Real Estate Investor · Converse, TX · Member since 2014 · 12 posts · 3 votes
so here's the situation:
My parents (living in DE) have a house they want out of. They owe $195k on it. My partner and I see this as an opportunity to have this as our first deal (to turn into a rental). Not sure how we should go about it. My dad just wants to sign over the deed, but I KNOW it's not that easy. What's is the best way to go about making this deal?
Hartsdale, NY · Member since 2015 · 874 posts · 218 votes
11y
Well you should be a little more detailed. I assume you and your partner have agreed on a price to pay your father. You have to spell on how and when you are paying him and the price you are paying him. I assume your father will be holding the mortgage? Will you then be planning on refinancing it and repaying your father? When you all agree as to the details you should have a lawyer write up an agreement and guide you on how you handle the legality of the sale and the mortgage.
Join a local Real Estate Club and or a Real Estate Meet Up Group and run it by them.
Let us know some of the details and what you have decieded to do as your first step
Greensboro, NC · Member since 2014 · 212 posts · 143 votes
11y
@Rasheedah Johnson please be sure you underwrite this deal as objectively as possible. Does it make sense as a rental? My guess is that you have a desire to help your family and also "get the deal" but those factors may overshadow a proper evaluation of the deal. Best of luck to you.
Real Estate Investor · Converse, TX · Member since 2014 · 12 posts · 3 votes
11y
@barbara goodman and @derek b.
Thanks for the advice. I am wanting to do both( help parents and make deal). Being new investors we really don't have the funds to pay for the house. Of course my parents nor I know if we can just sign over ownership, while mortgage still staying in their name. Someone advised me on a subject to contract, but I have to do more research on that. Would a dollar suffice? Lol.