Quote:
Originally Posted by Nocontengencies
Part of this depends on the value of the property vs what you are paying. If you were to make all the needed repairs is it still a good deal after you put money into it? The glass block windows and needing the furnace moved decreases the value, so is it priced accordingly?
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The question you could ask as well, what would the property be worth if all those issues with it were repaired or made to be legal. The price you may be paying may be low enough already to take it on as is, even the rusty furnace and rotted floor. If it isn't the offer is too high or they should fix the problems. I would go for a lower price, and make the changes yourself, a seller will try to do repairs as cheap as possible.
If I understand you correctly, the average price is about $250 per foot and you would be paying about $136. That seems to indicate you could make repairs and not end up losing money. However I don't know all the issues involved so only those near this deal will know for sure.
The building code violations are only a problem if the city has flagged them already and expect the owner to make the fixes. You become the owner, you become the one that is expected to fix it. It only becomes a "violation" when the city finds it and says it is.