Hello BP! So my parents have decided to move into a retirement community and will be moving soon. Their home is paid off and they haven’t enlisted anyone to help them sell it yet. The home is not in the best condition and whoever buys it will have to do a good renovation but there’s definite value. I can’t help but to think there’s an opportunity here. I’m trying to figure out if there is a way, through some type of agreement, where my parents will get the money for the value of the home and I could take ownership of the property to slowly repair and rent out. The issue I’m having is that I’d have to go through a bank for a loan and between the down payment and repairs I don’t have enough working capital. Any ideas? The home is in Long Island NY.
Do you have enough to buy it? If so, what about asking to borrow money for repairs from your parents and pay them back with interest within 1-2 years. You want to get the essential repairs done and get it rented quickly. You can then do any other repairs as they pop up or when the first tenant moves out...and you've saved more money.
When doing renos, remember what you need to do vs what you'd like to do if you were living there. It needs to be in good condition and clean, but doesn't need fancy appliances and countertops or rain showers.
Have you considered fix and flip? The only money you would need is on the rehab side.
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