All Forum Posts by: Derek Guyer

I definitely believe that bank-owned properties have a ton of value for investors all across the country, but because most investors are placing the emphasis on these and flooding these areas of the market, the home-owners are left with properties they can't sell because everything around it is going for so much less. In this case, you get a home that is usually in much better condition and a motivated seller as well.

As for the mold issues, I've run into them several times myself and have been talking with different mold specialists and they say this isn't half as serious as everyone acts like it is. They say the best thing for an investor is to have contact with someone who knows what they're talking about in the field and to get free estimates on that type of work to ensure that they know what they're getting into before they stick their neck out. As always, the key is information and networking to ensure you get the right deal based on the right information.

If you have more questions about that, I can put you in contact with several people who may be able to help you.

Derek

Welcome to biggerpockets.com. It's great to see you around. We look forward to hearing your adventures, successes and questions.

Again, welcome to biggerpockets!

Michael,

It's great to see your ambition and even better to see you on Biggerpockets.com. Welcome and enjoy the forum! We look forward to seeing you around.

Derek

Wow, I can't agree much more. This has long been my reasoning for finding the deals I have been for my investors. I constantly refer them to bank-owned properties, but am much more intrigued with the nature of the starving investors and home owners who can't move their properties in those types of markets! That's what Land Chasers has been all about!

That's not just a theory, BSM. I have personally seen the reality of that truth.

Welcome to Biggerpockets, bookkeeper. Glad to see you've got a few under your belt and look forward to hearing of more. Make your way around the site. I'm sure you've got plenty to offer.

Again, welcome to the community!

Stu, welcome to biggerpockets. I hope you can expand your knowledge on here in the creative real estate world. This is a good place to learn and there's some great advice given on here. Ask away. Someone's bound to have something solid for you.

Welcome to the community!

That largely depends on what the comparable properties are selling for in the area and how much you will have to put into the property (purchase price, rehab, holding costs, etc).

If you haven't done so, find out what comparable properties are selling for, what features they have and when they sold. Then, talk to the contractor again to see whether the deal makes sense for you. If you're going to ask a specific amount because of what you'll have in to it, make sure you've got the appraiser, mortgage broker, title company and anyone else essential to the deal on your side. If they're not, you're asking for problems.

The other major consideration if what you'll have in the deal vs. what it's likely to sell for in that market. I would make sure you've got quite a bit of profit margin and multiple exit strategies that you're sure will save your butt if plan A is no good.

Does all of that make sense or have you done all of those things?

Chanel,

It's awesome to see you on here. This is a great place for you to learn and prepare yourself for whatever you decide to do in investment reat estate. I think I can speak for almost everyone when I say that I wish I had started when I was your age. We look forward to hearing and seeing you around on here.

Welcome to Biggerpockets!

Heck yeah I was scared on the first deal. It was extremely nerve racking, but that's why it's so important to have a good team around you to bounce things off of in a situation like this. You shouldn't have to make these types of decisions without having some great guidance there to help you through it.

If you haven't done so already, start putting together that team. It will save you a ton of money and time in ways you could never imagine.

Thanks for sharing the story!

Welcome to biggerpockets.com, KG. It's great to have more people around the board with experience and we look forward to hearing what you have to offer to everyone.

Again, welcome to biggerpockets!