Need more cash!
I looked at a house today that was bought in 2005, the price wasn’t even a “bubble” price, but guy did 100% financing and got $3,000 cash at closing. Anyway, the place is a wreck today and being sold by the bank for $100k less. Comparing the comps, the price he paid in 2005 is about FMV today, give or take maybe $10k-20k (alot of the props are getting $10k at closing).
Well, that would be the case if the place wasn’t so neglected. They aren’t showing the place until Sunday, but I drove by to take a look today and they were pumping out 10inches of water from the basement, ewww… Peered though the windows and I could see some ceiling was missing? I should of asked the guy pumping out the water (they are a clean out company) if I could go inside, but I was to shy, worst he could of said was no… Guess I will have to wait to Sunday to take a look.
Anyhow, the former owner’s name sounded sorta familiar, so I look them up on Facebook, turns out they work at the college I went to for undergrad. I suppose I ran into the guy at one point or another and that is why it sounded sorta of familiar. Do a little Google sleuthing and find out the guy has a bunch of little side business for websites and computer repair, was an “example” alum at his college, had like a 3.8x GPA when he went there.
Long story short, seemed like an all around good guy, don’t know how he let the house get so bad and lose it. I thought the house was kinda ugly from the listing picture, but turns out looking at it in person was not bad. The only thing is that only cash or rehab loans are going to be accepted. I’m short on cash for the whole purchase price and don’t want to take out a rehab loan because they have greater interest.
We’ll get creative after viewing Sunday and actually like the place.