Skip to main content

Friend is waiting for a developer to sweep him off his dreamy feet

Hi, first-time poster with question.

A very good friend of the family bought a house in 2011. He does not own it free and clear yet, but he's close. He has done almost no work at all on it, but it has appreciated tremendously because of the city we live in (expensive West Coast bubble city).

The crux of the issue is that he is convinced that it is worth much more than (I think) it is, because it's zoned modestly for multifamily, and he thinks a developer is going to come along and pay him hundreds of thousands above market value for the land alone. He's the kind of guy to not let go of an idea, even if the people around him have their doubts. He's reaching retirement age with no real savings or assets except for this house, and he's not even renting it out, because he's scared of ending up with a nightmare of a tenant after a bad experience during the pandemic. It has also never been in good condition to rent at full or even close to market value, so he's not making any money at all on it.

My intention has been to help him do the repairs necessary to rent it out legally and safely, but I can't if I can't disabuse him of the notion that he's about to be a very rich man if he just waits long enough for someone to bulldoze it. His property, though valuable, is not in the kind of neighborhood where development is ceaseless. Unlike many parts of the city, it's been very slow to change. How do I go about convincing him that this isn't going to happen so we can move on and start providing him with a more solid and timely financial cushion?

I don't know anyone in the industry for him to take seriously. Would it be worth cold-calling/emailing a developer and ask for them to take five minutes to review his situation? That sounds crazy, but I don't have any other ideas.

submitted by /u/hannahrelf13
[link] [comments]

source https://www.reddit.com/r/RealEstate/comments/18tk53j/friend_is_waiting_for_a_developer_to_sweep_him/
Labels:

Comments

Post a Comment

Popular posts from this blog

North Carolina – “One to Buy; Two to Sell”

I realize I will likely have to contact a real estate attorney but also hoping to hear insights and experiences from others! I have a house in NC that I bought by myself in 2009, and paid off, in full, in 2022. I got married in 2023. My spouse and I have not lived in the house as our "marital residence". We have maintained separate residences even after we got married. (That a separate topic!). I am now selling this house. Realtors have told us that my husband has to sign the deed at time of transfer but I am not convinced since the house has not been our marital residence. The realtors like to use the phrase "one to buy; two to sell", which seems like a broad-stroke statement which is not applicable under all circumstances. And of course, the realtors don’t realize the details of my specific circumstances: I purchased and paid for the house in full prior to marriage Only my name is on the deed And most importantly, we have never lived in the house as a marit...
Post a Comment
Read more

Question With Tricon "Pending ID".....

My wife and i, along with 2 other peopl applied to rent a house, and our application says "Approved, Pending ID". Anyone else know what that means? Do we pretty much have the place or are we missing something? submitted by /u/Itskrueger [link] [comments] source https://www.reddit.com/r/RealEstate/comments/1orixqj/question_with_tricon_pending_id/
Post a Comment
Read more

Aren't comps/CMAs useless with buyer credits at close happening now?

I'm looking into buying a new construction townhouse in my HCOL US city. I'm seeing builders offering interest rate buydowns worth $20k-$60k on $800k homes (rather than just lowering prices) in order to keep their comps high for their other units, now that buyer demand has been declining. I asked my agent about these, and he said these buydowns aren't even the full story: buyers can write all kinds of other credits into an offer, like their closing costs, prepaid sewer fees, etc. Apparently cash buyers can just write in a "buyer credit at close" for any amount in their offer. So a new townhouse that appeared to sell for $800k in the MLS might have actually been a cash offer with a $100k+ buyer credit at close, meaning the buyer only spent $700k or less in total, but to the rest of the world they can only see the $800k! So that made me realize I can't trust comps/CMAs for other new construction townhouses. The sales prices could be way lower than they appear...
1 comment
Read more