All Forum Posts by: Phillip Dwyer

@Deepu. Pillai I couldn't say.  That will be driven by local market factors.  An appraiser would try to find both sale and rent comps that have similar obsolesce to extract the data.  You can do the same thing depending upon what data is publicly available in your market.  

@Kieran Dowling This property would be considered a commercial property likely. FHA is for residential use only.

@Irina Bondarchuk send me a message when you're ready to hit the market.  I have a client that is actively looking to buy now.  I have a second looking to buy something in about 2 months.  Both are targeting parts of Summerlin.

This is called external obsolescence.  You can't really cure it.  It's safe to assume that some portion of the potential tenant pool may object to living next to an electrical substation.  That may impact your turn over rate, vacancy, time on market, rent rate, ect.  That in turn will impact the market value when you go to sell.  Lots of investors shy away from properties with external obsolescence for this reason.  You're better off finding something with functional obsolescence that can be cured.  Those are value add plays if you get the property at the right price.

@Brandon Foster Looks like you're going to have a bump in listings of former rental properties.  What a mess.  Thanks for sharing.

@Molly Ogunnowo Bradley makes good points on the seller financing questions.  I've helped several clients buy and sell in that area, and I manage several rental properties there.  That area is adjacent to the St. Rose Parkway corridor which is still seeing mass development happening including a new hospital, lots of retail, and apartments.  

@Airene Williamson The Water Street District is experiencing lots of redevelopment.  However, a big chunk of the 2-4 unit properties close to there are probably what many would consider class D.  There may be some longer term redevelopment plays there as it seems the city would like higher density in that area.  

Interest rates took a big dip over the past few days.  I don't think taking the house off the market until spring makes sense.  I'm assuming your area has low inventory like much of the US.  If that's the case, you have less competition now and a bunch of buyers just got a bump in what they qualify for.  Still it does sound like to you need a price adjustment.  

Sent you a pm.  Let's chat.

@Jairo Rincon. I have on in escrow now with a client and KB.  I closed one earlier this year under the same scenario.  They've been good to work with.