ELM DRIVE – DISSECTING A PROJECT The Acquisition

The Acquisition

These parcels were originally for sale, as a package deal, in late summer. I visited the site and submitted a full price offer as did another person. For whatever reason, the attorney handling the estate chose the other offer.

The parcels adjoin each other and had been owned by one individual for many years. There was an older trailer home, a building that housed the laundry and hot water heater that served both properties, a deep shed, a small house, and a large shop. The house and shop were on one parcel and the remainder on another. The parcels were buried in junk, dead cars, weeds, and an old school bus that I really wanted (and immediately dubbed “the magic bus”). In an effort to solve a problem for the estate my offer included a “no clean up” clause. I would deal with whatever they left behind. I also offered to waive my realtor commission. But alas – they didn’t pick me and I moved on to a different project. That was August.

In November the parcels suddenly appeared for sale on the MLS again – and they were asking an additional $60,000 over the previous purchase price. I went to visit the parcels again. The junk was gone (including my beloved Magic Bus) and the weeds had been cut. Other than that, no change. The listing agent said the new owner had discovered that “all the pipes are broken” and that discouraged them from proceeding further with whatever their plans had been.

I made an offer based on that information (nowhere close to the new asking price) and was declined. I offered to use the seller as the bank so they could earn some additional funds via interest. I was declined. The listing agent said the property had not been on the market long enough to consider a lower price. I backed off for a bit.

One December morning I woke up and decided to tweak my numbers to the max and offer one more time. I increased my bid by $10k, waived my commission, offered a quick close “as is”. They accepted.

I had 4 weeks to do my inspections, due diligence and put together a budget and plan.

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