Ive seen this thing on TV where u can buy forclosed government tax houses for as low as 300 dollars and sell them for profit. is that really true ????
2007-08-31 18:27:23 · 5 answers · asked by SA_MAN 1 in Business & Finance ➔ Renting & Real Estate
No, not really. Most homes in default on taxes are auctioned off for something quite a bit higher than the outstanding taxes. And most properties that go on the auction block for back taxes are uninhabitable. Virtually every tax sale I've looked at in the local area has been a dump that needed to be pulled down. The sale prices were about right for the value of the raw land.
If there's a mortgage on the property, the lender will be stepping in to protect their interest so you'll be paying something more than the combined back taxes and outstanding mortgage. The two combined can be more than the property is worth in many cases.
2007-08-31 18:36:54 · answer #1 · answered by Bostonian In MO 7 · 0⤊ 0⤋
I encourage you to investigate fixer-uppers, but you don't need to pay for a course or a list. Instead, talk to real estate agents (free!) and if you decide to do this, find one or two with whom you feel comfortable working.
You get what you pay for. If a house is available for $300, it should tell you something when no one else wants to pay more for it. In my area (San Jose, CA) there was land for sale for $500 and so for fun I went to check it out. It was a slice of land on hill between two rural lots-- absolutely unusable.
In order to make money, you will need to add value to the property, such as by fixing it up. That work will cost you time and money, so now the property is costing you more.
The first time you buy anything, do it with an experienced buyer or with a buyer's agent -- you might not make as much on your first transaction, but you'll learn a lot and avoid very expensive mistakes.
Good luck!
2007-09-03 20:51:40 · answer #2 · answered by Genki 3 · 0⤊ 0⤋
Then why are people paying a couple hundred thousand dollars for a beaten up house? Dont listen to all of that. Sometimes theres like 1 and someone gets it before you.
2007-08-31 18:31:34 · answer #3 · answered by Anonymous · 0⤊ 0⤋
It is very unlikely. You can find houses for about 10,000 though. we just had one sale close to us for that. Fixed up it would resale for 50,000.
Never pay those people for information! It is a scam!
2007-08-31 18:31:47 · answer #4 · answered by Crystal 2 · 0⤊ 0⤋
no! do you believe in an advertisement? if you do you can easily be taken for a long ride. that you have to pay for.
2007-08-31 18:30:27 · answer #5 · answered by earth angel 4 · 0⤊ 0⤋