Should I Bid On This Property?
Hi everyone,
I am a newbie and will be attending my first tax lien sale next week. I am interested in bidding on a particular property and drove by but it was boarded up. It almost looked abandoned. I would think that I would have a good chance in redeeming and gaining the property since it looks like nobody resides there. What do you guys think? do you think that I should bid or does it appear to be too risky? Any suggestions are appreciated. thanks!
First do on analysis and determine what is the market value of the property (essentially what it can be sold for). Additionally, I would also look into comparable like-kind rentals and be sure that in the event you do not want to sale or cannot sell that you will be able to rent it for something that will satisfy you financially.
Once that is determined I would discount for the maximum you beleive that it will cost you to clean up the real estate by virtue of any potential repairs (i do admit that this is a lot easier said then done and is something that will come along with experience)
Thanks Roboxking!!!! Your reply has been very helpful. I will continue to do additional research on the property.
Where would I go to see if the property has any additional liens or environmental issues involved? Thanks!
You examine the public records for liens -- But I highly recommend given your experience that you pay a title company or attorney to do a title search on your behalf.
yes buy what you can aford.