All Forum Posts by: Adam Soyak

What is the typical ARV reduction on a property if is in a floodplain? I'm looking at a property, that would have an ARV of approximately $210,000 if not in flood plain. Looking at two options either keeping it as a rental and dealing with the additional $2k in insurance or flipping it in 3 months. However, hard to figure out comps. Also I know the buyer pool will greatly decrease because of the floodzone.

Any advice is greatly appreciated!

 Ended up going conventional 5% down. I had to remove the toilet and kitchen in the second house which allowed it to be considered a garage and not another home dwelling. I actually closed on the house prior to the repairs being made. I sent money aside in escrow which was released once those items were taken care of.

@Andy Giles and @Chris Porter Thanks!  I will reach out!

@Andy Giles, nobody yet!  Do you have any connections?  Thanks!

My brother owns 2 SFH is Peoria IL, right near Bradley University. He has moved out of state and is looking for a local property manager. Plan is to grow the portfolio long term. Please let me know if anyone is interested. Thank you in advance!

@Caroline Gerardo Thanks for the quick reply. It's zoned single family. I would say less than 10k to make it pass FHA, but the seller has mentioned that they will not make any additional repairs. And the offer we made should appraise with just the 1 house. Thank you!

I am looking to purchase a home FHA but it has 2 houses on the lot. 1 house will pass FHA no problem, the 2nd house will not pass FHA and is currently uninhabitable. Our plan would be to rehab the 2nd home for future rental.

My question is will the FHA inspector allow this property to have an FHA loan. Does each home need to pass FHA if we are not living in the 2nd home.

Thank you in advance!

@everyone 

Thank you for your valuable information and insight.  My wife did recommend a home inspection, so she should be ok there.  She has a call into her brokerage and hopefully will get some more solid info.  As for not viewing the interior at all I'm thinking Covid is to blame, but questions will be asked to make sure.

@Lin Hiley

My wife (a realtor) has a client that is a VA buyer. They have a home under contract for purchase and chose to do a VA inspection only in lieu doing both a home inspection and a VA inspection, for cost savings and to make their offer more attractive. The selling agent just notified my wife that the VA inspector only walked around the house then left quickly. He didn't enter the home or provide any kind of inspection report. Just stated "no repairs needed" with the VA appraisal. The mortgage broker told the buyer that it is out of his hands once it goes to underwriting, and it is was it is as far as VA inspection goes, but has had this issue before. The buyers obviously have concerns because they thought they were getting some type of home inspection with the VA appraisal option. Is there any recourse for the buyer if something does show up after they move into the home? Is the VA responsible for protentional repairs? Thank you in advance!

@Mark Eichenlaub, yes we did.  Turned out to be a great flip!  Learned a lot from that first one!  Currently flipping one in Manhattan, should be listed this week.