All Forum Posts by: Andre Smith

welcome fellow Fremont Investors

 I am looking for advice and help analyzing this deal. No need for lending right now.

I am looking to add 2 properties to my infant portfolio. I have seen about 13 properties that I "think" are good deals. I've narrowed in on 6 of them. I'll give a brief summary of each pair. Keep in mind I will be buying cash.

The first 2 properties are located in a news development. Continued steady growth. A little slower than another area I am looking. Both are 3 bed 2 bath single family split level homes, 2 car garage. Both are built after 2004 so fairly new yet. Ones a HUD home that has a moderate drive way issue. The other is around the corner and is a great house. Listed from 120K to 130K. Comps support listings up to 135K. Taxes are about $3000.

The next 2 properties are both walk up town homes. 2 bed 2 bath, 2 car garage. just under 1110 sqft. Both built between 2007-2009. really clean and well taken care of. These are located in a hot area, top schools, booming growth all around this area. I mean its a hot area. HOA fees are a little strange. one is $105 and the other is $170 a month. Both are listed under $111K. taxes are around $2300

The final option are a little unique. Properties are owned by an aging investor looking to move a dozen properties in and around my area. All are currently rented and some have long term leases. 2-3 years. All rents are a little low but still bring $1100-$1200 a month. Similar priced homes. Ranging from 125K to 150K. Oldest home is 1963. Newest home is 2009. all are 3 bed 2 bath, 2 car garage split levels. 

I am immediately drawn to the town homes in the hot area that is growing fast. HOA fees and the potential for those to rise are a little concerning. only being 2 bedrooms are a small negative. I like the low price tags, Under 111K with rents in the range of $1000-$1150. Am I missing some big thing that makes town homes a bad deal?? Or are the single family homes the way to go,and if so should i look to take over the properties that are already rented out or start my own process from vacant? Or is there something completely different I should be looking to do with a couple hundred K??? Any and all advice is welcomed, I'm thicker skinned. Thank you in advance for your input!!!!

Welcome to BP Sang. I am a new/aspiring investor as well. I started listening to the podcast at like number 120 and went back and binge listened to them all to catch up. I have had so much great input and insight from the vets on BP. Everyone in this community seems to want everyone to make money! Great place. Goodluck

 Ahhh. I know what you mean now. I've been to a handful of these auctions so far. Thank you for your insight. I will let you k ow what happens with this deal.

 What do you mean by "upset" price? So overall it sounds like going to court house auctions are not as easy a bid, win, pay, take posession? The banks actively bid and are willing to hold the property longer in hopes of making more later? I assumed they would take the most they could get, cut their losses and move on?? 

 I had a agent look into it for me. He said they are the last 4 missed mortgage payments. He also thinks the bank will bid the property in at the outstanding mortgage? 

 There is also a lien for  just under 5k on it.

Should I be weary of buying a foreclosure that has been foreclosed on twice in 5 years? Its in a good area that will allow me to have my pick of tenants. It needs about 10K of work to be in top rental shape again. It was purchased in 2006 as a foreclosure in 2010. It was sold 2 months ago on the court house steps but its up for auction on the court house steps agin! 3 beds 2 baths. built 1963. just under 1100 sq ft. Should I be concerned about something I can't see or may be missing?? Thank you in advance BiggerPockets community.

I appreciate the advice Lance. I will start by analyzing deals, once I "think" I found a good deal, I will be in touch. Thank you again.