Posted by Chuck (AZ) on September 01, 2001 at 10:34:42:
Yep… you don’t want to tie up alot of cash on any one deal… ever… because that makes it cash that’s NOT making you MORE money on another deal.
-any suggestions-i need advise a.s.a.p - Posted by rickyd
Posted by rickyd on August 31, 2001 at 23:54:42:
I have found an older doublewide (at least 10yrs old)-in very good condition, sitting on roughly 1/2 acre of land. This is in a small sub-division of d/wds. Probably the only one empty-out of 30-40 d/wds. It has 3 big bd/rms-2 ba-with extra large room, was used as 4th bd.rm. Big walk-in closets. It has a 2-car garage-(the only one out there with that), with a big utility room , fenced-in back yard, covered “rocking chair” front porch, also big back porch (covered). Yard is already landscaped, (needs cleaning up) This d/wd has little over 1700 livable sq ft. It also has a new c/h & air unit.
Previous owner just finalized divorce, and wants to “get rid” of it. He only owes roughly 7k, and only started out asking $17k for the whole package. I talked with him for a brief time, and “jewed” him down to 15k. (pardon the slang). And positive will not go any lower.
It only needs minor repairs. A new roof, and vinyl in kit & bathrm, and small amount of painting.
Before we ran-up on this, another person went to the bank to get financing, and they had someone inspect, and seen it had possible termite damage. I have even gotten est. on getting this treated, so the next person that comes along, should have no problem getting any financing.
Total est. on repairs are about 5k, (thats even paying myself some to participate in some of the repairs). I could flip this property, NO PROBLEM. Already have 3-4 prospects. Am still sort-of new at this, do you think this is a good deal, or should i honestly let it slid by me.--------
please respond, i need some advise, fast. I haven’t actually put any money on this yet, owner is willing to give me a week or so, to get my ducks in a row.-----
Any advise is appreciated.
Thanks----
Rickyd
Re: -any suggestions-i need advise a.s.a.p - Posted by Robin (AZ)
Posted by Robin (AZ) on September 01, 2001 at 12:16:50:
Rickyd,
While I’m sure you meant no particular offense, “jewing” someone down isn’t slang-- it’s a painful racial epithet. When the nobility in Europe refused to deal with money because it was beneath them, the Jews became the bankers. Jewing someone down comes from the idea that the Jews were tough negotiators. As a matter of fact, they were so good at it, they became hated. Hitler used their success in banking as an explanation for the poor German economy, and an excuse to exterminate them. So, it hurts to hear a saying like that, even when no harm was meant.
Thanks for listening,
Robin (AZ)
Re: -any suggestions-i need advise a.s.a.p - Posted by Tony-VA
Posted by Tony-VA on September 01, 2001 at 10:06:01:
I agree with Chuck, this looks like a good subject to deal, based on the exit price you state.
Or, if the seller for some reason won’t bite on that (sometimes the divorce may stress the need to get the debt out their name), you may offer to pay off the existing debt if he will owner finance the balance of the 15K.
You could then work in some details. Perhaps, due to the work needed, you don’t make the first payment for 60 days.
I would suggest you extend the $8k balance out over several years. Chances are decent that in say a year or so, you approached the seller with say $5k, he may jump at the chance for the (lower) all cash in hand today as opposed to receiving the small monthly check. I would suggest you hit him up for this idea just before Christmas. He will be thinking of all the great toys, vacations etc. that money could bring him. (Or if you get an all cash buyer sooner, simply use the same approach then and put more cash into your pocket).
Still a Win/Win. He gets out from the debt and moves on with his life. You get the home and land on decent terms with some room inside the deal to fix it up and sell it for a better price. You then have the ability to provide the seller with all cash if he chooses to discount the note now as opposed to waiting for a small check each month.
Tony-VA
Re: -any suggestions-i need advise a.s.a.p - Posted by Chuck (AZ)
Posted by Chuck (AZ) on September 01, 2001 at 03:20:35:
Workable, if you can do a sim-close… otherwise, I’d be a bit leary of it… especially at this point of your RE “education”.
So… my advise is to buy “subject to”, and treat it as a rehab/flip.
If any of your prospective buyers are willing to do the work, just flip it and walk.
Re: -any suggestions-i need advise a.s.a.p - Posted by Dr. Craig Whisler
Posted by Dr. Craig Whisler on September 05, 2001 at 17:41:40:
If the seller is so inflexible you may not be able to do a deal here. If the seller has monthly payments let him pay them for a while and see if he becomes more flexible. Leave you number with him in case he changes his mind, and keep on looking for other deals. Maybe after he pays out $ 17,000 in payments on a vacant MH (if it is vacant) he might see things in a different light. You can’t make a silk purse out of a sow’s ear. If seller isn’t desperate or at least a little flexible dthen you need to look for one who is. It sounds like you unfortunately fell in love with a property instead of falling in love with low price/great terms. Best wishes from a Jewish re investor. Doc
Re: -any suggestions-i need advise a.s.a.p - Posted by Kim
Posted by Kim on September 02, 2001 at 13:22:40:
Couldn’t have said it better myself.
Thanks Robin and Greg.
Rickyd, you have offended me and my heritage to it’s very core.
Re: -any suggestions-i need advise a.s.a.p - Posted by Greg- PA
Posted by Greg- PA on September 02, 2001 at 08:31:01:
Besides being an insult to many people, it is probably the most unprofessional thing I have heard on this site.
thank you Robin for saying something
Greg -PA
Re: -any suggestions-i need advise a.s.a.p - Posted by rickyd
Posted by rickyd on September 01, 2001 at 07:47:20:
I forgot to mention i’m sure we could get 35k for this after repairs. Thats around 15k profit.----Is your suggestion still the same Mr.Chuck.??
Thanks again for your time-
Rickyd
Re: -any suggestions-i need advise a.s.a.p - Posted by travis
Posted by travis on September 04, 2001 at 19:12:23:
this is for robin & greg. grow up. this man is trying to get some advise on property. he meant no harm.
your writing such rubbish just shows how small you can be. and it is quite obvious that you are having problems with your own heritage.
so if you do not have advise for this man than kindly shut-up, for this is a forum for buisness, not racial issues
Re: -any suggestions-i need advise a.s.a.p - Posted by rickyd
Posted by rickyd on September 02, 2001 at 22:53:26:
I truely didn’t mean any harm,-
ricky