I finally have recieved a call back from a guy who is interested in selling his fathers estate, the only issue is the father owed 155,000 dollars in back mortgsge and I dont know how exactly to go about to make this deal happen or even if I should even consider taking this deal. the estate is worth more than what the back mortgage is owed and the average house has been sold for around 200,000 dollars. What steps should I take to make this deal happen?
Hi @Miles White is the seller ok with just accepting what is owed on the property? ($155k) I would determine how much work needs to be done to the house and how much that will cost. Compare that to the 200k comps (usually around 70% of ARV- after repair value) and minus a fee for you. If that makes sense then I would do the deal. Maybe all fixed up with higher end finishes gets you more than 200k? I would ask some contractors/rehabbers who are familiar with your area how much it'll cost/willing to pay for such a property first. Just my 2c. I would be interested in what others have to say.
@Brian C I appreciate the advice it does sound like I could make this deal work in my favor.
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