Buying property w Reverse Mortgage - can it work?
Wanted to see if anyone had a creative idea on how to approach this deal. Its in a GREAT area if i were to purchase it as a rental.
The persons mother just passed and the house she lived in has a reverse mortgage. The house is in an A+ area, is right next to a great school and is highly desirable - people don't sell often in this neighborhood. The daughter doesn't know what its worth and would likely be upside down if they sold - she believes they owe 280k on the property. The house was kind of a hoarder house and is in need of some repairs/updates. The banks extension just expired last week and they just want to be rid of the property.
I was thinking subject to since they dont want anything to do with the property and dont have equity but i'm not sure how that works with a reverse mortgage. Does anyone have any experience with this kind of situation? Thanks in advance!