All Forum Posts by: Account Closed

There isn't enough information in the question to create an answer. For example, is the house falling down?

Trouble is if you listen to the media you'll always think the real estate market sucks..

Remember when prices were going throught the roof? The bad news story is "no-one can find a house to buy" - sold losta newspapers...

Now the bad news is "prices tanking!". They haven't done so here.

Of course, newspapers have to exaggerate the real story to create the emotion to buy the headline.

Be creative and you can profit in any market - once you know the market.

Real estate is a LOCAL issue that can never be treated correctly by using national averages.

That transaction has loan fraud written all over it.

I suggest you get in touch w/ the realtor and go take a look inside. You can always ask the realtor how flexible the bank is as you comment about how awful the place is. You should have a closing strategy though. Make your offer so you can close just before the end of the month. For example, if you have cash and can close in a week then make your offer on the 15th.

I think that there is a significant point that is being overlooked here. Zillow, and any site like it that gets "valuation" data from a public database is analyzing 3 to 6 month (more in some cases) OLD data. In a market that is moving fast in either direction that's data I don't want to base a major decision on.

The best data to base a valuation on is PENDING sales and Days on Market for comparable properties.

Realtors have this information because that's what they do! Sure you can make the case that it should be public but it will be as soon as the deal closes and records.

Zillow and free sites like it should be make those sorts of disclosures and then everyone would be happy - especially me!

Geoff Green
Realtor Extraordinaire
Phoenix Arizona

:D I'm looking forward to getting slammed on this one.

I agree with the verbal offer. The best question is "what's the minimum you can sell for if I can close within X days"? You fill in the X based on how you are going to fund the deal. Once you've arrived at a price you can then right the contract with a proper inspection clause in it.
Geoff

What is the repair cost? Your 50K offer may be too high. Have they turned down any offers yet? I'd be interested in a picture of the pool!
Geoff

Sending out LOI's are a waste of time. They are non binding and so don't carry any value for either you or the seller. You should get experience qualifying properties to the 80% confidence level over the phone. Then submit a contract with a copy of the earnest money check and make sure there is an inspection period in the contract. If the property is not like it was advertised you can cancel per the inspection period.
Geoff

Before you do a lot of work gaining direct access to the MLS yourself you may want to try talking to local realtors in the area. Find one that works with investors 100% (or close to that) of the time - and they are also in the business full time. Ask them what strategies are working best in your market and your area. They will often have access to qualified people you'll need on your team. Just keep trying different strategies and don't give up.
Geoff

Well that depends.... our investment criteria may differ. When I say I look at 100 that doesn't mean I drive out and examine, inspect etc. Most of them are done online and on the phone, so I may only drive to see about 10 or 20.
Geoff