Would you get a house under contract with LARGE HOA/membership fees?

[Jordan Archer]

Hey BP,

I have a motivated seller on the line that wants me to send him a contract. He originally wanted 109,000 for the house, when it's probably worth about 140,000. 

I told him I would be able to offer him 98,000 for the house minus any repairs that needed to be done.

After looking further in to the house, I found out that MONTHLY HOA/membership costs are about 3,000! On top of that, there's a refundable "equity membership fee" of 68,000 just for living in the area. This is refundable when you move out of the house. Additionally, there is a nonrefundable 7,000 "initiation fee" for moving in to the community as well.

Obviously I wouldn't be able to give this guy 98,000 for the place. I was thinking at best I could give him 25,000 for the place.

I was wondering if this is just a ridiculous deal based on these fees, and if I should just run? Do you think someone would pay like 30,000 cash to move in to the house, and I could make a 5,000 assignment fee? Or is this just too risky?

Thanks BP,

Jordan