Charlotte Area Real Estate Best Buys: February 2016 Edition of Charlotte Area Real Estate Best Buys

Welcome to February, 2016, and the latest edition of my real estate investor suggestion list, “Charlotte Area Real Estate Best Buys.” The Charlotte real estate market appears to have cooled very slightly since the beginning of 2016. This may be a reflection of general concerns about the economy. REO’s are not entering the market as quickly as they were in early 2015, but they do not appear to be absorbed into the market as quickly either. There are still multiple offers on some of the best values shortly after they enter the market, but others remain available longer as buyers seem less willing to bid prices up quite as far as they did six months ago. I don’t know if this is a trend or just caution about the market caused by stock market volatility and plummeting oil prices. But good values continue to present themselves in Charlotte because the market here does not typically swing as far and as fast as other markets. There remain very good prospects for fast flip and for buy-and-hold investors. Some of those currently on the market are summarized below and, as always, the link at the end of this memo will take you to all the full MLS reports for these properties, including photos, addresses and much more information:

#1 – MLS 3140265 – 4BR/2.5 Bath with over 3,000 sq.ft. of heated living area, built in 2007 (so mechanical and other systems should not be in need of major attention). This Fannie Mae REO has a 2-car garage and is centrally located in East Charlotte (28215). It is priced at $164,900 and has a tax value of $170,900.

ONE NOTE ABOUT TAX VALUES: Tax value used to be a quick and easy approximation current market value. But market values in most areas of metro Charlotte recovered beyond tax value in 2015—some well in excess of tax value. So the only reliable way to estimate ARV (“after repaired value”) of a property is to take the time to pull up recent comparable sales.

#2 – MLS 3108442 – 3BR/2BA in the same general area as #1 above. This one was built in 2000 and it is a short sale. (See earlier editions of my blog for a discussion of short sales.) It has been on the market 122 days today, so the lenders who need to consent to the sale may believe the property’s market value is higher than it is. It is priced at $119,000, with a tax value of $121,600.

#3 – 3054176 – 5BR/4BA short sale in Mint Hill with 3,167 sq.ft. of HLA, a 2-car garage and .56 acre lot. This one has been on the market 128 days on the date of this publication and has been reduced to $205,000 with a tax value of $255,000.

#4 – 3136323 – 4BR/2.5 BA built in 2001 in Monroe, but this one is assigned to highly desirable Wesley Chapel Elementary and Weddington MS and HS. There may be an issue with the property being in a flood plain. It is offered via auction.com (please refer to earlier editions of this blog for more on so called “auction” sites). It is currently listed in the MLS at $171,000 and it has a tax value of $215,370. Comps are significantly higher than tax value, so there may well be a condition issue or an issue with the particular site, but these things can be fully investigated during the due diligence period under any contract.

#5 – 3120165 – 3BR/2.5BA in Concord (28025). This REO has 157 days on the market on the date of this publication. It has been reduced to $89,900 and has a tax value of $115,600.

#6 – 3133236 – 3/2 Famnie Mae REO, also in Concord. This one has been on the market 51 days and has been reduced to $62,900 with a tax value of $90,960.

#7 – 3118727 – 3/2 REO on a 1.20 acre waterfront (Lake Norman) lot in Statesville. It has been permitted for 3 bedrooms and 2 baths, but the home as 4 bedrooms and 5 baths. It has been on the market a total of 537 days and has been reduced to $450,000, with a tax value of $664,950.

#8 – 3127257 – 4BR/3.5 BA REO in Mooresville on .76 acre; this one has been priced at $435,100 with a tax value of $593,960.

#9 – 3143459 – 4/3 with 2,894 sq.ft. of HLA in Monroe (28110) on 2.60 acres; this REO his priced at $230,000, with a tax value of $313,400.

#10 – 3145908 – 3/2.5 on 1 acre in Waxhaw. This HUD home was built in 2001 and has only been on the market 2 days today. (HUD has a 15 day owner-occupant preference period during which non-occupant investor offers will not be considered.) This one is priced at $198,000 and has a tax value of $252,600. Depending on condition, this one may not last into the 16^th day on the market.

#11 – 3140479 – 3BR/1 full bath/ 2 half-bath Estate Sale in Srarmount subdivision with a large walk-out basement. This is a very popular area for flippers due to proximity to light rail and Uptown Charlotte, and ARV for this one with a completed walkout basement 4+ bedrooms and 3 full baths would probably have an ARV over $225,000. Listing price is $184,900.

#12 – 3141676 – 3/3 with 2,464 sq.ft. of HLA on .61 acre in Harmony (28634) and a 3-car garage. This REO is offered via another “auction” site (HUBZU) and is listed in the MLS at $246,280. Tax value is $205,130.

#13 – 3143784 – 3/2.5 built in 2002 in zip code 28215 with a 2-car garage. This is another REO being offered through HUBZU (purporting to be an auction). Listing price in the MLS is $127,200 and tax value is $139,500.

#14 – 3140419 – 3/2 in Indian Trail. This REO is located on a .65 acre lot, and is priced at $94,900. It has a tax value of $159,100.

#15 – 3145832 – this is an REO with 3BR and 2BA located in East Charlotte (28215. Listing price is $88,400 with a tax value of $105,100.

To view the full MLS reports for all of these properties, use the link below:

Click the following link to view the Residential:
http://matrix.carolinamls.com/DE.asp?k=331377XSXZH&p=DE-18946799-225

As always, if you have any questions about any of these properties, or any other property, please do not hesitate to contact me.