Buying a Foreclosure at the Court House Steps…? Beware of the Pitfalls..!

Ouch….!!!   This man lost $137,000 and is upside down on his “investment”.

I have added  the link to the answers to a  Trulia Q&A question that was asked by an investor in El Dorado  Hills, California  that had purchased a property at a courthouse auction.

While this case is a little unusual, I think from the answers that were given by me and other professionals, you will come away with the idea to do your “due diligence” first before you invest in this area.

His dilemma is not one that I think any of us would like to be in.

Click Here for the story and see the answers that were given and let me know what you think.   You might want to check back on that link because chances are you will see new answers and advice given.

Make it a great day….!

Ed Favinger, Broker CRS, GRI, SFR          916-203-1260

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Bank repo buyers discover house built of railroad ties | | Sacramento, California | Local News

California State Capitol, Sacramento

Capitol - Sacramento, California

This is what can happen if you don’t get a “Home Inspection”

If you are thinking of buying a home or an investment property, don’t skimp on the inspections because you might be sorry.   Trying to save a couple of bucks can cost you.

Case in point…? This sad story really could have been avoided.   Check out this “News 10” television station report that makes my point.    I just thought I’d share this with you.   I think these Buyers regret not retaining the services of a Home Inspection Company.   Check out the story and News10’s Video

Bank repo buyers discover house built of railroad ties | | Sacramento, California | Local News.

Make it a Great Day…!!!

Ed Favinger, Broker CRS, GRI, SFR      916-203-1260

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Two New Bank Owned Duplexes Just Hit the Market…!

One of these is the best I’ve seen in a while, the other has location but needs some work.

I woke up this morning and got the update in my email account.    I was excited to see some new Bank Owned/REO Duplexes hit the market.   So… I made an effort to get out and about this morning early to get some pictures and video completed before my next appointment at 1PM because I know neither one of these properties is going to be on the market long.

Property #1 – Let’s start with 5516-A&B Marconi, Carmichael, Ca – This is a 3 bedroom 3.5 bath, 2 car garages each side and is listed at $295,000.   I will let the videos do the talking about them.    Rents are projected at $1,575 per side.

Click here for a video of the Left Side – – – – –  Click here for a video of the Right Side

Click Here For a Pro-Forma Cash Flow Analysis

Property #2 – The other one is located at 9650-9652 Lake Natoma, Orangevale, Ca 95662 and is a 3 bedroom 2 bath & 2 bedroom 2 bath.   It’s in a great neighborhood in area that has a school down the street, shopping less than a half mile away and within walking distance to the American River Parkway trails.

I was not able to get inside this unit because the listing agent hadn’t installed a lock box to allow me access but I did get a video of the exterior front and back.   Click here for that video –   Click Here for the Pro-Forma Cash Flow Analysis

And… If you want to see how neat this property is because it is so close to Lake Natoma and the American River Parkway click on this link from Frank Bobbio’s website and his aerial photos.      As a side note…?   If you would like to see some interesting photography of the Sacramento Region take a look at Frank’s website here.

So tell me…. What do you think about these two…?

Make it a great day…!!!

Ed Favinger, Broker CRS, GRI, SFR                        916-203-1260

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Cash is Still King for Sacramento’s Bank Owned/REO Duplexes

This map shows the incorporated and unincorpor...

Image via Wikipedia

Two new listings I profiled here recently closed – All Cash – No Financing

When I profiled these Bank Owned Duplexes just about a month ago it didn’t really surprise me that both of them went to a Pending Sale status shortly after I posted the article.

One of them, 7444 Robmar Court, Citrus Heights, sold for the list price and the other one, 7720-7722 Sunset Avenue, Fair Oaks, closed escrow with a sales price of $285,000 which was four thousand dollars over list price.

7444 Robmar closed escrow on September 3rd and Sunset closed escrow just a few days ago on September 16th.

Bottom line is that if you like one of these properties and they have just come on the market, chances are you will be up against “all cash” investors.

If you are thinking of getting into this market, be prepared to do battle with other investors looking for these great deals.

Make it a great day…!!!

Ed Favinger, Broker CRS, GRI, SFR      916-203-1260

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Is This Short Sale a Deal or Not…? I Think It is…!

Especially when you see the comparison I make..!

We’ve been trying to sell the home at 125 Rambling, Folsom for a few months now.   We did have an accepted offer at $305,000 with 3% of the sales price to be given as a credit to the Buyer for Closing Costs and $11,500 to pay for replacing the aging Shake Roof .

After the  bank that approved the short sale and agreed to all of those costs, the Buyer on the deal backed out because of some kind of financial emergency.

Since then Rambling has been sitting on the market even though it’s been shown several times.

About 2 weeks ago,  a home with the exact same floor plan came on the market.  It’s a “repo flip” and shows pretty nice.  It went to “Pending Sale” status  after just 17 days on the  market.  It listed at $319,000.   Rambling is listed at $279,000.

A NOTE HERE..!! I think if someone were to bring me an offer on Rambling I could get “closing costs” and the costs of replacing the roof approved by the Short Sale lender at our current list price.

When you look at the video I think you will agree with me that “curb appeal” and well maintained landscaping makes a big difference in these two and you can see why a buyer would appreciate the home on Big Valley Road.     However, the interiors I think are pretty much the same, except the Rambling home needs a little TLC.

By the way, if you are an investor looking for a deal, I think Rambling would rent for $1,800 – $1,900 if it was fixed up some.

Anyway… check out the video here and let me know what you think…   I’d appreciate the feedback.

In the mean time…?

Make it a great day…!

Ed Favinger, Broker CRS, GRI, SFR     916-203-1260

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Is a Home Protection Plan Worth The Money…?

Ask the New Owners of a Duplex Purchased Through a Short Sale.

We closed escrow on a Duplex located at 5945 Moss Creek Circle in Fair Oaks about two months ago.   The Buyer did employ North American Home Services to inspect the property for defects and completed a structural pest inspection.

While this Duplex was in surprisingly good condition given that it was a short sale, there were a few items of concern.  While most of them were minor there was a potential issue that could lead to a problem in the not too distant future according to the inspection team.

What I urged the Buyer to do to mitigate some potential large expenses was to purchase a one year Home Protection Plan from Old Republic Home Protection Company which cost,  I believe,  just a bit under $500.00.

If you didn’t know about this service, it’s not just for Single Family Homes.   You can purchase this service for a Duplex, Tri-plexes and Four-plexes and if you are an investor, I suggest you make this part of your initial costs going in and I strongly urge you to renew the plan at the end of the first year.

In the case of this new investor, the Central Air conditioning unit’s compressor in one of the units required a major fix.  In fact the compressor, a major component of the system had to be replaced at a cost of $1,700…!

Because the Investor had this coverage, his only out of pocket costs are the deductible for a trade call of $50.00 and the cost of removal and disposal of the old equipment, which was $100.00.

So… Do you think the Investors got their money’s worth purchasing this plan…?

I hope you found this useful and informative…

Make it a great day…!!!

Ed Favinger, Broker CRS, GRI, SFR,          916-203-1260

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This Folsom Condo will re-rent quick…!

Why… Because it’s near everything.

  • Nature Trails
  • Community Pool
  • Neighborhood Shopping & Restaurants are just up the street
  • Briggs Ranch Neighborhood Park with pick-nick tables & Volley Ball sand lot & Play Ground
  • Farmers Market right there at the corner of Blue Ravine and East Natoma every Friday morning
  • Folsom Point entrance to Folsom Lake about a mile away if that

The current tenant in this home will not be out for another couple of weeks, but is willing to show it with an appointment.

I’ve got lots of  pictures as you will see so for more information about this great condo go to the link below.

4903 Esplanade, Folsom, Ca – 2 bedrooms 2 bath, 2 car garage and it’s available at $1,370,00.   Call me at anytime to set up an appointment to view.

In The Mean Time…?

Make it a great day…!!!!!

Ed Favinger, Broker, CRS, GRI, SFR         916-203-1260

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