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Updated about 9 years ago on . Most recent reply

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68
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Jordan Lagrassa
  • Temple, TX
7
Votes |
68
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Not sure what analysis to use

Jordan Lagrassa
  • Temple, TX
Posted

I'm not sure what analysis would give me more accurateinformation. Here is the problem. The property has 10K of foundation problems but it's not bad enough that I would fix it now. If I wanted to sell the house it would need to be done. My assumption is if I leveled it now I could have problems in the future and have to do it again anyways so I was thinking one time would be better than twice. Do I add this into my analysis even though I will be leveling at a later time?

Second part of my question has to do with property tax. I noticed that the property is only being taxed on 42K a year and the house comps came to around 97K. I'm in Texas so the difference in tax price is more that 1000$ and makes a big impact on my analysis. Is this something to worry about or will the house slowly rise in taxes instead of a huge jump.

The tax difference takes my cocroi from 10.4% down to 6.8 % .

Looking forward to your input

Most Popular Reply

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384
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189
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Bram Spiero
  • Investor
  • Fair Lawn, NJ
189
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384
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Bram Spiero
  • Investor
  • Fair Lawn, NJ
Replied

Deferred maintenance is still maintenance that needs to be done. Just like a bad roof, you may be able to carry it another season but it'll need to get done sooner rather than later.

I would definitely add this cost to your calculations. Not adding it might be you forcing something to be a deal when it is not, just because you want to do a deal.

Always know what you're getting into.

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