I am the bird dog on an unlisted condominium complex (51 units plus 5 acres undeveloped land) Should offer be made to the Condo Association or individual owners?
[addsig]
Splendor 7 writes: Just one more question: in what order shall the offers be presented, should I knock on doors, or trust the US Postal service?
I am posting here, for the benefit of other investors.
First of all, you said you were the "bird dog" on this unlisted property. Can you explain who you are bird doggin for , and are they planning on purchasing only if they can get all units, not just some of them?
From you question it sounds as if there may be multiple owners. I would not knock on doors, as the owner may not live in the unit. I would find owner address and send them certified letter with your offer. You may try speaking to them on the phone as well. I would send all letters out at one time.
I think you will find many of the owners wanting to keep their units, and even less motivated to sell at a great price to you.
Good Luck!
I have the address information on all the owners. We do need to purchase all the units. One thing we have going for us in addition to having xxmil cash to purchase; the condominium bylaws have not been followed and the complex has been threatened by condemnation by the city due to non payment of sewer bills, etc. We are told most owners want out.
Well the odds of getting all 50 unit owners to sell are somewhere close to zero. The odds of getting 50 people to go in the same direction on anything are close to zero.
How quickly do you want to do this deal. You could always start buying units, gradually take over the condo board start raising assessments until people get the message and either sell or default and you foreclose. But that isn't going to happen quickly-- more like a couple of years.
OK, that changes the picture.
Hopefully you won't have a brave soul wanting to hold on to the bitter end.
That being the case, with condemnation or major repair bills looming, you may want to follow up the letter with a personal visit. If you can just get your foot in the door with one, you may have it.
Good Luck!
Quote:
On 2004-10-03 06:10, splendor7 wrote:
I am the bird dog on an unlisted condominium complex (51 units plus 5 acres undeveloped land) Should offer be made to the Condo Association or individual owners?
Just curious...your signature says you are a realtor and a bird dog...how do you work that? Are you taking commissions w/o telling your broker or paying his split? Why not just broker the deal as a realtor. Since you are going to be dealing with so many sellers presenting yourself as a realtor/agent will make you look better than a bird dog.
I assume that the condominium property is described in the Declaration. Have you had title searched on all of the real estate comprising the condominium to determine who/what holds title to what as well as liens? Also, if you haven't done this already, you should also check MO's Condo Act. If the management company or Board of Directors is not paying expenses that are lienable items, this could be a huge can of worms.
Woodsong, I couldn't sleep knowing I had confused you. The main thing that is so great about real estate is that it allows you go off into so many varied directions. Whenever acting as a licensee agency disclosure is mandatory in missouri....
Quote:
On 2004-10-07 06:19, splendor7 wrote:
Whenever acting as a licensee agency disclosure is mandatory in missouri....
Really? That is very different than here in GA and I thought everywhere. Here one must disclose to everyone in any transaction if one is a broker or agent. Thus, every transaction we or I do we must disclose this fact. This is regardless of whether one is a licensee or a broker, or even whether or not there is an agency relationship between any parties, i.e. if I am acting as principal then disclosure is required.
At any rate, good luck with the condos.
[ Edited by woodsong on Date 10/07/2004 ]
Offers should be made to the owner(s)
Splendor 7 writes: Just one more question: in what order shall the offers be presented, should I knock on doors, or trust the US Postal service?
I am posting here, for the benefit of other investors.
First of all, you said you were the "bird dog" on this unlisted property. Can you explain who you are bird doggin for , and are they planning on purchasing only if they can get all units, not just some of them?
From you question it sounds as if there may be multiple owners. I would not knock on doors, as the owner may not live in the unit. I would find owner address and send them certified letter with your offer. You may try speaking to them on the phone as well. I would send all letters out at one time.
I think you will find many of the owners wanting to keep their units, and even less motivated to sell at a great price to you.
Good Luck!
I have the address information on all the owners. We do need to purchase all the units. One thing we have going for us in addition to having xxmil cash to purchase; the condominium bylaws have not been followed and the complex has been threatened by condemnation by the city due to non payment of sewer bills, etc. We are told most owners want out.
Well the odds of getting all 50 unit owners to sell are somewhere close to zero. The odds of getting 50 people to go in the same direction on anything are close to zero.
How quickly do you want to do this deal. You could always start buying units, gradually take over the condo board start raising assessments until people get the message and either sell or default and you foreclose. But that isn't going to happen quickly-- more like a couple of years.
OK, that changes the picture.
Hopefully you won't have a brave soul wanting to hold on to the bitter end.
That being the case, with condemnation or major repair bills looming, you may want to follow up the letter with a personal visit. If you can just get your foot in the door with one, you may have it.
Good Luck!
Quote:
On 2004-10-03 06:10, splendor7 wrote:
I am the bird dog on an unlisted condominium complex (51 units plus 5 acres undeveloped land) Should offer be made to the Condo Association or individual owners?
Just curious...your signature says you are a realtor and a bird dog...how do you work that? Are you taking commissions w/o telling your broker or paying his split? Why not just broker the deal as a realtor. Since you are going to be dealing with so many sellers presenting yourself as a realtor/agent will make you look better than a bird dog.
splendor7,
I assume that the condominium property is described in the Declaration. Have you had title searched on all of the real estate comprising the condominium to determine who/what holds title to what as well as liens? Also, if you haven't done this already, you should also check MO's Condo Act. If the management company or Board of Directors is not paying expenses that are lienable items, this could be a huge can of worms.
Woodsong, I couldn't sleep knowing I had confused you.
The main thing that is so great about real estate is that it allows you go off into so many varied directions. Whenever acting as a licensee agency disclosure is mandatory in missouri....
Quote:
On 2004-10-07 06:19, splendor7 wrote:
Whenever acting as a licensee agency disclosure is mandatory in missouri....
Really? That is very different than here in GA and I thought everywhere. Here one must disclose to everyone in any transaction if one is a broker or agent. Thus, every transaction we or I do we must disclose this fact. This is regardless of whether one is a licensee or a broker, or even whether or not there is an agency relationship between any parties, i.e. if I am acting as principal then disclosure is required.
At any rate, good luck with the condos.
[ Edited by woodsong on Date 10/07/2004 ]