You will have a chance to inspect the plumbing during the inspection phase of your purchase and if it's bad you can try to negotiate with the bank or often walk away. Rentals depend on condition, type, number. Asbestos siding will never rot and is quite durable, but yes there are concerns about the dust if they are damaged or removed.
Putting in an offer costs nothing. Waiting longer risks a further price reduction by the seller and new interest from other parties. An offer for 30% lower than the asking price in my opinion has very little chance to be accepted but there are no rules when it comes to this.
Sitting around doing nothing doesn't help you... do something to get the ball rolling.
If they don't counter offer in 2 weeks, offer $5000 more, and hopefully they will either accept or counter.
Keep going as long as your comfortable with what you are offering.
There are lots of fish in the ocean. Don't fall in love with the house as it just makes you offer more than you should.
The house was reduced to 91,000 and there are no takers at that price.You want to offer 71,000.How much do you think will cost you to bring this house up to speed.What ever it costs you would be more than what you are offering which means there will be no buyers for a while to pay you for your investment.
From you writing you seem to be making the worse mistake a buyer can make-you are falling in love with the place-.Also why in the world do you want to buy a house that rounded by rentals?As a general rule the value of a house is decreasing when is in the proximity of rental property and the opposite is true My advise to you walk
You're in for some treasures!!! Is your offer in the form of cash? If it is cash I say go for it. If it is a conventional loan and if you find out that there are no offers since it's been on the market, they might take it or counter-offer. Make sure you get an agent to represent you. Do not work directly with the listing agent because their interest is with the bank not you - the buyer.
Cash is KING!
I will be happy to help you. My contact information is:
Cell - 612-616-7542
Office - 952-927-1156
If the home has truly not had any offers in two years then I would say put in the offer, they might counter, or just reject your offer. If they reject your offer, put in a higher one, your agent should be willing to do this. You should contact an agent who can represent you, don't contact the listing agent as they will only represent the bank, and ask them to find out for you if this house has had any offers and if so why have they not been accepted. Then if the answer has been no offers to date then go for it. You might be getting a home for the price you want. Be willing to buy as is with no expectation of them doing any repairs or concessions. Lot's of luck to you. If this home is in Ocean County NJ, I'll be happy to help you out. Contact me via email or phone me on my cell.
Coldwell Banker Riviera Realty
1055 Lacey Rd.
Forked River, NJ 08731
609-693-1500 x 140
I would like to make a suggestion that I do not see on here. Get an unbiased set of eyes to look at the property. My first offer was on a 1920â€™s era house that needed a complete gut rehab. At that point, I did not have any idea what horrors I would face, so I spend $200 for a 203K FHA Consultant to do a walk through inspection. This was just a brief one hour walk through where he pointed out things that would have been complete nightmares like knob and tube wiring, illegal fire place, and what we thought was a newer furnace being 15 years old. The deal really never made it past the opening offer, but it was money well spent.
Also, when you make your offer to the bank, give them a run down of what needs repaired in the house to get it up and running again. I canâ€™t guarantee it will help your cause, but it will show your high level of interest in the property as well as your knowledge about why you place a value under market on their property.
And as advised, work with a good buyerâ€™s realtor, when the deal finally goes through, Iâ€™m sure I will say my realtorâ€™s commission will be the best money I spent (or didnâ€™t spend depending on how one views where the commissions comes from). Either way he certainly earned every penny of it.
I love the older homes too,
Anyhow, make your offer that you would feel good paying. You must have no resentments at all because home prices will continue to fall. You must get a great deal at the front end purchase price to reduce the risk of substantially overpaying for property.
Offer $50,000 and come up to $71,000 but only after and if they earn the extra $25,000 via concessions and expert negotiating skills.
Since you really want the home go for it. Just make sure you have the ability to do all the repairs and prepare for a some unexpected expenses. A cash offer with a quick closing is a definite plus.
Being the price was set at market value, the bank would not accept lower than that, they do not have to. My suggestion is, this house has dropped considerably already and if you really want the house, put in your offer, but be willing to come up to their counter, if they give one, or at least close to the counter. Be prepared to purchase as is, so do home inspections before your offer if possible and lots of luck
Now - what about the cost of bringing the house back in good shape. You mentioned plumbing and there's possibly a few other things you'll want to do. Are you prepared for those expenditures?
It can be surprising what some of the bank will accept - so try your offer of $71,000. There's only two things that can happen. They can say NO and you have to make another decision as to whether or not you up your offer . . . . or they can say YES - and you'll move forward from there. In shoret - GO FOR IT.