Did we get raked? Just bought a DW for

37K!

Make this as short as possible, my brother, dad, and myself have started investing in RE. I wanted to go the rehab route but they both wanted to start “slow” and find older homes and mobile homes to rent. I really didnt have much say so as my dad is fronting all the money, we have access to about 300K. A friend of mine is a real estate agent so I told him about our plans and he said he would be on the lookout for us. Well about 2 months later he calls me and said we need to check this one out, so we do and the DW is in very good condition with all applicances except a frig. Very good neighborhood, best school district in the county, and access to major roads and shopping centers within 2 miles.

Greenpoint (it is a repo, thats why i was suprised of the great shape it was in) wanted 50K for it. The tax office had a value of 78K on the DW and land. My dad and brother “wanted to do something” so they wanted to put a bid in on it. After some pushing and shoving they said 37K, so I called my friend and told him and two days later got a call back saying they accepted that.

My question, is that normal turn around time? And does Greenpoint just ask 55K and take 18K less for any of their homes? Or should we be on the lookout because the turnaround was so quick and accepted our “first” offer.

Just seems odd to me!

TIA

Howdy TJS:

Welcome to the club. You always wonder if they take your offer if you paid too much. This is common in all aspects of life. I go to garage sales every weekend and experience the same thing as you are and have had the same thing happen with real estate. You hate to offer too low or at least I do. Just lately I offered $10,000 on a duplex that was listed at $14,900. They rejected my offer and took another. I now have it under contract for $12,900 after the other buyer disappeared. If it is a good deal for you then go ahead and do the deal. Keep in mind that mobiles are like cars and do not appreciate in value or at least again that has been what I have been taught. If you can make some good cash flow and pay for some land that would not be a bad deal either.

LOL