Updated almost 11 years ago on . Most recent reply
Help me structure a deal
Good Day fellow BPers,
My expired listing marketing is starting to pay off. I met with a couple yesterday who received my post cards from my expired listing campaign. The house is a family home that has been in the family since it was built in 1908. I say that to say it has alot of love in it and not much work is needed besides from an eyeball inspection. So here are the numbers I'm working with:
3bed/2ba
1900+ Sq ft
Tax value $72500
Asking price $50000
Market rent $700-$800
Owner is willing to finance but wants original asking price from listing which was $57,100. I'm looking to add this to my rental portfolio but this is the first time a homeowner has been willing to finance.
So my question is what would you offer this owner, for those experienced in owner financing? Also, please advise if any additional clauses should be included in the contract. I'm trying to make this deal a win for all parties involved.
Most Popular Reply
How much down are they asking for or also how much down can you afford?
With owner financing, its ok to pay more for a home if you get the terms you are looking for.
If I can get zero down I might take the full price they are looking for and maybe pay a 6%-7% rate and also get a 30yr amortization with a 10yr balloon.
Now if they are asking for a down payment I would need a better price depending on how much they require.
Many things to consider, keep up updated.
- Curt Davis
