Ok Ladies & Gentlemen! It is time to pull the trigger on another venture. The details are as follows…
I found a gem of a foreclosure that is located next to a public golf course.
It should appraise for about $208,000 – 230,000 after about $15,000 in repairs and upgrades.
The place was built in 1918 and is a 4 BR 1 BA “old-school” colonial, complete with tall white columns. Being next to a historic neighborhood and the local university should prove this house’s staying power. The bank is asking for $111,000, but I could probably knock a little off of that, maybe $10k. We will see. (This deal will leave me about $84k in equity if the numbers pan out.)
Before I start that process, I have to make sure of a couple of things. First, the foundation and the overall structure has to be sound. Afterall, the place is almost 100 years old. Second, I have to make sure the house fits into my strategy of buy and hold. This means, I won’t put myself at a disadvantage when it comes to monthly mortgage notes. You never borrow more than you can handle! And you never try to rent in an area that has no viable renters. And lastly, I need to make sure that the repairs needed won’t “break the bank”. If it will take more than $20 – $35k to fix up this place, then I simply walk away and look for another deal.
Good Luck to me!
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[...] couple of weeks ago, I told you all about a 3BR/1BA Colonial-style house that sat next to golf course. Everything looked great this part of town is well sought after for [...]