Structuring a delinquent tax deal
Is it possible to structure a fix and flip deal like this....
Off market house. Owner owes $10,000 in back taxes.
My offer...
Pay back taxes off now and offer home owner 40% of the fix and flip sale price.
Numbers...
Sale Price 155K
40% of 155K = 62K (To home owner)
155k
- 62k (To home owner)
- 10K (Delinquent Taxes)
- 9300 (6% realtor fees)
- 3500 (closing costs)
- 800 (Lawyer fees to write up contract) guessing this price right now.
- 1400 (Holding costs)
= $68,000
$68,000 - rehab costs = Profit.
Am I missing anything?
Thanks!