SubTo Deal Advise Needed
Hello BP, I was presented with a local creative financing deal and need some honest advise. This is a subTo deal a wholesaler locked down and is looking for an end buyer. This property is in the same city I live which makes it more attractive for me. Here are the details:
- Purchase Price 280K /ARV 310K
- Down payment of 20K (includes assignment fee 10K goes to seller 10K to wholesaler)
- Balance on loan about 171K
- PITI $1400 approx
- HOA $140
- Rent 2k renter already in place which is the current owner (He is wanting to lock in price now because he feels the market is going to go down)
- 2-year term with the option to extend to 5 years
Any advice is appreciated as I have never done this type of deal before.