Where to turn... with vacant properties - Posted by Jon

Posted by Becky IL on July 17, 2001 at 13:31:05:

Don’t go to a realtor unless the property is already listed. You can find the owner’s information at the courthouse/County Assessor’s Office and then contact them and ask if they would like to sell their house. If the answer is yes, then you need to do some due diligence on determining the amount of repairs needed, the after-repair value of the home, minimum profit you want to make, costs you’ll have for holding the property while repairs are being done, financing costs if you’re getting hard money or private financing, and negotiate from there. If you can, you try to get the owner to finance you or take it subject to, but then have them pay a couple of months of payments while you’re repairing the property because, after all, if there’s a mortgage, they’ve been paying on it already while it’s sitting there vacant.

But start by finding the owners and asking them if they want to sell.

Where to turn… with vacant properties - Posted by Jon

Posted by Jon on July 17, 2001 at 11:35:37:

In a neighborhood not far from where I live I see a lot of boarded up and vacant properties. My question is where do I go from here. I was told that you should call a local realtor that you can work with. Or do I go to the county courthouse and get information on who the owners might be.
How do I go about making an offer. I’m a newbie, but I do see that there is plenty of opportunity in this area.
Any advice would be much appreciated…

Re: Due diligence - Posted by John P. (CO)

Posted by John P. (CO) on July 18, 2001 at 24:16:53:

If there are a lot of vacant buildings, don’t just assume that because you buy them and paint them someone will want to live there. Although “opportunities” may be more numerous in half vacant neighborhoods, homes are easier to turn or rent in thriving neighborhoods.
Now, you may just be ahead of the crowd and really on to something. Research going rents and sale prices in the exact area and make sure you can cover your costs and make the profits and/or cash flow you need. Assess the turn time, also. Have you seen “For Sale” signs on the same houses for 4 months running? Do the real estate magazines in the grocery stores list homes in this neighborhood showing the yards covered with snow? How long can you afford to make extra mortgage payments while waiting to sell/rent the house?
While we can take pride in improving neighborhoods, one rehabber can’t do it alone, especially as a newbie. You will do the most people the most good over the long haul if you hold out for the opportunities that will turn quickly and provide for your prosperity. Good luck and God bless!

Joe Kaiser’s course… - Posted by AWWMi.

Posted by AWWMi. on July 17, 2001 at 22:39:43:

on ‘abandoned’ properties is available pretty cheap at this website. I have it and am using it now. It gives a good heads up on what to do with those properties. First off, is it in a favorable enough area for resale? Will you be able to find the owners somewhat easily? How do you contact the owners? What will you ask them? Do you know how to set up for a ‘flip’? This is just some of the things that need to be learned before you become proficient at these type of properties. Did you know that most bigger cities has a list available ‘free’ to investors that has all properties listed with code violations. Some would be motivated to sell. In my opinion, if you want to do something with these houses, Joe’s course is well worth the gilders.

Re: Where to turn… with vacant properties - Posted by amanda

Posted by amanda on July 17, 2001 at 17:47:35:

You should also have the county assessor online. I live in Oklahoma county and find almost anything I need to know at anytime with this. It saves a ton of time. Where ever you live, you should have one online, just ask the county. They should know. Got any questions, just email me.