Sometimes properties come with more than just physical damage—they carry years of emotional weight. For Mike, the home at 3220 W Shangri La Rd in Phoenix, AZ, represented frustration. After over a decade of letting his stepson live rent-free, the house had become a neglected mess.
With no funds to repair it and a squatter to evict, Mike had nearly given up hope of ever selling it for a reasonable price. That’s when he received one of my direct mail promotions and decided to reach out to us at AZ Home Seller Solutions. Together, we turned his problem property into a successful deal for everyone involved.
The Seller's Challenge:
Vacant and in Disrepair, with a Defiant Squatter
Mike had owned the property for over 10 years, during which his stepson lived there rent-free to appease Mike’s wife. Unfortunately, the stepson allowed the property to fall into disrepair—turning it into a hoarder house with major cleanup, repair, and update needs.
When Mike finally decided enough was enough, his stepson was not willing to leave without a fight, making the process even more challenging.
"I had no idea how I was going to sell this house. It was in terrible shape, and dealing with my stepson was a nightmare. Rafael and his team handled everything."
Michael McIntyre
Distressed Homeseller
On top of the physical damage, Mike was concerned about hidden tax liens, unpaid utilities, and the lack of maintenance, all of which made the home look like an impossible sale. With no funds for rehab and no experience in real estate, Mike doubted he could ever get a fair price for the property. He needed a buyer who could handle the eviction and take the home as-is.
A Neglected Home, Inside and Out
These two photos show the exterior condition of the property. While there are no interior images available, the front and back views highlight the extensive neglect and the challenges this property presented.
Our Approach:
Patience, Creativity, and Finding the Right Buyer
When Mike reached out to us, I explained that the house needed significant repairs and that there could be additional issues—such as hidden liens—that might complicate the sale. We also needed time to work through the eviction process for his stepson, which Mike agreed to assist with. Despite these challenges, Mike was ready to move forward.
After an initial walkthrough, my acquisition manager, Paul, offered $135,000 for the property. We agreed to purchase the home as-is, without any request for repairs or credits, and Mike was happy that we were taking on the burden of cleanup and rehab. We made sure the contract was contingent upon our inspection, and we were transparent with Mike about the potential timeline, given the condition of the property and the eviction.
Once the contracts were executed, we got to work. Our transaction coordinator sent the contracts to our title company to start escrow and run a preliminary title report. My disposition manager then prepared a campaign to market the property to qualified buyers, ultimately connecting us with one of my best investor partners, who wanted to rehab the property himself.
Step 1.
Initial consultation to understand Mike's needs and property status
Step 2.
Walkthrough assessment with acquisition manager and initial offer made
Step 3.
Drafted and executed purchase contracts, contingent on inspection
Step 4.
Sent contracts to title company and began escrow process
Step 5.
Marketed the property and identified a strategic investor partner
Step 6.
Finalized double escrow flip to investor partner
The Documents That Closed the Deal
Both the purchase contract with the seller and the sales contract with the final investor buyer showcase the steps taken to secure a $20,000 flip profit while resolving Mike's housing challenge efficiently and ethically.
The Results That Made the Difference
From the time Mike first contacted us to when we had all the contracts drafted, agreed upon, and executed, it took just three days. The agreed-upon purchase price from Mike was $135,000.
Once we found the right investor, we executed an agreement to sell the property for $155,000. My strategic investor partner provided proof of liquid funds, which assured Mike that we were ready to close when his attorney gave the green light.
After Mike’s stepson was finally evicted, the closing process was swift—our buyer closed the transaction in full within two weeks. In total, the entire transaction, from the initial discussion to closing, took less than 20 days. Mike was thrilled with the outcome, and my team ensured that all his worries, from eviction to property repairs, were fully managed.
Quick Contracts: A Fast Start to Success
Contracts were drafted, agreed, and signed in just three days, ensuring momentum and confidence from the start.
Fast Buyer Secured: Proof of Funds in a Day
A qualified buyer was secured with proof of funds within 24 hours of marketing the property.
Under 20 Days: A Swift and Smooth Process
The entire transaction, from contract signing to closing, was completed in under 20 days, providing a quick and efficient resolution for all parties involved.
Transparency in Every Transaction
These closing settlement statements for both the purchase and resale transactions detail how the deal was finalized. They highlight how confidentiality was maintained between the seller and buyer, ensuring a professional and seamless process.
“Rafael’s team handled my property sale quickly and fairly!”
After years of managing my property, I was ready to sell quickly and stress-free. Rafael’s team provided a fair cash offer, covered all closing costs, and worked around my schedule to finalize the sale. The entire process was smooth, and I appreciated their responsiveness and commitment to their promises.
Top Tips for Selling a Distressed Property with Squatters
Selling a distressed property can be tough, especially when there are squatters involved. Here are some lessons from Mike's case that could help others in similar situations:
top tips for
sales success
Patience is Crucial
Evicting a squatter can be a lengthy process, but staying patient ensures you can sell on your terms.
Work with a Team You Trust
Handling evictions, repairs, and negotiations can be overwhelming. Having a trusted partner to manage the details makes the process less stressful.
Be Transparent About Challenges
Being upfront with buyers about the condition of the property and any issues, like squatters, helps set realistic expectations and build trust.
Rehab Realities: A Project Bigger Than Expected
The email from the contractor and the property floor plan sketch outline the extensive rehab requirements. Initially estimated at $25,000 to $30,000, the actual cost exceeded $50,000, emphasizing the importance of finding an investor willing to take on this significant project.
Lessons Learned: Persistence Pays Off
![Lessons Learned Icon [v3]](https://rafaelcarrasquillo.com/storage/2024/12/Lessons-Learned-Icon-v3.png "Lessons Learned Icon [v3]"){kind=icon}
The biggest lesson from this transaction was the importance of persistence. From the initial inspection to evicting Mike's stepson, the process had its fair share of obstacles.
However, by staying committed to the goal and being patient throughout, we were able to achieve a successful outcome for everyone involved.
Additionally, this case emphasized the value of having a strategic buyer network. When selling distressed properties, having established connections with reliable investors makes it easier to close deals quickly and with confidence.
Need Help with a Tough Property?
If you're dealing with a distressed property, tenants or squatters, and need a trusted partner to take on the challenge, my team and I are ready to help. We specialize in handling complex sales, from repairs to evictions, making the process as smooth as possible for you.