potential first deal!!! help!!!

fsbo asking $474k, appraised at $515k would like to consider L/O…

not sure how to structure the deal, because piti is around $2,750…also, the owner is asking for an option fee, but has yet to say what she’s thinking…

any advice would be much appreciated.

That seems really thin to be a deal.

you’re right. thanks.

PITI of 2750 but what is the market rents?

What is seller’s motivation?

Option fee? Forget it. Either I am getting in for free or I am not getting in at all.

Way too little equity.

Your not getting a good enough deal to flip it, and you can’t rent it out and break even. So I’m guessing you’re looking to live in the property?

On Monday I was talking to a young guy looking to buy his first house. He lives with his parents. I said you have time, so what you want to do is find a really great deal. I told him he will be so stressed out if he buys his first home for $200,000 that is worth $200,000. But if he finds a house for 60-70% of the value he will feel good inside and the stress will be minimum. If this house is worth $515,000 then try and get it for closer to $350,000 or walk away. Keep looking at properties and keep on bidding until you get a great deal.

Great deals make you feel good inside, like your doing the right thing. There’s no thinking involved because it’s obvious you should buy it.