Need strategy to acquire brother-in-laws house
Hey BP, I have a family member in my community who's planning on leaving their property in a few months due to work commute and affordability. The loan currently has a modification, and at this point they’re interested in simply returning the home to the lender. They’d like to move no later than October. Any strategy to acquire this?...Subto maybe? Is it even worth it? Maybe operate it as a mid-term/short-term rental?
Mortgage is around $3500/$3600 (with modification), and has little to no equity...rents in the area are around $3100. The home is right across from a shopping center anchored by a Target, Kohls, LA fitness, and more. Surrounded by schools, close to hospitals and freeways. Even a hotel project is underway. Additionally the city is having massive population growth.
Let me know your thoughts.
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#5 General Landlording & Rental Properties Contributor
- Real Estate Broker
- Northeast PA
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#5 General Landlording & Rental Properties Contributor
- Real Estate Broker
- Northeast PA
@Aaron Williams, the questions should be: how deep are your pockets? And, how much cash do you want to lose every month?
Unless you can convince the lender to do a seriously low short sale, I'd take a hard pass on your relative's problem.
With no equity and negative cash flow from the get-go, I'd say if you want a hole to throw money into, get yourself a nice boat. At least you can enjoy the ride once in a while.