Bargin Or Not?
I have been looking at sheriff auctions for homes to buy and noticed that some of them are assessed 10 to 30 thousand above their total debt.
I was wondering if this was a good way to weed out the homes to buy, because most of the time the assessed value is alot lower then the fair market value.
Even if you could buy the home 10-30 thousand below assessed value, you still could sell the home at assessed value and still make a profit.
I'm a newby, AM i missing something or will this work.
THX for you help
Hi,
The figures you are examining many times have nothing to do with value.
You have to come up with an opinion on value. What the house will sell for on a normal market right now.
You walk the area, you talk to brokers and if possible you check the MLS for similar properties that you can use for
comparatives.
Then you check to see what you can buy it for. If you can buy it for less and all the payments and taxes are going to be paid by the seller right up to date. Then you bargain away. Figure the costs of settlement or escrow whatever they have in your state. Check what the mortgage payments are and do you have enough to cover you while you offer for sale.
Then go for it. Good luck, it is rather a lot of fun. Sort of grown up Monopoly.
Cheers Lucius
Quote:
On 2003-10-13 02:56, Lufos wrote:
Hi,
As always a pleasure reading your post Lucius!
Sort of grown up Monopoly.
Cheers Lucius <IMG SRC="images/forum/smilies/icon_cool.gif">