Updated over 10 years ago on . Most recent reply
VACANT LOT. HELP ME QUICKLY !
HELLO REI'S,
I JUST GOT A CALL FROM A OWNER OF A VACANT LOT THAT IS LOOKING TO SELL HIS 40X100 LOT IN BROOKLYN. IT'S SURROUNDED BY RESIDENTIAL BUILDINGS SO IM SURE IT HAS ALL THE NECESSITIES FOR DEVELOPMENT. THIS WAS A RESULT OF MY YELLOW LETTER CAMPAIGN SO MY QUESTION IS WHAT SHOULD BE MY NEXT STEPS IN TRYING TO WHOLESALE THIS LOT?
SHOULD I ....?
CONTACT A REALTOR TO FIND OUT MORE ABOUT THE AREA AND WHAT MY OFFER PRICE SHOULD BE?
THEN, CONTACT AN ATTORNEY IN ORDER TO LOCK IN THE DEAL?
THEN, FIND ME A BUYER INTERESTED IN THIS KIND OF PROPERTY?
Most Popular Reply
What you need to do is find new construction or land comps. If you don't have MLS, an agent may help you out, but they will probably want something on the back end. Once you find those, you can see how much the developers paid for the lot or the tear down to begin with. This will generate a rough starting point for you.
For example, If there are 5 new construction houses within 1/4 mile that originally were bought by developers for 150k-160k. I would try and get that lot under contract for 125k-135k. Then track down all of those builders, developers, or whoever is active around there and start trying to assign the contract. Ask if they are looking for a new project close by to the one they just finished Hope that helps!!