Posted by Derek(NC) on July 14, 2002 at 22:38:55:
Thanks for the help…NOT!!!
Any way this will work!! - Posted by Derek(NC)
Posted by Derek(NC) on July 14, 2002 at 11:40:00:
The details: 4/3 3485 sq.ft. 1.5 acres in middle class quiet neighborhood.
This house is a foreclosure and has been on the market for 30 days.
Asking: 109,900
House comps:130,000
assessed value:151,035
estimated repairs:25,000-30,000
profit:10,000-15,000
The formula that I used, this house is not worth my time.
fmv 130,000 x .70ltv = 91,000 - 30,000 - 15,000 = 46,000 offer
The bank will only discount the mortgage .20 at this time.
The realtor said the house will sit for a year, then go up for auction. Looks to me, this is what will happen! It is a same they will allow a house like this just rot.
Does anyone have any other ideas, or is it just not worth my time right now?
Re: Any way this will work!! - Posted by Ronald * Starr(in No CA)
Posted by Ronald * Starr(in No CA) on July 14, 2002 at 23:50:33:
Derek–(NC)--------------------
You showed the numbers: Asking $109K plus $30K fix up and then it is worth (Comps) $130K. No profit here.
There are a lot of screwy situations where properties go to waste. Some of them you can do something about. Some you can not. This is a NOT.
“Next” is your next action.
Good InvestingRon Starr****