What to do?

Question

If anyone can help,

I know someone that owns a property, it's not for sale but there is no tenant in the property. There haven't been a tenant for about a 1 to 1 1/2. They still have the property in their name and I guess they are still paying the mortgage on it also. It was built in 1989 it's in a good neighborhood in MD. I say it's probably worth around 300-350K.

I'm new to the RE game so I would like some insight on how I can purchase the property on good terms. I really want the property for myself. I know that what I'm trying to have the mortgage at i will not be able to get but I'm trying to get the mortgage payment at 1000-1500 a month. And also my credit situation is not that good right now. Not bad but not that good.

I know this person very well but I just want to know how I should go about approaching them from a investors stand point.

Corey Smith · Answer

Depending on the owners financial situation, you might be able to look into a short sale. Another option may be for you to pull a couple of buddies together and ask them if they are interested in a business opportunity. Pull together to purchase the house and split the profits in a few years after you sell.  My .02

Michael Rossi · Answer

The reality of this situation is that you're probably not going to get a payment near $1,000 to $1,500.  That is especially true without good credit.  Your only real hope is that they have a lot of equity in the property and that they're willing to sell it at a big discount.  I would just call them and ask.

Good Luck,

Mike

Dick Green · Answer

Ask them what their plans are for the property.  Ask them if they would consider selling it.  Ask them what they want for it.  Ask them what they were renting it for previously.  Ask them why it's just sitting.  Ask them what's the least amount they would accept.  Then ask them if they would give you special consideration in the price.  Ask them if there's an existing mortgage on it.  Ask them how much it is.  Ask them what the payments are.  Ask them if you could just take over the payments.  Ask them if they would credit you sweat equity for doing work on it.  Ask them if you can buy an option on it.  Ask them if they would allow you to market it for them.

These are just a few questions.....

Do the homework, don't take if for granted that it's a great deal.

In short...ask a ton of questions.