House #1: The Corn House

July 26, 2008 · 0 comments

It’s only Saturday, but it’s already been a good news, bad news weekend…

First, the bad news: Offer #2 was a day too late, and buyer who submitted an offer a day before mine got the house. I was hoping that he’d back out during the 7-day inspection period, but that period expired on Friday, and he apparently decided to go through with the purchase. It’s too bad; I liked that house, and was confident it would make a great rental. But, that’s the downside to this business, and I’m going to have to get used to not getting every house I make an offer on.

Then there’s the good news: I (have almost) bought my first house!

The wholesaler/agent I’ve been working with (Gordon) sent me over two properties to look at last week. Unfortunately, it was a crazy week with traveling and wedding planning so I didn’t have a chance to get over to take a look the day he sent them. But, since I knew he had offers in on both, I figured I could put it off a day. The next day, the fiancee and I stopped by both properties, and both look great from the outside (“great” meaning, “not so great,” meaning great, if you know what I mean). Unfortunately, we were unable to get inside either property, so I called Gordon and asked if he knew a way to get in. He offered to drive down to let us in, but was about an hour away at the time, so I told him it could wait until the weekend. Well, apparently he had already gotten the house under contract, so there was no waiting.

Gordon drove down, we walked through the house, and he gave me a lot of great pointers on how he’d approach the rehab (he a seasoned flipper). Assuming the rehab estimates come back in the range I expect, I think this would be a great candidate to either rent or re-sell; so I need to start analyzing both sales and rental comps, and figure out a preferred strategy. My inspector will be coming out today to do a full inspection, and I have contractors coming out all weekend to give me bids, so hopefully by early next week, I’ll know exactly what needs to be done with the house (and hopefully it’s not much more than what I expect) and will be able to put together a formal plan for this house.

Assuming things go smoothly with the inspection and with the contractor bids, I’ll give a lot more detail about the house/deal (along with some pictures) in the coming few days. Oh, and I’ll also tell you why we’re referring to this one as The Corn House…


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