Is This Property Good For A Subject 2
Selling is about to go bankrupt,
Owes $330,000
Comps $360,000
Wants someone to buy house and he wants $10,000 in pocket. Says it is in need of rehab, but I do not know the extent of the rehab.
I was wondering if you guys would try a subject 2 on this property, with a $10,000 down payment? Or is it not the right situation for a subject 2?
The 10 part is right. Just too many zeros after it. Sounds like you could demonstrate a total lack of equity after realtor fees, closing costs, holding costs and lastly, whatever the rehab costs would be.
This guy is probably dreaming about getting $10,000. He certainly won't get it selling conventionally. He doesn't have the time.
He would probably owe me money, not the other way around. Look at the house and see how much he needs in repairs first. Nego from there. What happens to his credit if he gets foreclosed on? I would take that angle.