All Forum Posts by: Account Closed

Welcome Joe, to BiggerPockets! How is the market in Mobile? We have alot of members who also buy, fix and hold preperties. Read all the posts and keep in touch! Good luck, Mike

Depending on how the option is worded, an option is a unilateral contract that allows the optionee (you) to have the right to buy the property under certain conditions (price, terms) for a certain period of time. If worded right, the seller could not sell to anyone else during the option period. Of course, he might try, which is why it is recommended that you record a "Memorandum of Option" so that it would show up in a title search if he tried to sell it. If the deal is that the seller wants to be able to continue to show the house, you could put in that you the optionee have the first right of refusal under certain terms. Good luck, Mike

It all depends on the wording of the contract with regard to earnest money and your financing contingency clause. Generally if it says the part about sellers exclusive remedy, yes that probably means that he can't sue you for not closing, just retain your EM. It should be very specific as to how many days or under what conditions you would be able to get your EM back if financing cannot be obtained. Sometimes it is based on your getting certain terms, and if not, then you can back out and EM refunded. Other times, it is based simply on a certain date by which you must get financing or the contingency goes away. Check the wording, and you can attach it if you want us to look at it and render a non-attorney opinion. Good luck, Mike

Rob,
Welcome to BiggerPockets!
Just curious, how does a condo not have a condo fee? Who pays for the common area repairs? Landscaping, parking lot repairs, roof, etc.

You need to get an accurate handle on what the market value is for the unit. There are several ways to do this, consulting a realtor being one of them.

When you say minimum holding cost, what type of financing are you getting? You need to get a true estimate of what your holding costs will be.

Is it possible to get a contractor in there to give you an estimate of the repairs? If you are not a handyman you will probably underestimate the repairs if you do the estimating yourself.

Thjis sounds like a fairly good deal to learn on (some might disagree), although it would be better if your after repair cost was 70% of retail value instead of 76%.

With no handyman knowledge, of course it would be much better if you could get a house that needs only cosmetic work, for you to learn on, and then work your way up to the more involved deals. Good luck, Mike

You could start by checking out and reading all the posts under the BiggerPockets "Rental Properties and Landlording Forum"

http://forums.biggerpockets.com/viewforum.php?f=52

Have you tried to market in:

Chula Vista
El Cajon, Blossom Valley, Alpine
Escondido
Sierra Mesa
Kearney Mesa

The key is to find motivated sellers, whatever technique you use. Have you tried bandit signs or other advertising to get people calling you?

Someone else may know, but you could call a mortgage broker in your area and ask your questions, to see what the current requirements are, which change all the time. There are several FHA plans that allow you to get in with nothing down. There may be a minimum loan balance and I don't know if $30K is too small a loan or not. Is there any chance of owner finance? Good luck, Mike

Hey Mike, welcome! I used to live in Bellevue WA, and spent alot of time up in Lynnwood, mostly shopping in all the retail you have there. I have heard that values have stayed pretty healthy there unlike elsewhere in the country. Is that true for Lynnwood? Keep us informed with your efforts, Good luck, Mike

Hello Key,
Welcome to BigerPockets! I hope whatever you are involved in works well for you. Since your post was edited I assume you posted a solicitation, which can't be done in this particular forum. That's just the rules around here. We still want to know what you are about - let us know where your from, and what kind of investing you are into. Good luck, Mike