Lowballing a fixer-upper
We are considering offering $185K, up to $200k on a fixer-upper. The house is currently listed at $250 down from $270, which is comparable for the area, but it needs a lot of work. We also know that the owner needs to sell asap (going into a home, poor thing..). They did get another lowball offer and the selling agent told our agent to "just get me something with a 2 in it, they will probably take it."
The repair list: electrical upgrade & possible rewiring, new appliances, possible slow drainage issue, new windows, possible insulation redo, paint/refinish floors, kitchen & bath remodels, clear out yard, finish basement. The only things that have any degree of urgency are the first 3 or 4 items. We can also DIY everything but electrical upgrade.
We are going through it with a contractor friend on Sunday, then want to offer. We may have him write up a work estimate and submit that with the offer.
This is the only house we are really liking in our price range.
Are we delusional in hoping they would come down to our asking price? Alternatively, are we crazy for taking this much work on? I grew up in a (lazy) handyman's house and I think I will be OK with dealing with it.