Westfield, IN · Member since 2013 · 29 posts · 4 votes
13y
I'm new too, but I wonder if it's a good deal based on other criteria first, then the numbers last. Start from the buyer's point of view when you go to resell it. What are most buyers looking for? Does it have 3 bedrooms and at least 2 baths? What kind of area is it in- a desirable area? Those numbers might be great but if it's a 1 or 2 bedroom in a bad area it may not be a good deal even if the numbers look good at first. Develop your criteria of what kind of house in what area(s) then go to numbers. Best of luck!
Westfield, IN · Member since 2013 · 29 posts · 4 votes
13y
Hey @Jade Williams your post reminded me of the first place we went to see. roughly the same numbers you posted, but the house was 2 bedroom, built in 1910, and needed a good bit of work. might have been a good rental, but to flip it would create a lot of headaches and rehab issues. the walls were plaster not drywall for example and electric outlets were not up to code so just getting it up to code in order to resell it was a cost and risk we didn't want to take.
Real Estate Investor · Nashville, TN · Member since 2013 · 16 posts · 0 votes
13y
@Joel Phillips I can see that. That's kind of the advice the agent gave me too. She said that market is in need big time for rentals. Sounds like that would be the best way to go. Thanks buddy!
Real Estate Investor · Starke, FL · Member since 2013 · 10 posts · 1 vote
13y
The very first thing I would do, is pull comps. Are there at least 2 to 3 houses in that general area, .25-.5 miles radios that have sold in the last month or two? If so, what did they sell for? Did they sell for cash or where they financed? If I saw similar properties, in close proximity, that have sold in the last few months, especially if they were not on the market for very long and sold for cash, I would be all over the deal.
The flip side is, if nothing has sold in that area for the last 3 years, I don't think I'd like to be the guy blazing the new trail, so to speak. There is always the concept of a turning it into a rental or doing a lease option on it if you bought it and couldn't sell it quickly.