Help with distressed owner - Posted by Mary OH

Posted by Mary Oh on August 01, 2005 at 16:53:52:

Thank you James for your response. This would be a rental or maybe I’ll slap it on the market and make a quick $15,000.00, not sure yet. I have a realtor friend pulling comps for me now but my knowledge of the area (it’s my home town) says that this property should appraise at around 98,000.00. I will check on that first however. This property is in town which is a very good area. Thanks again James, is there anything else I should be looking for? Take care, Mary

Help with distressed owner - Posted by Mary OH

Posted by Mary OH on August 01, 2005 at 10:24:11:

Hello everyone. Could someone review this and let me know if I am moving in the right direction. This is the 1st time I received an call to one of my ads.
Home on reg. lot. 3 BR’s 1 bath
Nice shape outside, have not met with owner yet to see inside.
Ownes 70,000.00. 3 months behind
Wants 75,000.00
Property appraised 4 years ago at 90,000.00
Mkt. Value on Tax records is 80,000.00
Many new improvements: wiring, hwt, furnace, roof, and some new windows.
I thought I would just do a bank loan for 75,000.00. Let bank and attorney handle title search etc. Never done a short sale so I thought just going through a bank would be safer. How would all you experienced investors handle this? Would you even touch it? Please help. Mary

Re: Help with distressed owner - Posted by James Harris

Posted by James Harris on August 01, 2005 at 13:32:49:

Mary, my first response would be to offer the amount the seller owes on the property. They are on the rverge of loosing the property anway. Will this be your primary residence or a rental? Have you gotten comps for the property? What is the area like? Would it be hard to rent or sell? Do you have enogh for a couple of months vacancies? Some questions that will need to be answered before you can make an educated desicsion(hope I spelled that reght).