How to structure this deal?? 3 posts by 2 users

Posted: 01/23/2008 at 01:27PM

I found an ad for someone needing to move out of a house that they've been living in and renting for 3 years. The owner is in a divorce and wants to sell. The tenant says that she is willing to stay long term and continue living there. The house is worth $150k range her payments are $925/mth and pays all utilites. Would this be something worth pursuing and contacting the owner knowing his situation to buy the property. And if I do get a hold of him would you do a " subject 2" or lease option. I don't have money to put down, so I'm trying a " no money down" deal. Any thoughts out there??

bjvd31

Posted: 01/23/2008 at 02:11PM

I know it's worth $150k, but if he's a " distressed" (divorcing) owner then I'm not offering him the full value of the house. I'd try to work it down below where the $925 would include tax, insurance, etc. Maybe he only owes $100k then there's $50k in equity. I'm talking out loud. I thought subject 2 deals were the way to go if this situation is accurate.

bjvd31