Posted by Charles Clark on January 09, 2003 at 23:52:26:
If you can, make the offer for 180,000 With the seller paying closing costs and 40,000 put in escrow by the seller to pay for the improvements. Then you can get your home for 5 or 10% down, and have the money set aside for the remodeling work.
Charles Clark
First Deal - Posted by BFT
Posted by BFT on January 09, 2003 at 20:26:10:
A property we’re looking to purchase is listed on the MLS for 219K. It has 4 beds, 3 baths on a “finished” basement that needs to be redone. Although the structure looks sound, I believe the home needs work if we’re going to purchase it. The home is approx 4 yrs old.
According to MLS, the property has been on the market for 12 months and is owned by a corporation who bought the original owner out on a relocation agreement.
Thinking about offering 140k with with approx 40k needed in improvements to satisfy our tastes. This will be our first deal and primary residence as we embark in R.E. Investing. Any advice? Are our aspirations too lofty? Any comments or suggestions will be greatly appreciated. Thanks!
BFT
Re: First Deal - Posted by Clair-MO
Posted by Clair-MO on January 10, 2003 at 23:54:49:
BFT, I would try to negotiate a 20% to 30% reduction of the asking price and if the appraisal is a higher than the asking price. You could ask the owners to give you credit at closing for repairs. The rule “Buy low and refinance high” for fix up costs.