Purchase price of $52,000 with remaining mortgage of $32,000. $6,000 will pay back mortgage payments. Monthly payments of $589 (p t i hoa) with market rents at $850. The remaining $14,000 will go into an account to seller over time to help her save money.
I'm considering a lease option with 15 yrs. payout or seller finance with seller carrying $14,000 balance, but would like suggestions of ways to structure the deal.
The upside is the seller is my mother-in-law and the $14,000 will go to my wife and her brother or to the grandkids in the future.
All advice is appreciated. Thanks in advance.
@Steven E. what type of property is this....and what is the value?...does it need repairs?...what do you plan to do with it...rehab?...place a tenant?....
If there is an underlying lien, how are you paying for the purchase...the seller will be in second position...
Did you consider a subject-to?
What is your exit, are you living in it?
are you lease optioning the property? renting it?
Buy the property sub 2 the existing 1st mortgage, get the deed, give a note for equity. :)
@Brian Gibbons the property is a 3/2.5 condo with an arv of $75,000. No repairs need as my wife and her mother did some minor renovations this past summer. Currently 2 tenants live in the property paying a total of $675, but was renting for $975 before my wife moved out. One tenant will be leaving and the other tenant sister will move into the basement with a total tent of $700 and we will place another tenant in the second bedroom.
No underlying liens, but my attorney will verify everything. As for purchasing we're wanting th keep the existing mortgage in mom's name and just make payments.
We're looking to hold as a rental for now, but we'll sale down the road.
Either do it for nothing or
Get the deed on Sub2 and make the payments.
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