and replying to this post.  

@Chad Aziz A bank would love to sell you a boarded up house in their portfolio, especially if you'll buy it with cash. Give them a call!

Originally posted by @Chad Aziz :

Right next to my rental property, is a boarded up house.  I want to buy it.  I know it's owned by HSBC Bank, as that's who the Tax Assessor's office has listed as the title owner.  How do I go about buying it?  Will the bank sell it to me or do they have a set process on how they handle these situations?  Does anyone have experience doing this?  Thanks in advance for looking and replying to this post.  

Get a Title report. There should be contact information included. Or, the Title company can give you the contact information, Or, you can call HSBC REO dept. or, you can check with the county and see who is paying the taxes.

@Tyler Kastelberg & @Mike S. Thanks, I'll give the REO dept @ HSBC a call. Do either of you have experience with acquiring properties like this? I've read about shadow inventory existing in the IE, have you guys heard anything about how much still exists out there?

Chad

@Chad Aziz Bank balance sheets are fairly clean right now. I typically buy medium to large multifamily assets, and there is very little bank owned inventory. The market is good, and there is very little leverage on real estate when compared to prior years. I wouldn't expect a big crash anytime soon.

This is a great thread. I also recently came across a bank owned boarded up house as well.

2 questions:
If you call the bank directly and ask to make an all cash offer, are they generally open to a wholesale cash offer, (70-75% of ARV) or are they more likely to decline an offer in hopes of listing it on the MLS to get the highest price possible.

The house I came across says its owned by Federal Home Loan Mortgage company, and its Foreclosed.  Do you still recommend contacting the bank to make an all cash offer?

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