Seller Will Consider All Offers (foreclosed, condo, price, lawsuit)

[recuerdeme]

Here's the deal... I've had my eye on a small condo which I think could be a great source of income.

Here's a back story on the complex:
The majority of the townhomes are foreclosed on and for sale. I still don't know the entire story behind that. But have gotten some clues and insights about the building itself. Here's a link: The Collapse of 1342 Rutland » Swamplot: Houston’s Real Estate Landscape ....scary stuff

The unit I'm interested in is as of now at $34K. This if from a high of $77.5. Yes wow the suspiciousness of the place even more intriguing.

I'm thinking I could pay cash for the place maybe borrow a little but (family borrow not bank borrow)... finish the interior (it's not finished) and rent it out for a good monthly rate (good for me that is). It's in one of the best/trendy/expensive neighborhoods in Houston . So from the steady fall of the price I'm thinking an offer of $25K would be good. That way I could pay it completely and take my time fixing it up for rent... or sale.

Think that offer would fly? Based on the facts you have here and that the seller will consider all offers... whatever that means

I'd really like to get an inspectors report. Just how scared should one be entering this building

[PotterGeek]

ummm....structure problems? walls bowing? Wouldn't you be scared to rent a place like that to someone? What if the building collapses on them? Can you spell lawsuit???

[recuerdeme]

Could be exaggeration... iono. That's why I would like a report or inspection of the place by a professional... if only just to know.

Isn't there like a "lemon" law for homes. Could someone really sell a house that's about to be condemned or collapse to someone who wants to occupy it and not just tear it down.

[pghquest]

Originally Posted by recuerdeme

Could be exaggeration... iono. That's why I would like a report or inspection of the place by a professional... if only just to know.

Isn't there like a "lemon" law for homes. Could someone really sell a house that's about to be condemned or collapse to someone who wants to occupy it and not just tear it down.

No lemon laws for homes.. Buyers have the right to do a full inspection, if they chose not to, buyer beware..

[mikeyyc]

I wouldn't touch that place with a 10' pole. Hand me the keys for nothing and I'd still think twice. Structural issues, and the condo board has nothing? Best thing that complex can hope for is a really bad fire.

[walidm]

Originally Posted by recuerdeme

Here's the deal... I've had my eye on a small condo which I think could be a great source of income.

Here's a back story on the complex:
The majority of the townhomes are foreclosed on and for sale. I still don't know the entire story behind that. But have gotten some clues and insights about the building itself. Here's a link: The Collapse of 1342 Rutland » Swamplot: Houston’s Real Estate Landscape ....scary stuff

The unit I'm interested in is as of now at $34K. This if from a high of $77.5. Yes wow the suspiciousness of the place even more intriguing.

I'm thinking I could pay cash for the place maybe borrow a little but (family borrow not bank borrow)... finish the interior (it's not finished) and rent it out for a good monthly rate (good for me that is). It's in one of the best/trendy/expensive neighborhoods in Houston . So from the steady fall of the price I'm thinking an offer of $25K would be good. That way I could pay it completely and take my time fixing it up for rent... or sale.

Think that offer would fly? Based on the facts you have here and that the seller will consider all offers... whatever that means

I'd really like to get an inspectors report. Just how scared should one be entering this building

Interesting...How expensive/exclusive is the area? How much is the dirt worth....because there's your value. I'm betting a structural engineer and code enforcement would make life H*** for you once you take ownership. Now a group of investors may come calling if you can get the dirt cheap depending on the answers to questions 1 & 2.

[pghquest]

Originally Posted by walidm

Interesting...How expensive/exclusive is the area? How much is the dirt worth....because there's your value. I'm betting a structural engineer and code enforcement would make life H*** for you once you take ownership. Now a group of investors may come calling if you can get the dirt cheap depending on the answers to questions 1 & 2.

I think that would be the goal, if you were an investor to buy out all of the units. One unit here and there wont give a buyer any leverage to get things moving but if you bought out 1/2 the building, you could force by vote the repairs needed, even leverage the condo association to take out the loans to make the repairs.

[gentlearts]

NO WAY. Just because you can afford this place doesn't mean you should buy it. If you want to get into real estate investing, as in anything else, go for quality over quantity. I would not buy anything unless I owned the ground it sits on, and my future decisions did not depend on a condo board.

[RoaminRed]

Oh my goodness...after reading that link, no way in aitch-ee-ell-ell would I buy, unless the dirt under it was going to make it worth the cost of tearing that danger-pit down. And if that were the case, why hasn't someone already done it?

Oh no, I wouldn't touch that place.

[cocopuffy]

dude...you better RUN from that place! If a 'casual' inspector saw structural defects I'm sure a professional won't have anything better to say. That AND a broke dysfunctional HOA equals disaster.