A dream doesn’t become reality through magic, it takes sweat, determination, and hard work.
I once got a call from a really motivated seller who lived in a good area of town and was only looking for $200,000 for his property. So I ran the deal through the three stages of my deal evaluation system. Stage 1 was smooth sailing. In Stage 2, when I ran the comparables in the area during my desktop evaluation, I found that other properties in the area were all selling for upwards of $350,000.
Obviously, I was pretty excited about this deal. But I never buy a property without first going out to look at it in person. So I got in my car and headed over to the property. When I pulled up to the property, I realized why the seller was only asking for $200,000. His house was literally on the steepest hill I had ever seen and he had no driveway to get up to his front door. I parked on the street and proceeded to climb what felt was like a hundred flights of stairs just to reach the front door. By the time I finally reached the summit, I was literally out of breath.
Needless to say, I didn’t put the property under contract that day because the property had a problem I obviously could not fix. However, I did get a good workout.
This story is an example of why it is so important to visit the property you are analyzing before you make an offer. In the third stage of the deal evaluation system, you evaluate the subject ...