I am getting started with rental properties and want to get ideas on how to creatively finance this (real) case study
Deal: Package deal (2 properties) in the hot neighborhood in Philly zip code 19134.
Asking price: $85K for both ($42.5K each)
Situation: Seller is a tired landlord and just want to sell them. The 2 properties are in great shape, very well maintained with great tenants ( I also personally met them).
- Property 1 is free and clear with tenant paying about $750/month. Estimated value is $57K
- Property 2 has a small mortgage balance with tenant paying $750/month. The estimated value is $60K. The owner is open to selling this one-half cash (to pay the remaining of the loan) and a half with a promissory note (terms not finalized yet)
For all the real estate professionals, how would you creatively finance this deal? Please advise.