Preparing my 1st deal.
I have located a 3 bed, 1.5 bath twin located in my development. It has 1200 sf and a nice large lot.(4,300 sf) The house was in foreclosure. Owner took ill and bank started foreclosure proceedings. Relatives have since filed a writ and stalled the process. They need some $ for medical costs and don't want loose the property.
Property built in 1983..all original. Slab construction. Floor material needs replacement, walls need paint and cosmetic repairs,(heavy smoker)appliances need replacement, plumbing fixtures need replacement, overall needs total interior facelift. Windows and doors are original. Roof approx 10 years. Baseboard electric heat. No A/C. (Heat pumps were an option on original construction)Probably about 20-30% of homes do not have heat pumps in this section.
Zestimate info: $198,500
Value Range: 176,665 - 220,335.
Last sale: 05/1989 $ 90,000.00
2007 Property Tax: $ 2,436
Location: Bucks County, Pennsylvania
Owner is ready to list with realtor at:$ 149,000.00. I verbally told the family, I could not put more than $ 124,000.00 into the deal. Their realtor called me back and said the family was willing to work with me. The realtor left me in the property and I took some photos and a walk-thru. My estimate for refurbishment: $ 35k which includes re-pave driveway,new doors & windows, interior paint & cosmetics, new flooring thru-out, new kitchen and baths.
I have little cash ($1,000.00) Maybe $5k equity in current home. Credit score of 650, Bankruptcy 3 years ago. Debt/Income ratio 45%. I'm thinking I can make just as much if I assign the sale rather than attempt to buy it and flip it. Not sure how to proceed?
Just for kicks, I posted it on craigslist(phila & allentown, PA) yesterday with a price of $ 149k. So far I have 12+ inquires. Everyone wants more info and address which I'm not going to give out unless I have a signed agreement.
Check out photos & craigslist post on 04/18/08
Thank you in advance for your imput.