Creative Options Anyone??
Hey all!
I have a seller with a house that just appraised 3 months ago at 271K and he's selling for 229K..no more no less. It's fully restored and when presented the option of a lease/option he wants certain terms or he'll continue to market himself. His terms are:
10% down - 23K (no way)
A guarantee that the house will sell or we'll buy in 1 year (no way)
It was listed with a realtor but the realtor wasn't good so he's been selling on his own for about 2 months. He doesn't live in it now and doesn't have a financial problem paying two mortgages while he waits for it to sell.
He won't do any owner carrybacks. I thought of a possible equity-split on the property but wasn't sure if this fits. Let me know if any of you have any other ideas.
It sounds like you should move on to the next deal or continue to wait until the seller is modivated. 10% down for a contract for deed is more normal than a 10% option consideration. That much for option consideration is unreal in my area.
I would second what 'frogger' had to say.
The only other counter you might consider is offering a higher purchase price for better terms. It sounds like you have a lot of room to work with, and if property is appreciating in the area, you should be safe.