All Forum Posts by: Aladdin M.

Thank you Brian!

Greetings Investors!

I am in need of a plumber that services Gainesville, FL.

Reliable and fairly priced are my requests.  Does anyone have recommendations?

Hi Dennis,

Looking at at the contract, I was not able to make offer contingent to the inspection report. Without a report, you can't materially request credit for repairs, but I was always able to request a Price Reduction.  So, I cross-referenced the recorded code enforcement violation on the county's website and called the code enforcement personnel directly.  Once I told him my situation, he seemed more than willing to help and gave me a rundown of the property and it's issues.  They "condemned" due to a toasted breaker box, but he shared other issues unrelated to the recorded condemnation like, the condition of the floors, the kitchen, and the drywall.

I wrote up a list of repairs, consulted an attorney, and requested a Price Reduction (not a credit for repairs) from the sellers agent.  In this case the agent was the auction houses representative.

Purchase Price: $7500

Repair Est: $10-11K

ARV: $30-35K

End result:

I spoke with code enforcement and they gave me an insight into what was truly the issue in the unit.

The repairs would be significantly more than originally expected which amount to about 10-11k.

I sent back a list of items that would need to be repaired and respective costs to the bank and requested a price reduction.  They obliged and dropped the price from $18750 to $7500 and we will be closing today.

On to the repairs!

Thank you all for your input.

Not only that, but TD Bank will be rolling out an online business loan application on 6/18/18.

 Not any longer.

I ended speaking with code enforcement and they let me know what was really going on.  It would be significantly more than 5k.

No.  There wasn't any ability to inspect prior to bidding.

I did win the auction.

I did't see any language about lien's becoming the buyer's responsibility, but I will certainly go back and dissect the terms more thoroughly. 

As to backing out of the deal or staying, I don't mind staying if the bank will lower the cost, but if they do not budge, how do I back away from this and (possibly) keep my earnest deposit?

-A

I did win the auction at a rate that if I were to put in about $5000, I could still come out with a cash flow.