So I have a potential property that an owner wants to sell but there's a dilemma. The owner doesn't want to sell the land, they just want to sell the home, Her and her husband don't want to repair the home because its older, they would rather sell it and put that money towards building a new home instead. If I get it under contract for the right price has anyone ever heard of a buyer buying in this type of situation? They would have to relocate the home off the land, it's not a mobile home its a SFR 2/1.
I am not familiar with the laws in Texas nor have I ran into a situation like this but I would imagine you would need to involve a lawyer who specializes in land.
Being that the owners do not want to sell the actual property the home sits on, I believe that would legally mean (*I am not a lawyer*) that at any time they could say "Hey I want to use or sell my land, get off it by tomorrow" and they would have the right to do since they own the land.
Also, another hairy situation with that would be who pays taxes? In my county (and in general I believe) the property taxes are based on the actual land value. Therefore if the owner owns the land but someone else has a property on it, I would say the taxes fall on the shoulders of the actual land owner but that's a debate to be had by the home owner and land owner.
I've never heard of a situation like this but would guarantee you would need to get a vetted lawyer to draw up a contract saying that the land owner has to abide by some rules when they decide they want to use their land again for whatever purpose. I'll be interested in following this post to see the recommendations of others.
Also, are you a wholesaler in Texas? I am hoping to relocate to the Dallas area next summer.
Thanks for your response Joedecei. Let me explain the situation a little better, the home owners aren't trying to sell the home and not the land. They are trying to sell the home and get it removed from the land altogether, its sitting on pier and beams. They want it removed so they can began building another property in its place.
I know this isn't an ordinary situation, but I was curious if a buyer would even be interested in this.
I am actually a wholesaler here and Texas but I'm located in Houston and it's a very competitive market. The hottest in the country right now actually.
Oh gotcha. Well I guess that more so would depend on a few different factors such as the condition of the house, rehab costs, the relocation costs, new comps of new neighborhood, any permits that have to be acquired and probably several other factors I'm unaware of.
The only time moving a house sounds feasible is usually when you are comparing the costs to building a house. Which in this case I would imagine most people would rather build a new home than possibly save a couple thousand after the house is moved and all the expenses have incurred.
I think there is a buyer for every product but your market, I'd imagine, is extremely small and very specialized which to me means a lot of time spent marketing which cuts into your profits. Why spend 20 hours trying to wholesale this deal when you could spend those 20 hours finding and selling more marketable deals?
But that's cool. I wouldn't mind investing in the Houston area even though it is competitive. Do you have an email list of buyers you communicate with? If so, I'd love to be on it and get updates about the properties you get under contract.
I've seen "home only" for sale on craigslist. You could also put it on the MLS. No real issues selling a home. It just has to have enough worth to be worth picking up and moving. It's like selling a car or anything else. No deed or title or anything like that is needed.
@Cody L. Yeah I'll just have to accommodate for all the expenses and factors that come in to place when I make my offer to the sellers. Thanks for you input!
Doubt anyone will want to move the house even if they offered it for free. They are better off building next to the house or adding on to it if they don't want to demo it.
@Jassem A. Yeah its a pretty weird situation, but ill exhaust every resource before I pass up the opportunity to sell it to a buyer that may be interested.
The house itself is worth very little as the cost to move usually makes it cost prohibitive. Professional house movers often will take them for free or almost free and resell them
If the seller has a loan the lender will have an issue with this but otherwise it is not an issue