Hot Bargain Property July 20th, 2007

A Fixer Worth Fixing!



General: Urban East County, 3 bedroom 1 bath, with attached garage, and a nice large lot! Asking price between $325,000 and $350,000. I think an offer of $310,000 net would get it sold.



Why you should be interested: Detached 3 bedroom home for about the same price 2 bedroom condos are going for in the neighborhood, and you can't beat the schools for anything like the price! Plus it's close to everything!



Selling Points: over an 8000 square foot lot, two car garage.



Why I think it's a potential bargain: This property is a great place to raise a family with great public schools in a nice neighborhood, and priced lower than recent comparable sales.



Obvious caveats: Busy street with traffic noise. Furthermore, the place needs work. However, it should repay your work handsomely!



Why it hasn't sold already: It's ugly on the surface. Old everything. On the other hand, there's money to be made by updating it!



If you keep it ten years and it averages only 5% annual average appreciation per year: Based upon a purchase price of $310,000 the property would be worth approximately $500,000. If you held it those ten years before selling, you would net about $240,000 in your pocket (not including increased value from updates!), assuming zero down payment. As opposed to renting the $1500 per month most comparable currently available rental and investing the difference at 10% per year tax free, you would be approximately $110,000 ahead of the renter, after the expenses of selling.



Fact you should be aware of: You're going to need to work to see a profit.



Obvious way to enhance value or appeal of property: Update everything! Landscape the yard!



This property does not appear to be eligible for a first time buyer Mortgage Credit Certificate provided your family income is not more than $82,800 or $96,600. Ask me for more details, on this or any other property.



I'm a buyer's Realtor®. I am looking to represent buyers, so I find places like this that can be gotten at bargain prices. I save you money while getting paid out of the listing agent's commission, not costing you a penny. Nor are these the only bargains I find. In order to protect everyone's best interests, I require a Non-Exclusive Buyer's Agent Agreement. This is a standard California Association of Realtors form that leaves you are free to work with other agents, but if I find the property you want, I'm the agent you'll use. That's fair, and there is no reason not to sign such an agreement unless you're an agent yourself.



Contact me: Action Realty 619-449-0723, ask for Dan or email danmelson (at) danmelson (dot) com. Ask me to find a bargain that fits you!