what state can i get a house for under $5000?

Asked by Duetbirds, San Diego, CA Sun Jan 1, 2012

Help the community by answering this question:

+ web reference
Web reference:

Answers

23
Lance King, Agent, San Francisco, CA
Mon Jan 2, 2012
I would say the state of denial should have plenty of those.
2 votes
, ,
Mon Jan 2, 2012
Ann- You may be close or it may come from some underground financing source. .... Happy New Year, Rudi
Web Reference:  http://www.umboc.com
1 vote
Robert Spino…, Mortgage Broker Or Lender, Mill Valley, CA
Mon Jan 2, 2012
Duetbirds,

The median home price in Detroit is $6000. By definition, this means half are above and half are below. I'm making no representations about the quality of the home, however. :-)

Rob Spinosa
rspinosa@rpm-mtg.com
1 vote
Ron Thomas, Agent, Fresno, CA
Mon Jan 2, 2012
Nigeria probably has something in that range.
1 vote
Christopher…, Agent, Tarrytown, NY
Mon Jan 2, 2012
Hi, I heard that price range is a possibility in Detroit. be careful though, even though that price range is enticing look closely at the underlying economy for the overall area to make sure you will be making a wise investment.

Christopher Pagli
Licensed Associate Broker
Accredited Buyer Representative
William Raveis Legends Realty Group
914.406.9023
1 vote
Annette Law…, Agent, Palm Harbor, FL
Mon Jan 2, 2012
Duet,
It is clear you see now is a good time to take advantage of the current real estate situation.
Take great care when you pluck down your check for a $5K home. It is most likely YOU will be responsible to settle accumulated taxes, fines or penalties related to this property. Even so, you can truly make a killing by paying what is necessary to build a 'cash flow' rich portfolio.

Detroit is the area with the big read "EASY" button over it. Keep in mind, these opportunities can be found in any of the hard hit states although you may need to enlist an expert or two to identify them for you. Be aware, these homes are now the subject of a real feeding frenzy. Be prepared to complete you due diligence quickly and act decisively. Large investors are doing the very same thing you are planning. The number of transaction in 2011 will come close to the market peak. Don't wait too much longer.
Web Reference:  http://www.MyDunedin.com
1 vote
Phil Rotondo, Agent, Melbourne, FL
Mon Jan 2, 2012
Probably in a state of disrepair.
Web Reference:  http://www.321property.com
1 vote
Ali8500, Home Buyer, San Diego, CA
Mon Jan 25, 2016
You can buy a lot of houses through out the American Mid west and rust belt areas for under $5,000

Californians don't actually know how overvalued their properties are currently compared to the rest of America.

All through out Ohio you can find houses under $5,000 also in certain areas of Indiana, Buffalo NY and Chicago and Rockford Illinois but those areas have high crime rates. Lots also available in Memphis TN, and Detroit, MI and Cleveland Ohio also a lot of small towns through out the mid west and south you can buy a great house for under $3,000. If you had $100,000 invested in Chevron paying around 6% you would get $6,000 a year and if you budget wisely you can live a great life in a house purchased for under $5,000.
0 votes
Khrystyna Ch…, Agent, Downtown San Diego, CA
Wed Feb 8, 2012
Haha, this is a great one! :)
Right after I thought to say something clever, I actually read up the answers and a bunch of people too this question seriously and said Detroit! Wow. Can't belive you can get a house even there for 5K! "This is madness!".. Sparta. :) I have to admit I wasn't aware of this.

Good luck on your investment path and please keep us updated on how it goes! I'm curios to see how it turns out!

Thank you!
0 votes
Mike Carraut…, , Canton, MI
Sat Jan 14, 2012
Detroit has a large quantity of homes in this price range.
Web Reference:  http://www.newmerohouse.com
0 votes
That is correct and it's coming back as a great city
Flag Mon Jan 25, 2016
Kathy Hines…, Agent, Frisco, TX
Sun Jan 8, 2012
I have seen propertices in MS, IL and even in TX. It just depends on the location, condition and market. If you a spending $5000 to buy a property, make it a great investment.

Kathy Hines
Keller Williams
972-632-6530
0 votes
, ,
Mon Jan 2, 2012
"Third time is a charm. Yurt Defined: http://www.greenhomebuilding.com/QandA/financial/ways.htm

Happy funding, Rudi
Web Reference:  http://www.umboc.com
0 votes
Ann Ryan, Agent, Doral, FL
Mon Jan 2, 2012
Wouldn't a yurt be best financed by taking out a loan on your yaks? (sorry, I had to go there!)
0 votes
, ,
Mon Jan 2, 2012
Lance- I was going to say something like that until I read Ann's response. .... Mine was "State of Despair" ... Happy funding, Rudi
Web Reference:  http://www.umboc.com
0 votes
, ,
Mon Jan 2, 2012
Ann- Yurts are not necessarily inexpensive. If financing was desired what would be your best idea for a lender that would lend on this property type? Would "like" comps be required? ... Best wishes, Rudi
Web Reference:  http://www.umboc.com
0 votes
Ann Ryan, Agent, Doral, FL
Mon Jan 2, 2012
Or you could go really unusual, and buy a yurt!
0 votes
Don Tepper, Agent, Burke, VA
Mon Jan 2, 2012
Try purchasing "subject to." Basically, that's when someone deeds their house to you and you promise to make the mortgage payments. The original mortgage stays in place. It's not assuming the loan; the original owner is still responsible.

You can do that anywhere.

The drawbacks are that subject tos can be difficult to find. It's possible that the owner (who basically just is giving the house away) is behind on mortgage payments. And very likely the underlying mortgage isn't the greatest. Still, what's happening is that you're acquiring a house in return for a promise to make the seller's mortgage payments. Subject tos are typically done with relatively little money up front, so $5,000 can be sufficient.
0 votes
Ann Ryan, Agent, Doral, FL
Mon Jan 2, 2012
Caveat Emptor...

http://www.auction.com won't allow you to search by price, but pick any distressed area and I'm sure you'll find a few.
0 votes
Mikel DeFran…, Agent, Canton, MA
Mon Jan 2, 2012
Duet .... as mentioned maybe Detroit or other urban areas in distress. The larger issue is if you can only pay $5K, do you think it is appropriate to be trying to buy a house?
0 votes
Cory La Scala, Agent, San Diego, CA
Sun Jan 1, 2012
You could get a condo here for $5K down or less, and the mortgage payments wouldn't be very high ...
0 votes
Deborah Buff…, Agent, Carlsbad, CA
Sun Jan 1, 2012
Hi! I'm not sure this is of any help, but around 1 year ago I *think* Time magazine ran a series of articles on Detroit. One of those articles concentrated on housing, employment & other local political issues. I seem to recall that there was ample housing stock under the 15K mark... I would revisit the complete series & pay close attention to the contacts the author used... And issues related to urban blight, safety, etc. Good luck with it.
0 votes
Jerry Heard, Agent, San Diego, CA
Sun Jan 1, 2012
Check out the midwest states that have high unemployment. Cities that used to have automobile plants etc.
0 votes
Ann Ryan, Agent, Doral, FL
Sun Jan 1, 2012
Maybe you could find something on auction.com....but would you want to?
Web Reference:  http://aucion.com
0 votes
Search Advice
Search
Ask our community a question

Email me when…

Learn more