It isn’t often you get a deal like this in this location! This particular home located in River Ranch is one of the most highly sought-after locations in the Lafayette, LA area! Many buyers are willing to pay top dollar simply for the convenience of having just about everything you need within walking distance of your front door! Average homes in this community sell for $225 per sqft! Some as high as $500 per sqft!! This particular home sold for $187 which translates to $555,000 purchase price! Sure, it needed some minor updates and repairs but the buyers for this home recognized the price and knew they had to reach out to further investigate! Structurally the home was sound and mostly operational. Most of the issues were cosmetics which anyone looking for a home that needs some TLC is good news! The sellers for this particular home came through our We Buy Houses portal on this site looking to make a quick sale. We sat down and ran some numbers and felt it would be a better option to list their home first instead of us buying it. If it didn’t sell within 45 days then we’d take it off their hands! But at the price they were willing to list for I knew it would fly off the market!
If you’ve shopped for a home in the Lafayette, LA area within the last 12 months of this post (9/14/21) then you know the inventory is scarce! Which drastically changes the value of homes because there’s so little to choose from! So to find a home that offers this much equity isn’t easy! Especially one in this location that just needed some minor updating! It was estimated this home needed about $50,000 – $60,000 worth of updates and repairs! This brings the total cost of this home to $605,000 – $615,000. Now looking at comparable properties that already made the necessary updates this home needed, I found those homes sold between $705,000 – $780,000!!! WOW!! This isn’t California!! You don’t find a home in the Lafayette, LA area with over $100,000 in equity unless it needs some MAJOR renovations!! After I’ve personally flipped over 35 properties it was easy to show the new homeowners the potential they had here!! As you can imagine they were pretty excited!
What Should You Do To Find Deals Like This?
There are lots of different methods to finding motivated sellers and I won’t get into much of that here. We sometimes have off-market homes at a discount here on our Off-Market listings page. On this particular home, I received a ton of calls from other Realtors. Their buyers were nick picking this home like it was priced at retail value! Which told me they weren’t aware of this home’s true potential! We priced this property with the necessary updates and repairs in mind! Matter of fact our recommendation was a little higher on the sales price but the seller wanted it to move quickly! So a lesson here if you’re interested in a certain property that needs a little TLC is to ask your Realtor, what’s the upside on the home you’re interested in? What I mean by this is all these buyers that were having their Realtors reach out to us trying to get the price even lower. Did they know at the current list price we had there was the potential to buy, update, and sell this house and potentially make $100,000 – $150,000?? Probably not! So if you run past a home that isn’t quite what you want cosmetically but in overall good shape and great location! Don’t pass judgment too quickly! Ask your Realtor (if not us) to run some numbers for you to see if you haven’t found a diamond in the rough! It happens often, it’s just not brought to many buyer’s attention! A lot of home buyer’s natural reaction is to talk a seller down off the current asking price, not realizing some homes are already priced well below market value.
If you’re currently looking for a home in River Ranch check out all active listings here. If you’re looking to buy/sell a property in the near future we’d love to hear from you. As always feel free to call/text 654-0569 or fill out the form below!