All Forum Posts by: Tony Otis

I'm considering buying a buy and hold rental property. It's already in good condition, although small; 2BD/1BA. 

Looking at craigslist and padmapper, there just aren't that many apartments in the neighborhood currently listed.  I think it'd rent ballpark $1000 to $1200 a month, but $1000/mo gives me a 7% cash on cash return and $1200 gives me a 14% cash on cash return.  A very important difference.

This will be my first rental property.  Should I only stick to neighborhoods with plenty of rentals listed so I can be more confident in the income it will bring in?

I found a few properties I liked on my local MLS and clicked Request Showing. I get an agent that calls me up and shows me some houses. I have a contract sitting in my email unsigned, saying he's a dual agent.

He doesn't personally represent the seller but his brokerage does. If I don't sign his contract, it means he won't be able to show me properties listed on the MLS.

What would you guys recommend here?  This is my first deal so I'm inexperienced.  I'd need an agent who can represent me and help with negotiations, etc.  

Because he originally toured the house with me, is he entitled to the commission? Or if I want, can I find a new buyer's agent? 

Thanks for the clarification.  So would it be a correct statement to say that the market value on a home selling for much less is equal to the after repair value?  So a home selling for 52% below market price is the same as selling at 52% less than what it would be priced after repairs?

New to real estate, would like to buy rental property in the next year or two.  I keep reading that I should be buying property at a discount.  Why would anyone be willing to sell me a house at less than what it's worth?  Are they just unaware of the value?

I see posts in the market place, like the one below, advertising 52% below market value.  Isn't market value defined as what someone is willing to pay?  Why would anyone want to sell something at a dollar amount less than what they could get from someone else?

http://www.biggerpockets.com/forums/517/topics/209799-zionsville---52-below-market-value---check-this-out

Perhaps just to get rid of the property quicker?

Thanks for reading, I'm sure there's something I'm missing here.