Newbie: Need HELP! analyzing single family home.
O.K., I've never done this before. I've walked past this home many times. Single family, 576 sq. ft, 2 bed, no info on baths, houses to left and right look fairly well kept, near a high school and main street in city, looks like no one is living there (-tall grass, no cars in driveway). County Assessor says bills are sent to address in a city outside of where the house is for the last 3 years. Owners may be living with relatives-not sure. Zillow lists estimated cost between $30-42K. Zillow shows surrounding houses at $31-75K. Property taxes on this house are $250-300 a year. I have no way of knowing repair costs so I'm guessing $10-15K. I'm going by BP website saying a newbie repair timeline is usually 12-24 months, but this is a very small house, so I can't be sure. Utilities in this area (-electric, water, sewer) are about $100 monthly if occupied. So do you think $10-15K would be a good offer to make? Not sure if I would flip or rent out this house. A multi family right down the street from this house (-nice looking 2-bed, 1-bath, with washer/dryer hook ups) rents for $500 monthly. I wanted to start out very small and quite honestly, I'm not sure if I'm ready to do this yet, but I would value BP members advice. I'm still not sure if I'm entering the right numbers on the BP analysis calculators so my only way to analyse this house is by what I can see and the information I have so far. Not the best way to invest, I know, but I'm trying. So thanks for any help you can give me. Cheers!