Updated almost 6 years ago on .
Deal analysis question
I saw a 4 beds 3 baths 2121 sqft property in good neighborhood with the following numbers:
- Asking price $385,000
Average Sold Price: $385,250.00 - Average Cost/SQFT: $207.56
- After Repair Value: $436,143.71
Repairs: 10,000.00
Seller Finance Offer:
- Sales Price: $385,000.00
- Down Payment: $1,000.00
- Interest Rate: 2.00%
- Monthly Payment: $1,677.67
- Term: 5 Years
- Buyer will pay for all maintenance costs and repairs.
- Total Monthly Payments for 60 Months: $1,677.67 X 60 Months = $100,660.20
- Balance Remaining After 60 Months: $334,864.68
- Total Received: $334,864.68 + $100,660.20 + $1,000.00 = $436,524.88
- Total Interest Earned: $36,025.08
Seller is interested in financing this deal, but they are concerned about low down payment and how they are going to protect their interest during this transaction. Any suggestions as to making this more palatable for the seller?