Updated over 12 years ago on . Most recent reply
How to possibly structure a duplex with meth issues
There's a wholesaler that brought me a potential deal. One side of the duplex rents for $650 and the other side should rent for $650 as well. I've found that rents are under-market here so there might be upside. The seller has roughly a $360 P&I payment on the property. Taxes are probably $1k and insurance is TBD. The issue is that the other side of the duplex needs $9k (quote from 2 years ago, will be re-evaluated) to re-mediate a meth issue. I'm shocked that the rented side can be rented at all. Assuming a $75/month payment to play it safe, that's a payment of roughly $518. Owner financing can be done for 3 years maybe more where I pay his P&I, fix the meth issue (I'll have a quote before I close of course) and pay the taxes/insurance directly. Does anyone have any experience here? Creative ways to make this work? Maybe a declining principal balance lease/purchase?