OfflineHello all! I'm about to close on 2 March on a 3/2.5; 1100 sq ft; built in 1990; SFH for $42K. I'm putting down 20% ($8,400) and personally financing approximately $10k in repairs. My mortgage is: $325 (PITI). The appraisal came back as $55,000 "as is". The comps in the area are $67k-88k. I'm trying to decide whether to flip it or rent it. The rents in the general location is $600-$750. I want to buy more properties throughout the rest of the year, but I don't want to deplete my personal savings. Assigning properties is also a goal of mine...Any suggestions?
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If you can rent it for a short term "lease w/option to buy", you may take advantage of positive income flow plus a better sale price in the future. It all depends on your situation. At least on a lease/option you don't have the management problems because they are buying the property. If you can make good money on the flip, then that makes sense.
Hope this helps. Greg
Think of your exit strategy and which is more advantageous
Looks like you have an all around great deal. You can rent it out for a year or so and sell it, do a lease option, or just pass it off as is now for a nice profit. It is up to you, you can do assignments as well and not tie up anymore money. Let us know what you decide.
Jeremy
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This train, Faith will be rewarded
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