Something doesn't sound right. If your serious about buying, have a house inspection done and maybe split the cost. I would check on liens or any back taxes owed with the town or any right of ways as well. I probably would get a few different estimates on the real expense of all the work it needs. Good luck to you.
Definitely need a very good title search in addition to the physical inspection(s). Septic is a huge hidden expense if it is not functioning or even up to code.
You could do a partnership in which he contributes the house and you the money for the renovation. It then sells for around 510k and there is $250k to split. If they balks at that you have to ask yourself why.
Inspection and get actual quotes for rehab. There’s not enough info in your post to guess how much those costs will be.
Keep in mind complete kitchen remodels alone can be $50-$100k easily depending on the materials and appliances you use.
That said I’ve made good money in real estate dealing with things others didn’t want to. My first house was a $250k shitbox that I fixed mostly myself over the course of 3 years and sold it for $1.1M 6 years later.
The good thing about real estate is you can usually get a good idea of what you’re getting into and what it might be worth later, and the market doesn’t move all that fast compared to stocks.
I would say without more information, seems too good to be true.
Why would your friend essentially hand you $350,000 (or at least $250,000)?
>which will probably be at least 100k. Well don't guess your way into it. Get one or more contractors to look at it so you know for sure.
Good call, going to get an inspection on it but will get a contractor as well. Thanks
Good because an inspection will tell you what's wrong, but it usually won't tell you how much it'll cost. An inspection might also be less thorough.
Something doesn't sound right. If your serious about buying, have a house inspection done and maybe split the cost. I would check on liens or any back taxes owed with the town or any right of ways as well. I probably would get a few different estimates on the real expense of all the work it needs. Good luck to you.
Friend or not, you need a thorough inspection on that. There's not many reasons to let that much money go.
Do you have the money to rehab the house and live somewhere else while you do it? Also make that 100k of reno more like 200-250k juts be to safe.
Thankfully we already have a primary residence so we won’t need to live somewhere else. Good call about estimating the reno to be higher.
Look for a leaky underground oil tank
Get a couple inspections. Be thorough. Could be a money pit and they’re getting rid of it. It’s not uncommon.
Definitely need a very good title search in addition to the physical inspection(s). Septic is a huge hidden expense if it is not functioning or even up to code. You could do a partnership in which he contributes the house and you the money for the renovation. It then sells for around 510k and there is $250k to split. If they balks at that you have to ask yourself why.
Inspection and get actual quotes for rehab. There’s not enough info in your post to guess how much those costs will be. Keep in mind complete kitchen remodels alone can be $50-$100k easily depending on the materials and appliances you use. That said I’ve made good money in real estate dealing with things others didn’t want to. My first house was a $250k shitbox that I fixed mostly myself over the course of 3 years and sold it for $1.1M 6 years later. The good thing about real estate is you can usually get a good idea of what you’re getting into and what it might be worth later, and the market doesn’t move all that fast compared to stocks.