All Forum Posts by: Jarrod Gregory

@Brent Coombs Thank you for taking the time to read and reply. 

I'm a little unsure of how to come up with a valuation. The BP calculator is great but it seems to me like it's really aimed towards after accusation value. How might you come up with your valuation if in my shoes. Thanks again 

Help me understand BP!

Im looking @ a buy and hold investment but its looking a little sketchy!

5 units

one duplex 1/1's

one duplex 2/2 

one SFR 1/1

three seperate one car garages with an additional two car carport.

one lot.

Condition;

Peeling exterior paint, falling fences,no grass. The shingles appear to be in good condition however the SFR has a large sagging area in the roof. It appears mostly vacant. I have not had the opportunity to go inside but my initial estimation is that the inside will need some serious help. Just a rough guess of 20-25k rehab. if I did the work myself. overall condition in my estimation is a 5!

What the owner has said;

Asking 225k

I dont need to sell as it is all paid off

Monthly rent is $2500

4 of 5 units have long term tenates.

Willing to do owner financing for close to full asking price.

Has turned down cash offers of 150k,160k and 175k

SFR is primarily used for seasonal workers ie:oil industry/feild workers

What the neighbor has said; 

only one or two of the units stay rented out, but no one tenant stays for more than a few months.

My estimation is that if two units are rented @ $500 per unit that puts the pp @ 60k with GRM of 5. Id be willing to give a nice interest on his money for the desirable terms maybe around ten years.

BP am I missing something. Its obvious the owner isnt being honest. Is it worth my time getting creative or should I just walk?

Thanks

Can somebody give a short overview of dodd-frank. My reseach leaves me still slightly confused on what its all about. Thanks