Creative Strategies for an over leverage property
Bigger Pockets, i have a situation and need some advice.
I have a property under contract that I would like to keep as my first rental or sell as a lease option.
Here's the situation:
Property was recently in a fire in which majority of the second floor was consumed. My rehab is roughly 70 to 80k, $11,000 in back taxes and $23,000 in a private mortgage. The after repair value is $120,000 with rents in the area up to $1100 a month.
The private lender is willing to work with me to help the seller and his situation. Currently mortatage payments are $335 until 2023 and the seller will be contacting the city about the back taxes to see what kind of payment arrangement we can set up.
Whats the best way to go about this?
Are there any hard money lenders that will lend on my rehab cost ONLY? Exit would be to refi out with another private lender or a bank.
Is there a way I can take over the payments, with resuming payments after the rehab,