Newbie Needs Help With Possible Deal
Initially I had decided to concentrate on buying houses subject To, but came across a great rehab possibility. The house's market value after fixing it up would be about 130K. The sellers didn't say how much they were going to sell the house for, they just said that they will entertain any offers and estimate the repairs to cost about 30-35K. They also said that if we buy the house with cash the price would be much lower. However we simply don't have the cash to just buy the house. Would trying to get seller financing be better than trying to get a Fannie May renovation morgage?I would like to go through with this deal but don't know the best way of doing that. Like I said I have been concentrating on Sub 2 deals and don't have any experience in rehabbing. Any suggestions would be fantastic, and thanks in advance for the suggestions.
For starters I would find out just what are the owners looking to get out of it. It may just be more then what it is worth after the repairs are done on it. Is it vacant . I see they brought up the fact if you pay cash the price would be lower sounds to me that the owners might be willing to do some owner financing which thou might cost you a little more in price might equal out to closing cost and other expenses that you will have if you buy it using outside financing.