How to help out a friend
One of my buddiest is going through a rough time and trying to keep afloat on his mortgage payments. He's got little to no cash, mostly maxed his CCs, and is thinking about just letting his property go into foreclosure and walk away. He asked me for some advice but at this stage in my education, I don't know enough to help him. Any advice on the following situation?
Debt/Mortgage: 430k
Property value: ~450k based off zillow
Other homes nearby in nicer conditions are selling for 500-550K but he probably needs to put in 20-30k to get it up to that and he has no money.
We're thinking about the following options:
1. Rent out a room and try to stay afloat
2. List for above market and try to break even
3. We rehab his place using my funds and sell/split profits, IF ANY... I guess I risk losing money this route.
4. Point him to a short sale realtor?
Thanks for any advice