Too close to the deal.

3 Replies

BP I need some serious help.

I am a newbie Investor & Realtor. I have close friends that are going through a divorce and need to sell their home and part ways asap. I have presented them with 2 options. The first is listing the property as their Realtor, the 2nd is buying their house as an investor. As an investor I would want to rehab and sell. A first pass review of the rehab costs appears to show that the investment strategy may not be the best option for them, whereas the listing option would also require them to take a significant hit to their asking price plus add additional burden in them prepping their home for viewings, etc. 

Would any realtor/investor in the Austin area be willing to give me a second opinion if there is a way to make this scenario a win for both my clients and me? Given that these are friends, I'm second guessing myself as an investor as well as a realtor.


The lower price they would get with your "investor hat" on is the trade-off for not having to mess with cleanup, repairs & showings for who-knows-how-many weeks/months until it sells. Explain that to them and at least give them the option to accept or decline it.

Why not list as an investment opportunity on the MLS as a realtor and market it to investors or people interested in DIY. There isn't as much profit for you in the commission, but you will potentially work with other investors. If it ends up being close err on the side of putting more money in your clients pockets(selling as an agent) vs. short-term upside for yourself.

Also marketing the property it's current condition could help you identify what buyers are looking for in terms of improvements.

Thanks for the reply's.

After running the numbers again I don't think I will be able to buy and flip. 

Jesse, I do like your approach and will most likely list the property as an investment opportunity/DIY and get what we can out of the property for my clients. 

Thanks again!

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