INVESTOR FREQUENTLY ASKED QUESTIONS
Can you help me determine rehab costs?
Yes. Jim Acord and Carolina United Realty have established relationships with General Contractors, HVAC Contractors, Electricians, Home Inspectors, Flooring Contractors and General Handymen. All of these service contractors and vendors will give our clients free quotes on rehab projects small and large. Ultimately, we will use these quotes to determine offer prices on sale properties and to establish budgets to get those homes up and running.
Will you help us determine market rental value?
Determining market rental value will be one of the first things we do when considering an investment property to purchase. It is the main part of the equation used to predict the amount of monthly rent the owner can expect to receive after closing and rehab. We use rental comparables from our database of 100,000 plus rentals in a 7 county radius of the Charlotte area and dating back 5 years.
What is a foreclosure?
A foreclosure is bank owned property. These homes are typically easier to negotiate than short sales. Banks will generally accept 3% – 6% off their list price and these properties are sold ‘as – is’ with a 10 day inspection period. In years past, these properties were listed at 70% – 80 % below market value to make up for repairs needed and to provide a little equity. Please note, not all foreclosures are good deals as the banks are trying to make top dollar to recover their losses.
What is a Short Sale?
A short sale is when the home owner is working with their mortgage company to try to ‘short’ their mortgage obligation instead of going into foreclosure. These short sale deals can be very time consuming and often the final sale price will not be determined until the last minute.