*** Official Real Estate Forum *** (1 Viewer)

Othis.

I am pulling a CAP rate of 11.47 off of the 112 Park Place property WITH Management included and it's a Brick Building.

I would sure want solid proof that 1/1's are renting all day long in Alburn NY, but it seems solid if you trust the numbers they give you. Get copies of leases PRIOR to your bid.

Seriously, the Owner will most likely balk at that, but honestly, it because he is a complete lying punk, and the numbers don't jive.

From what I would guess about Upstate NY, these numbers don't jive/something is wrong/someone is Lying. Something doesn't fit. It has those performance numbers where a PM is already included in a Market like NY????

Honestly? I will tell you what Mike Anderson would do here. I have been an Investor for over 10 years, and a Full time investor for 3 years. I specialize in Cash Deals where either I pay Cash, or if I HAVE to Finance, I get cash at Closing, my best is walking away from the table with $21K.

I would float Bass $100.00 as someone I trust and ask him as a PM to dissect this with a fine tooth comb. To be my "Expert"/Representative/trusted FBG to try and understand this deal. I would Hire Bass, and Expect to just forfeit $100.00 to understand this inside and out. For that $100.00 I want serious insight into this entire operation. I would think given Bass's profession, he would gladly accept a C-Note to research another market he might be able to operate in. Money well spent all around, but I would want Bass to get Medieval on this website/concept of what these properties are worth.

It's out of my market, SEEMS awesome, but I would check it out like there is no tomorrow. Assume something is wrong.

Jeff is stronger than I am at this, but that is the way I would approach it.

I did the following once before, but we are further along in the thread, and I want to clearly state the following:

Since I am on staff at FBG, and a Licensed Real Estate Agent in, the Mecca of all Civilization, Indiana, I want to clearly state that I have no affiliation with Bass, in fact I seriously don't know his first name. Do I trust him on this subject? ABSOLUTELY, but it is Mike Anderson, Everyday citizen that trusts him. Any representation I make is that of Mike Anderson, and in no way shape and form of/for FBG.

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OK -- I listed my house For Sale By Owner yesterday. Got into the MLS and am offering 3 percent to buyer's agents.

Had three agents with buyers in yesterday - two seemed very interested - and two today with a third coming after work. Both visits today went well too.

But no offers yet. Are there any steps I should be taking? Calling the agents and asking them what their clients thought? Or is that behavior that will attach the stench of desperate seller to me?

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Based on what little else I can figure out, it seems that many of these homes may be in the vicinity of SU. I am guessing that a college town may be a fairly lucrative place to rent out apartments because you always have plenty of demand and turnover is probably not a major issue, and you've probably got lots of kids whose parents are putting up the cash and in the context of tuition and other college expenses, the rent doesn't seem enormous and is just accepted as part of the package, so folks may be willing to spend a little extra (this is just a guess and based on what I remember my student experience to be like).

MA - to answer one of your questions about, the history home that seems too good to be true is apparently yearly and month-to-month leases. With zero knowledge of this stuff I can only assume that the month-to-monthers (and I don't how many of the renters are month-to-month, but the website indicates that at least some are) makes it a more risky investment because you could have substantial turnover all at once and/or will be forced to eat the turnover costs more regularly than with yearly renters.

A rookie's perspective.

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Othis.

I am pulling a CAP rate of 11.47 off of the 112 Park Place property WITH Management included and it's a Brick Building.

I would sure want solid proof that 1/1's are renting all day long in Alburn NY, but it seems solid if you trust the numbers they give you.  Get copies of leases PRIOR to your bid. 

Seriously, the Owner will most likely balk at that, but honestly, it because he is a complete lying punk, and the numbers don't jive.

From what I would guess about Upstate NY, these numbers don't jive/something is wrong/someone is Lying.  Something doesn't fit.  It has those performance numbers where a PM is already included in a Market like NY????

Honestly?  I will tell you what Mike Anderson would do here.  I have been an Investor for over 10 years, and a Full time investor for 3 years.  I specialize in Cash Deals where either I pay Cash, or if I HAVE to Finance, I get cash at Closing, my best is walking away from the table with $21K.

I would float Bass $100.00 as someone I trust and ask him as a PM to dissect this with a fine tooth comb.  To be my "Expert"/Representative/trusted FBG to try and understand this deal.  I would Hire Bass, and Expect to just forfeit $100.00 to understand this inside and out.  For that $100.00 I want serious insight into this entire operation.  I would think given Bass's profession, he would gladly accept a C-Note to research another market he might be able to operate in.  Money well spent all around, but I would want Bass to get Medieval on this website/concept of what these properties are worth.

It's out of my market, SEEMS awesome, but I would check it out like there is no tomorrow.  Assume something is wrong.

Jeff is stronger than I am at this, but that is the way I would approach it. 

I did the following once before, but we are further along in the thread, and I want to clearly state the following:

Since I am on staff at FBG, and a Licensed Real Estate Agent in, the Mecca of all Civilization, Indiana, I want to clearly state that I have no affiliation with Bass, in fact I seriously don't know his first name.  Do I trust him on this subject?  ABSOLUTELY, but it is Mike Anderson, Everyday citizen that trusts him.  Any representation I make is that of Mike Anderson, and in no way shape and form of/for FBG.

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MA:Thanks a million for the response. Now, I am going to reduce my credibility around here even more than the time I posted undercarriagle camera phone shots of the previous night's prey as she lay in a drunken haze in my bed for all the world to see -- what means "CAP rate"?

And if BnB were interested in such an arrangement, that $100 seems like a good investment of resources if this is really to be conisdered...

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Othis.

I am pulling a CAP rate of 11.47 off of the 112 Park Place property WITH Management included and it's a Brick Building.

I would sure want solid proof that 1/1's are renting all day long in Alburn NY, but it seems solid if you trust the numbers they give you. Get copies of leases PRIOR to your bid.

Seriously, the Owner will most likely balk at that, but honestly, it because he is a complete lying punk, and the numbers don't jive.

From what I would guess about Upstate NY, these numbers don't jive/something is wrong/someone is Lying. Something doesn't fit. It has those performance numbers where a PM is already included in a Market like NY????

Honestly? I will tell you what Mike Anderson would do here. I have been an Investor for over 10 years, and a Full time investor for 3 years. I specialize in Cash Deals where either I pay Cash, or if I HAVE to Finance, I get cash at Closing, my best is walking away from the table with $21K.

I would float Bass $100.00 as someone I trust and ask him as a PM to dissect this with a fine tooth comb. To be my "Expert"/Representative/trusted FBG to try and understand this deal. I would Hire Bass, and Expect to just forfeit $100.00 to understand this inside and out. For that $100.00 I want serious insight into this entire operation. I would think given Bass's profession, he would gladly accept a C-Note to research another market he might be able to operate in. Money well spent all around, but I would want Bass to get Medieval on this website/concept of what these properties are worth.

It's out of my market, SEEMS awesome, but I would check it out like there is no tomorrow. Assume something is wrong.

Jeff is stronger than I am at this, but that is the way I would approach it.

I did the following once before, but we are further along in the thread, and I want to clearly state the following:

Since I am on staff at FBG, and a Licensed Real Estate Agent in, the Mecca of all Civilization, Indiana, I want to clearly state that I have no affiliation with Bass, in fact I seriously don't know his first name. Do I trust him on this subject? ABSOLUTELY, but it is Mike Anderson, Everyday citizen that trusts him. Any representation I make is that of Mike Anderson, and in no way shape and form of/for FBG.

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MA:Thanks a million for the response. Now, I am going to reduce my credibility around here even more than the time I posted undercarriagle camera phone shots of the previous night's prey as she lay in a drunken haze in my bed for all the world to see -- what means "CAP rate"?

And if BnB were interested in such an arrangement, that $100 seems like a good investment of resources if this is really to be conisdered...

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First of all, I appreciate the kind words Mike.Personally I think Otis should take the $100, fill up his gas tank, buy new film for the camera, hop in the car with one of his hot girlfriends, and take a trip to the area. I'd schedule a meeting with two local property managers, preferably ones that don't list and sent real estate also. Pick their brain for suggestions on where to invest in the area. They should be able to pinpoint the best areas, give an opinion on rents and vacancies, and provide an idea about what products are in demand. Knowing this, you should be able to see if the properties you've id'ed meet these criteria. From there, I'd pick up a local paper and drive around town. You should be able to get a good feel for the market in a day or so and determine if what you see with your own eyes matches what you're being told. This trip should also afford you the opportunity to look at other potential investment properties that might be for sale so you can compare the condition/prices with the ones you've found online. Lastly, snap plenty of pics of hot girlfriend and post at :e: .

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Jeff...

Do you have any insight on "Investors United", a Real Estate Investment School on Harford Rd here in Crabtown?

The situation...my wife took a buyout from the only job she's had(she's 46), a major fast food company.

We're comfy into the fall w/the buyout, and want to examine several avenues, as we're looking to put her "in business" as opposed to "get another job"

We have minimal RE experience...I mentioned awhile back we bought property for both our kids @auction, in 2000 and 2003, and did very well with both. We sold the first property for 110% of purchase price, 4 1/2 yrs holding time. The second is living in his, and his has doubled in value in 3 yrs (in Essex, just off the water)

Mrs Ravnzfan is a bit on the conservative side, and is not likely to dive into RE as a business w/o some guidence---hence the insight on "Investors United", if you have any....

...I'll hang up, and listen

TIA

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MOM LOSES APPEAL IN LEAD POISONING SUIT AGAINST DETROIT

A federal appeals court on Wednesday upheld a lower court's ruling that the city of Detroit and the Detroit Housing Commission can't be sued over lead poisoning a child allegedly contracted while living in city-owned housing.

Dellita Johnson sued in 2003 on behalf of her son, Jerome Johnson Jr., who lived with her at the jeffries Homes public housing project, just off the Lodge Freeway near downtown Detroit, from 1988 until 1992.

Jerome, now 19, was diagnosed with lead poisoning at age 2. Even before that the city and the Housing Commission were aware of the hazards caused by peeling, chipping and flaking of lead-based paint in her apartment, Johnson alleged in her complaint.

The 6th U.S. Circuit Court of Appeals, like U.S. District Judge Robert Cleland in his 2004 ruling did not consider the truth of Johnson's claims because it found she did not have the right to sue under federal law.

Johnson argued the United States Housing Act required the city and the commission to provide her housing that was "safe, decent and sanitary," and the Lead-Based Paint Poisoning Prevention Act required them to inspect for and attempt to eliminate lead hazards.

But the courts found those laws do not create rights for individuals such as Johnson to sue to enforce them.

"Obviously, we're disappointed," said Johnson's attorney, Mark Bendure, who said he will consider a further appeal.

"It seems to me just intuitively strange that Congress passes a statute that's designed to protect children from brain damage but they really didn't intend the brain-damaged children to be entitled to any civil relief".

Lead poisoning can cause many health hazards, including difficulty learing and behavioral problems.

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This appeared in yesterdays Detroit News:

MOM LOSES APPEAL IN LEAD POISONING SUIT AGAINST DETROIT

A federal appeals court on Wednesday upheld a lower court's ruling that the city of Detroit and the Detroit Housing Commission can't be sued over lead poisoning a child allegedly contracted while living in city-owned housing.

Dellita Johnson sued in 2003 on behalf of her son, Jerome Johnson Jr., who lived with her at the jeffries Homes public housing project, just off the Lodge Freeway near downtown Detroit, from 1988 until 1992.

Jerome, now 19, was diagnosed with lead poisoning at age 2. Even before that the city and the Housing Commission were aware of the hazards caused by peeling, chipping and flaking of lead-based paint in her apartment, Johnson alleged in her complaint.

The 6th U.S. Circuit Court of Appeals, like U.S. District Judge Robert Cleland in his 2004 ruling did not consider the truth of Johnson's claims because it found she did not have the right to sue under federal law.

Johnson argued the United States Housing Act required the city and the commission to provide her housing that was "safe, decent and sanitary," and the Lead-Based Paint Poisoning Prevention Act required them to inspect for and attempt to eliminate lead hazards.

But the courts found those laws do not create rights for individuals such as Johnson to sue to enforce them.

"Obviously, we're disappointed," said Johnson's attorney, Mark Bendure, who said he will consider a further appeal.

"It seems to me just intuitively strange that Congress passes a statute that's designed to protect children from brain damage but they really didn't intend the brain-damaged children to be entitled to any civil relief".

Lead poisoning can cause many health hazards, including difficulty learing and behavioral problems.

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Ok, here is my situation:

Own my home, with no mortgage. 

I was originally thinking of getting a vacation home near Disney where a 4BR/3 BATH home with pool in a gated community would run between $250K~$325K. 

Here is an example

This place, like most communities in the area, are zoned for short term rental (STR).  But from what I understand there are so many vacation homes for rent in the area that it is very difficult to show a positive monthy cash flow. 

This is not a major concern for me because we primarily want to use the place ourselves, probably 3 or 4 weeks a year.  If we did rent it out it would only be a few times a year and to be people that we knew.

However I have been on a couple discussion boards and was advised by several people not to buy in these communities because they are zoned for short term rental.  Their thinking is that homes outside the STR areas would be a better longterm investment. 

I am not sure if I agree with this thinking since Disney & Universal aren't going anywhere and property close by should always be in demand but maybe they are right.  My main goal here is not to make a killing in real estate but to find a place we can enjoy for 10 years or so and get a decent return when we choose to sell.

Good idea or bad?

<{POST_SNAPBACK}>

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Ok, here is my situation:

Own my home, with no mortgage. 

I was originally thinking of getting a vacation home near Disney where a 4BR/3 BATH home with pool in a gated community would run between $250K~$325K. 

Here is an example

This place, like most communities in the area, are zoned for short term rental (STR).  But from what I understand there are so many vacation homes for rent in the area that it is very difficult to show a positive monthy cash flow. 

This is not a major concern for me because we primarily want to use the place ourselves, probably 3 or 4 weeks a year.  If we did rent it out it would only be a few times a year and to be people that we knew.

However I have been on a couple discussion boards and was advised by several people not to buy in these communities because they are zoned for short term rental.  Their thinking is that homes outside the STR areas would be a better longterm investment. 

I am not sure if I agree with this thinking since Disney & Universal aren't going anywhere and property close by should always be in demand but maybe they are right.  My main goal here is not to make a killing in real estate but to find a place we can enjoy for 10 years or so and get a decent return when we choose to sell.

Good idea or bad?

<{POST_SNAPBACK}>

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I'm not a tax accountant, but I believe the IRS only allows 2 weeks of personal use. An extra 1% return somewhere where will pay for your vacation.
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Ok, here is my situation:

Own my home, with no mortgage. 

<{POST_SNAPBACK}>

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Ok, here is my situation:

Own my home, with no mortgage. 

<{POST_SNAPBACK}>

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Can anyone suggest some good reading material for first time home buyers?  Thanks.

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Ok, here is my situation:

Own my home, with no mortgage. 

I was originally thinking of getting a vacation home near Disney where a 4BR/3 BATH home with pool in a gated community would run between $250K~$325K. 

Here is an example

This place, like most communities in the area, are zoned for short term rental (STR).  But from what I understand there are so many vacation homes for rent in the area that it is very difficult to show a positive monthy cash flow. 

This is not a major concern for me because we primarily want to use the place ourselves, probably 3 or 4 weeks a year.  If we did rent it out it would only be a few times a year and to be people that we knew.

However I have been on a couple discussion boards and was advised by several people not to buy in these communities because they are zoned for short term rental.  Their thinking is that homes outside the STR areas would be a better longterm investment. 

I am not sure if I agree with this thinking since Disney & Universal aren't going anywhere and property close by should always be in demand but maybe they are right.  My main goal here is not to make a killing in real estate but to find a place we can enjoy for 10 years or so and get a decent return when we choose to sell.

Good idea or bad?

<{POST_SNAPBACK}>

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I'm not a tax accountant, but I believe the IRS only allows 2 weeks of personal use. An extra 1% return somewhere where will pay for your vacation.
<{POST_SNAPBACK}>

Click to expand...

Ok, here is my situation:

Own my home, with no mortgage. 

I was originally thinking of getting a vacation home near Disney where a 4BR/3 BATH home with pool in a gated community would run between $250K~$325K. 

Here is an example

This place, like most communities in the area, are zoned for short term rental (STR).  But from what I understand there are so many vacation homes for rent in the area that it is very difficult to show a positive monthy cash flow. 

This is not a major concern for me because we primarily want to use the place ourselves, probably 3 or 4 weeks a year.  If we did rent it out it would only be a few times a year and to be people that we knew.

However I have been on a couple discussion boards and was advised by several people not to buy in these communities because they are zoned for short term rental.  Their thinking is that homes outside the STR areas would be a better longterm investment. 

I am not sure if I agree with this thinking since Disney & Universal aren't going anywhere and property close by should always be in demand but maybe they are right.  My main goal here is not to make a killing in real estate but to find a place we can enjoy for 10 years or so and get a decent return when we choose to sell.

Good idea or bad?

<{POST_SNAPBACK}>

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OK -- I listed my house For Sale By Owner yesterday. Got into the MLS and am offering 3 percent to buyer's agents.

Had three agents with buyers in yesterday - two seemed very interested - and two today with a third coming after work. Both visits today went well too.

But no offers yet. Are there any steps I should be taking? Calling the agents and asking them what their clients thought? Or is that behavior that will attach the stench of desperate seller to me?

<{POST_SNAPBACK}>

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OK -- I listed my house For Sale By Owner yesterday. Got into the MLS and am offering 3 percent to buyer's agents.

Had three agents with buyers in yesterday - two seemed very interested - and two today with a third coming after work. Both visits today went well too.

But no offers yet. Are there any steps I should be taking? Calling the agents and asking them what their clients thought? Or is that behavior that will attach the stench of desperate seller to me?

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UPDATE: Sold the house on April 28 for $100 over asking price (though we're contributing $2,500 toward closing).Had lots of interest, but was really looking stuck when the guy we're buying from (settling on July 31) said he was going to exercise his rentback option for August. That meant we wouldn't be able to be out until mid-Sept., which was killing people who wanted to be in our house by mid-August in time for the new school year -- we live in a great school district.

But then the guy changed his mind, put in writing that he wouldn't have post-settlement occupancy, and we sold the house in a day. We probably could have gone back to some of the people who turned away when it looked like mid-August residency was out of the question and tried to crank up a bidding war, but by that point we were just ready to be done with it.

All told, we saved ourselves about $7000 doing FSBO. I'm not convinced it was worth the hassle, but that money should pay to have the floors of the new house refinished, the move (only .3 of a mile) and maybe have a little left over for furniture.

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Can anyone suggest some good reading material for first time home buyers?  Thanks.

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Ok, here is my situation:

Own my home, with no mortgage. 

I was originally thinking of getting a vacation home near Disney where a 4BR/3 BATH home with pool in a gated community would run between $250K~$325K. 

Here is an example

This place, like most communities in the area, are zoned for short term rental (STR).  But from what I understand there are so many vacation homes for rent in the area that it is very difficult to show a positive monthy cash flow. 

This is not a major concern for me because we primarily want to use the place ourselves, probably 3 or 4 weeks a year.  If we did rent it out it would only be a few times a year and to be people that we knew.

However I have been on a couple discussion boards and was advised by several people not to buy in these communities because they are zoned for short term rental.  Their thinking is that homes outside the STR areas would be a better longterm investment. 

I am not sure if I agree with this thinking since Disney & Universal aren't going anywhere and property close by should always be in demand but maybe they are right.  My main goal here is not to make a killing in real estate but to find a place we can enjoy for 10 years or so and get a decent return when we choose to sell.

Good idea or bad?

<{POST_SNAPBACK}>

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I'm not a tax accountant, but I believe the IRS only allows 2 weeks of personal use. An extra 1% return somewhere where will pay for your vacation.
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I don't quite follow the second sentence, so I can't correct it.BnB, let us know what you meant there.

Always ask an accountant on this one and the rules on second homes / rentals.

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Thanks, and thanks for all your help along the way.

Looking forward to the move -- I really am planning on living in the new place for the next 40 years or so.

After June 15 settlement on my place (the buyer has a rate lock that expires in late June) we're renting back for 2 months and not settling on the new place until July 31. That means I'm going to have about $170,000 sitting around for 6 weeks -- what's the best thing to do with that cash? 30-day CD? How much would that earn?

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Ok guys, I've got a question.

A house a few miles down the street from mine is on the market, and I think it's an opportunity.  My appraiser says that in average condition it's worth roughly $385k if it were in average condition. (I think he's a bit high)

They're only asking $250k for the house.  There's something here - I'm going to look at it tommorow.  The problem is that I have no idea how much it costs to gut a house and start over, or really even where to start.  I'm trying to get ahold of a contractor right now to come look at this with me, but figured I'd look to the FFA for some help.

Wife's coming to bed.  Gotta go. 

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Thanks, Jeff.  I've got a call in to a contractor I know.  FYI, this house has an unfinished 600 sqft basement, which is something else I like - turn it into a 1700sqft house intead of 1100. I'm headed out there in a half hour to take a bunch of pictures, measure square footage, etc.  Anything else I should do/look for while I'm out there?

This is the only day they're showing the house because of tenants, so I'll have to get the place on contract before I can do anything else, unless I can schmooze my way in.  Pizza for the tenants will probably work. 

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Check this site out guys:

Kiplinger's Best Places To Live

Under Ideal Hometowns, click on the link take a look at affordable homes.

I just moved to Austin and my house is shown as the final house! 

I do have a question:

On said house, we have a garage in the back that needs a lot of repair on the bottom portion of the structure due to a flood that happened years ago. Basically, it needs to be elevated. Solid brick on either side but should I simply tear it down and rebuild a brand new garage apartment? We are actually two doors down from the University of Texas shuttle and in a pretty prime area.

Edit: Doing so to rent out to make a nice bit of money towards paying mortgage.

Thanks and this thread is the best!

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Check this site out guys:

Kiplinger's Best Places To Live

Under Ideal Hometowns, click on the link take a look at affordable homes.

I just moved to Austin and my house is shown as the final house!

I do have a question:

On said house, we have a garage in the back that needs a lot of repair on the bottom portion of the structure due to a flood that happened years ago. Basically, it needs to be elevated. Solid brick on either side but should I simply tear it down and rebuild a brand new garage apartment? We are actually two doors down from the University of Texas shuttle and in a pretty prime area.

Edit: Doing so to rent out to make a nice bit of money towards paying mortgage.

Thanks and this thread is the best!

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Check the local laws / ordinances about having a tenant. Then figure out what college kids would pay for an apt. like that (or better yet, someone who works there given how college renter kids are). Multiply that rent number by $100 and if you can build it for under that amount - go for it.(EX: $600 a month - $60,000 budget to build).

Good luck.

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I have a quick question regarding 20 or 30 year mortgages. For a first time buyer looking at a condo/townhouse, is it better to go with the 30 year loan? I would most likely be here for five years tops. Other then the size of the payment, I'm really not sure of the other big differences between the two loan sizes. Please enlighten me. Thanks.

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Check this site out guys:

Kiplinger's Best Places To Live

Under Ideal Hometowns, click on the link take a look at affordable homes.

I just moved to Austin and my house is shown as the final house!

I do have a question:

On said house, we have a garage in the back that needs a lot of repair on the bottom portion of the structure due to a flood that happened years ago. Basically, it needs to be elevated. Solid brick on either side but should I simply tear it down and rebuild a brand new garage apartment? We are actually two doors down from the University of Texas shuttle and in a pretty prime area.

Edit: Doing so to rent out to make a nice bit of money towards paying mortgage.

Thanks and this thread is the best!

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Check the local laws / ordinances about having a tenant. Then figure out what college kids would pay for an apt. like that (or better yet, someone who works there given how college renter kids are). Multiply that rent number by $100 and if you can build it for under that amount - go for it.(EX: $600 a month - $60,000 budget to build).

Good luck.

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Thanks Jeff and love this thread! Curious, but how did you come up with rent number and X by 100? I am pretty positive the cost to update will be much less than what I can rent out.

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Check this site out guys:

Kiplinger's Best Places To Live

Under Ideal Hometowns, click on the link take a look at affordable homes.

I just moved to Austin and my house is shown as the final house! 

I do have a question:

On said house, we have a garage in the back that needs a lot of repair on the bottom portion of the structure due to a flood that happened years ago. Basically, it needs to be elevated. Solid brick on either side but should I simply tear it down and rebuild a brand new garage apartment? We are actually two doors down from the University of Texas shuttle and in a pretty prime area.

Edit: Doing so to rent out to make a nice bit of money towards paying mortgage.

Thanks and this thread is the best!

Click to expand...

Check the local laws / ordinances about having a tenant. Then figure out what college kids would pay for an apt. like that (or better yet, someone who works there given how college renter kids are). Multiply that rent number by $100 and if you can build it for under that amount - go for it.(EX: $600 a month - $60,000 budget to build).

Good luck.

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Thanks Jeff and love this thread! Curious, but how did you come up with rent number and X by 100? I am pretty positive the cost to update will be much less than what I can rent out.

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Gutting a house and "starting over" is AT LEAST $50 a square foot, assuming a full gut job.

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Any chance you'll be holding a seminar at a resort in Scottsdale that I can attend?

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Gutting a house and "starting over" is AT LEAST $50 a square foot, assuming a full gut job.

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I did mine for $0.30 per sq ft including new HVAC. Of course I found a note from the inspector saying have your electrician call me and spent all day today reassembling the cabinet drawers which were backwards. This could get interesting. Should I have asked for green cards?

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Gutting a house and "starting over" is AT LEAST $50 a square foot, assuming a full gut job.

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I did mine for $0.30 per sq ft including new HVAC. Of course I found a note from the inspector saying have your electrician call me and spent all day today reassembling the cabinet drawers which were backwards. This could get interesting. Should I have asked for green cards?

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There's no way you did a complete rehab for $.30 a square foot.HVAC costs $3-5K - even if you got it for $2K - for a 4,000 sq.ft. house - both are BIG REACHES - that would be $.50 a sq. ft.

The rule of thumb for most builders is AT LEAST $100 / sq. ft. - but that includes the land.

Back out the land and you are $50-75 a sq. ft.

I'm doing a high end rehab in Baltimore and am spending about $90 / sq. ft.

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Gutting a house and "starting over" is AT LEAST $50 a square foot, assuming a full gut job.

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I did mine for $0.30 per sq ft including new HVAC. Of course I found a note from the inspector saying have your electrician call me and spent all day today reassembling the cabinet drawers which were backwards. This could get interesting. Should I have asked for green cards?

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There's no way you did a complete rehab for $.30 a square foot.HVAC costs $3-5K - even if you got it for $2K - for a 4,000 sq.ft. house - both are BIG REACHES - that would be $.50 a sq. ft.

The rule of thumb for most builders is AT LEAST $100 / sq. ft. - but that includes the land.

Back out the land and you are $50-75 a sq. ft.

I'm doing a high end rehab in Baltimore and am spending about $90 / sq. ft.

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Any good, rough, sq. ft. estimate for an addition? Or is that similar to a new building of at least $100 sq. ft.?Love the thread, BTW.

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Prices vary widely by region and how hungry contractors are for work. Sounds odd, but think about it - they will go work for whomever pays them the most. If they have little to no work, they will work for less just to work.That's why you get a deck built in December.

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Any good, rough, sq. ft. estimate for an addition? Or is that similar to a new building of at least $100 sq. ft.?

Love the thread, BTW.

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Depends on what you're building. Foundation? Basement? Electric? Plumbing? Roof?Prices vary widely by region and how hungry contractors are for work. Sounds odd, but think about it - they will go work for whomever pays them the most. If they have little to no work, they will work for less just to work.

That's why you get a deck built in December.

Find 3-4 contractors and have them bid on your project. Hang out early at a Home Depot or Lowes and meet some contractors there. Ask at the courtesy desk for a few contractors. Get recommendations from friends that have had work in the area.

It is a word of mouth biz to find good people. I've had work / labor for under $10 an hour, and I've paid $25 an hour - depends on the skills needed.

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Prices vary widely by region and how hungry contractors are for work. Sounds odd, but think about it - they will go work for whomever pays them the most. If they have little to no work, they will work for less just to work.

That's why you get a deck built in December.

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I am assuming the same logic holds true for in-ground swimming pools. What time of the year is good for this?I'm thinking September or October (after all the pools are closed but before the ground freezes).

This is a great thread, thanks for all of the information.

MrGuy

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Has anyone here ever bought a house through a sherrif sale? If so, how do you do it? Do you do any research beforehand?

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Had an hour to kill on Saturday and took a right turn when I saw an "estate sale" sign.

On my way in, I asked if they were selling the house. They said they were, and they had an offer they were thinking about accepting. I asked how much they were asking for the place, and they said the other offer was for $325k. This seemed low to me, so I got their contact info and did some digging. Appraiser says $430k-$440k, agent says $435k in average condition.

It needs about $10k of updating - and no, that's not a random guestimate. I spent an hour or so there today taking pictures and looking around in great detail - measured the square footage, checked out the attic, had my pops with me to look around too.

I'm offering them $335k tommorow morning. Anything I should watch out for?

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Had an hour to kill on Saturday and took a right turn when I saw an "estate sale" sign.

On my way in, I asked if they were selling the house. They said they were, and they had an offer they were thinking about accepting. I asked how much they were asking for the place, and they said the other offer was for $325k. This seemed low to me, so I got their contact info and did some digging. Appraiser says $430k-$440k, agent says $435k in average condition.

It needs about $10k of updating - and no, that's not a random guestimate. I spent an hour or so there today taking pictures and looking around in great detail - measured the square footage, checked out the attic, had my pops with me to look around too.

I'm offering them $335k tommorow morning. Anything I should watch out for?

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Ask for some form of contingency on the bid - something standard like a home inspection or financing. That gives you an "out" if need be. Go ahead and have a contractor and/or home inspector check it out.Check the foundation - hardest thing to fix. Then water/ septic issues. Then the major arteries of the house - plumbing, heating and electrical (next most expensive things to fix - see the pattern?). Look for approx. age and maintenance issues.

Look for any signs of previous leaks or water damage. Could be nothing (overflown tub for example), or could be something.

If the above checks out - most other things are cosmetic.

At $335K and selling at $435K, sounds like a no-brainer.

If you are bold you can ask for 2 more things:

1. Long time to close (90 business days (when I try and buy time I use "business days" vs. "days" - gets you free weekend extensions).

2. The right to market the property and assign the contract. If you get this, you need to be able to access / fix up the property before closing.

It is possible you COULD clean the place up and sell the contract before ever having to buy the property. This would be assignment deal where you sell the contract to buy the house and take the profit that way. Fancier, but you save on closing costs and lining up $financing$.

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Unfortunately, the family wants quick and easy - not the most $$. They've actually got three offers right now, and aren't taking the high offer - they're planning on taking the cash offer, so I had to make quick today so I can also submit a cash offer, so no worries about closing costs. They want fast, and they want easy. Only contingency I'm going to try for is a short inspection period, but I did bring my dad out there today who has built homes and is a carpenter, and it's got a clean bill of health from him.

I also drove around to the three or four most similar comps this afternoon, and everything seems to check out. I'm a bit as I've never bought a place just to turn over, but this seems like about as easy as they come.

edit: Thanks for the advice - just realized this sounded like I asked your advice and told you you were wrong. I liked everything I didn't comment on.

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Just put an offer down on a place on Saturday, May 13th...Haven't heard anything back, and don't want to miss out on another potential place. So....

1) Can I rescind my offer if I choose ? The owner/other real estate person hasn't accepted my offer....

2) If my offer is rejected, can I have that verified by the seller in signature ? I'm wondering if the real estate agent has some value in mind, and maybe isn't sharing everything with the buyer. Can I get a rejection in writing ?

3) How long should I wait before I move on - assuming that I can rescind my offer ?

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