This
is a 2/1 I've owned for years in the 30032 zip code. I bought it from
another investor for $65k already fixed up. He owner financed
it for me for a few months until I could get it refinanced. It was
not a great deal, but it worked for me at the time.
I
kept the house for 5 or 6 years. I was always able to keep it
rented, but the house did seem to have a lot of turnover, so, several
years ago, I sold it to another investor who wanted a low-priced property
with a good tenant in place. The sales price was $80k.
It
turns out the
guy I sold it to sold it AGAIN a year later for a small profit and, I later
found out, that investor let it go back to the bank.
Late
last year I was on the MLS looking at REOs and up pops this house.
It was listed for $49k. I thought that was a pretty good deal, but
the timing was not right for me, so I forgot about it. A few months
later I was looking again and I see it listed for $39k. At this
point I decide to drive by and see what it looks like.
The
door was open, so I was able to walk right in. Sad to say that the abandoned
house actually looked BETTER than it did when I originally owned it . One of
the owners had taken up the carpet and refinished the hardwoods. The
new tile I put in the kitchen still looked great. The exterior paint
was peeling and of course the a/c compressor was stolen. Otherwise,
the house look pretty good. Also, the area had actually
IMPROVED. Some of the problem residents on the street had moved away
and the yards on the street were well maintained.
I
put it under contract that day.
I
thought a little about how I could make the house more attractive to a
long-term tenant. I
decided to keep the hardwoods in the bedrooms and carpet the living room
(to cover some bad wood). I installed good-looking vinyl siding to
cover the ugly exterior and I put up a privacy fence to hide the ugly house
next door and part of the back yard. Click here if you
want to see pictures.
I
spent $10k on the rehab, so I am back in house for less than I
paid MANY years ago and $30k less than I sold it for just three years
ago. It's rented for positive cash flow to a GOOD tenant I hope will
be there for a long time.
Do
you think I will be able to sell this house again for $80k?
I
think the chances are pretty good.....
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