Possible owner finance
Good morning Bigger Pockets. Hope all is well with everyone. I ran across a possible owner finance house the other day and I'm having trouble closing the deal. I'm looking for a few more suggestions on how to make this deal work, if you would be so kind. Here is the deal:
The home is for sale at $269,000. The home is move in ready but could stand some updating, ie. counter tops, some paint in a couple of rooms. Lets just say $10,000 would go a long ways.
The comps are running in the $295,000 to $305,000 range
The owner is somewhat motivated to do owner finance. They have just purchased another home and were wanting to do some updates and build another garage and there in lies the problem. The updates and garage they are wanting to do are going to run in the $60,000 to $$80,000 range. They own the home that is for sale outright and thats their "piggy bank".
We are thinking about making this our personal residence for a couple of yrs. then resell and upgrade. We offered 5% down, 5% interest, 30 yr amortizatioln, balloon in 2yrs. or a lease/purchase for 2 yrs. They like the idea of owner finance but can't get past the "piggy bank". Any ideas?