Making proper offer

6 Replies

Ohk I am scheduled to see a property Saturday and I need help trying to analyze this deal.

The owner wants 70k for the property it has a front home 2b 1 bath the back home has 1bed .75 bath the home needs cosmetic updates  its in a small town so not that many comps to work with but the comps on the front house comes in around 110-120 with an extra bath room but this property is bigger and I ran comps on the back one and those come in around 30k which also needs work as well what can be a proper offer and can I consider this a multi family property

you need to drive by the neighborhood and see how diferent the properties are.  one street can be completely different from another (at least up here in new england). 

go on craigslist and find a fellow investor to help you analyze the deal and tell him you can split profits.   if you are new, just keep going to properties that are close and make stupid low offers so you can get your embarrassment out of the way and gain some experience doing so.

when i am talking to a seller, i start off by asking for their address and then i go directly to zillow to see the zestimate.  if they are within 10k of the estimate, i know they are most likely not motivated enough.  once i see they arent motivated, i will throw an offer around 40k under zestimate and say " im not sure if this is what i would offer, but if iwere to offer it would you take it"?

she says no

i follow up with them in a few months to see if they are a little more motivated

i made a typo.  i meant "if they are within 10k or so of the zestimate i know they arent too motivated"

http://www.biggerpockets.com/renewsblog/2010/06/30/introduction-to-real-estate-analysis-investing/

Originally posted by @Tee Allen :

Ohk I am scheduled to see a property Saturday and I need help trying to analyze this deal.

The owner wants 70k for the property it has a front home 2b 1 bath the back home has 1bed .75 bath the home needs cosmetic updates 

What's a .75 bath?

it has a sink and a toilet and a shower

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