is this the correct order?

Question

my neighbor has a house in bad condition.

1. ask my neighbor if she is interested in selling?

2. have RE agent run comps ( do i have RE agent do anything else?

3. have someone see how much repair costs are

4. negotiate a price

5. find a buyer/investor

i read that if i negotiate a price low enough, an investor/ buyer is easy to find

any advice? is it wrong if i ask my neighbor if she is interested in selling?

Bill Gulley · Answer

I'm aware of the type, she might let it fall in around her until graduation, where would she go without changing schools? Just get to know her, you can find out more on a neighborly basis than confronting her with a buy approach. Might offer to fix a little item for her! :)

Andrew S. · Answer

Account Closed

Before you even talk to your neighbor, you will want to do some basic homework on this property (configuration, size, size of lot, rough idea on ARV, etc, etc).  All of that info can be gleaned in a few minutes for free on the web (Zillow, County tax records, etc, etc).  Then figure out what you might want to do with the property if you can buy it (wholesale, flip, by and hold) - in other words what are the exit strategies.  Then figure out some basic financials (how much are you willing/able to put into the deal either in cash or credit lines). This will allow you to have a much more intelligent conversation with your neighbor if he is interested in selling, and you will be taken more seriously.

Perhaps you know all of these details already because after all, you live in the neighborhood, but if you don't, that's where I'd start - even if the neighbor isn't interested in selling, you will have learned something about the process, and something about your own neighborhood.

Steve Babiak · Answer

When you have the agent run comps, that agent might pursue getting the listing.

Bill Gulley · Answer

Basically, yes, but instead of doing business as a dog chasing its tail, find your buyers first, not for that property but find buyers to see what their requirements are. Fit properties to buyers' requirements. It's much easier.

This method is what you really need to do with listed properties, where the seller holds the property for sale. Recognize they have a time requirement, expectations of selling and moving on.

In cases where the owner is not trying to sell, that means you probably have more time. You can look for other buyers. Where the old Realtors would have a "Pocket Listing" of sorts, you could have an option for 6 months or even a year, timing may not be critical.

Questions: Why do you think your neighbor might sell due to disrepair, is it vacant or do they live there? What value range is it in? How old is you neighbor? Would they have the ability to move or make repairs?

Do they even see the place as having issues? RE is about solving problems, is there a problem from their point of view, if not they won't be motivated. :)

Account Closed · Answer

@bill gulley

yeah that is very true.

thanks

Account Closed · Answer

@bill gulley

they live there. my neighbor is probably 45 but really really lazy.  i definitely think the only thing holding her back is her daughter being in highschool. they may not see it as an issue, but that is why i wanted to maybe ask her.. i just dont know how i would ask without coming off as a dick

is this the correct order?

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