More Than One Way To DO This Deal?
I know there's more than one way to do this DEAL!!!
Here's the the layout.
Just got back from looking at a property
in great area of north Houston.
Seller called me after the contract had expired from Realtor, expired Friday.
Comps are 155,000 -160,000
House listed for 155,000.
No repairs are needed. Custom home.
Move in ready.
Seller will take 130,000
Mortgage bal.
1st 89,000
2nd 20,000
She gave me a letter of intent from the next door neighbor,s parents to buy the house for 155,000 and have her (the Seller) carry a secound for 30,000.
The seller said she could not to this because she needed 30,000 to close on her new home. And said I could work a deal with them. (neighbor's)
Whats the best way to do this deal.
Thanks ahead for any input.
Jim
<IMG SRC="images/forum/smilies/icon_wink.gif"> [ Edited by JimcCurtis on Date 12/27/2003 ]
1. try to see if you can get the buyer qualified for 100% financing. Why do the carry back if you dont need it right?
2.The payoff of the 1st and 2nd is $110,000. Offer the seller that you will payoff both of the mortgages and when the property sells you will give her the balance of the 20k
3. Flip the whole thing to an investor and let the investor carry the 30k you take your share and walk.
pcglobal,
I don't know an investor that would be willing to do this deal for what you've suggested leaving in it. There's a reason that the listing was expired. that's usually that the 155k asking price was too high. You've suggested paying off the 110K and leaving the balance of 20k when the house sells. You've committed 130k without taking your cut, or closing costs etc. If you can't do this deal by yourself, with new financing, or the current owner being willing to leave theirs until you're able to sell, you should walk away.
Jeff
I would definatly be concerned with the house being listed for that long. You need to find why. However, if you talk to the neighbor and you can get them to buy the place, then no worries. You could potentially have a great deal on your hands. The first step is to talk to the neighbor and find out about their financial situation and work to get them financing.
Thanks for all the great input. I'ts great to know I'm really not out here alone.
I'm talking to the neighbor today to see what there situation is. There eas a contract on the property, but the seller said the to agents had a fallen out.
So she said she just let the listing expire.
Jim