Seller looking to sell a property he has owned for 26 years.
Started off with not wanting to listen accepting seller financing. After consistent follow, I offered second carry and he spoke to his legal rep and says he is open to the idea.
Property type : 4plex
Neighborhood: Decent about A around Dutchtown STL,MO area.- hot area.
Comparable between : 260 - 310k
Seller will accept 280K - 65k
Seller will second carry $65k .
Property cash flows :- $380 month minus P T I, vacancy, management fees, capEx, water, sewer, 2 loan pts just in case.
Location fits my buy criteria and I like the deal .
Q1.) Are there investor friendly banks that will do this deal with just closing costs out of buyer’s pocket?
If they do, I am thinking, for seller carry, 5% over 9 years, interest only , balloon after 5years seems to keep cash flow intact. Is there a better structure?
Q2.) Let’s say I change my mind and wholesale. Is this contract assignable without breaking the Dodd Frank rule ?