I specialize in homes under $300,000. The value of looking at entry level homes is as you go further and further down in price, the value of the home gets closer and closer to value of the vacant land. By the time you get to homes priced below $200,000 you see almost every home is beyond repair and needs to be removed. From this price point you can determined the value of the land only.
I attached a link to this blog that takes you to a spreadsheet that has every home sold or listed for sale in Nevada County this year that is or was priced under $200,000. Have a look. The two homes marked in yellow were in good enough condition to qualify for conventional financing. The seven marked in pink would qualify for a government backed rehabilitation financing. If the borrower met the qualifications for a loan, the government would loan enough money to buy the home and fix it up to make it move-in ready. Such loans have a $30,000 cap on rehabilitation funds. The seven homes in pink are not in good enough condition to pass an inspection by an appraiser, but for less than $30,000 in repairs and fixes the homes could be made livable.
The other 21 homes on the list are “land value only.” Everyone of the other 21 homes is so far gone that the home needs to torn down. In some cases not even the septic system has survived the ravages of time and abuse these properties have suffered. In other cases, the homes have failed roofs, failed siding, or have walls, doors, and windows missing. In some cases, there is no home, just a trailer, yurt, or shack.
My blog features entry level homes, fixers, and rural properties.
Sign up and get regular email updates of listings I am profiling, or give me a call, let me know what you are looking for and I will set up a unique search for you and your needs.