All Forum Posts by: Mike Murphy

Depending on how close the hurricane gets....I may be headed there and just do it myself!!

I may be able to do a video tour, but the problem there is the properties are also 1200 miles from me. I did owner financing once before, a long time ago, but it was a MUCH cheaper property. 23k vs 130k

Thanks for the tips guys, unfortunately my other properties are 1200 miles away.

I should point out, at first she wanted 20k down, and 160k buy. Then it was 10k, then it was 10k and 130k buy (which is her payoff by the way...she showed me the paperwork. then she said she would take 8k and 130k buy. So I asked her if she would consider taking some monthly rent instead. She said she would consider it, but wanted me to see what I could do with a down. So thats where we are at. Since then the realtor told me she was real sick of it...so im hopeful. But again, im waiting to hear back from the realtor.

I dont know if she will or not. I think she was holding out to find a buyer and hasnt found one yet.The realtor said she is getting real tired of dealing with it. The realtor sucks though. It takes her 2 weeks to email me back. I think im ready to bypass her and talk to the seller personally.

Thanks for the replys guys...and keeping this real. What I had planned to do is just pay the owners loan. Payments are $1000 a month for 22 more years (I dont know her loan % yet). Utilities are the renters responsibility. And you nailed it, she is very old and is getting super tired of dealing with it. Also like I said, this isnt a done deal yet, she may want some skin. Im hoping to get it no money down and make the payments, but if I had to I may give her a portion of the rent, but it would be very little if I did. I also wouldnt say I havent accounted for vacancies etc...because I estimate maybe 2% for that. I worked as a maintenanace man for many years before so making "most" repairs will be no problem.

What do you feel would be the most money I should give per month to make this deal work. I was thinking no more than $200 a month for one year (if any at all).

Yes $2700 rent and 130k price.

There are no closing costs because it is owner financed....at least not yet.

What other info do you need?

And I agree the taxes and insurance is high for some reason? Whats crazy is I qustioned the taxes because she was actually paying $5300yr for them. After they did a little digging they found it was wrong. She has been paying that for 8 years! I dont feel the insurance should be more than 2kyr, but here in Florida the hurricane insurance is crazy. But that is something that I need to investigate further. Still seems like a pretty good deal to me IF she will finance.

I have been working under the table for cash for the last 2 years and thought it was great til I went to check on financing. Not so good now. So owner finance is really my only option at this time.

Hello everyone, I wanted to see if I could some oppinions or maybe a couple to run the numbers for me. Here is what im looking at:
2 duplexes on 2 seperate properties, but are one in front of the other. Im hoping to get these owner financed, but the deal is getting a little stale at this point. I was thinking if the deal is good enough, I may try to sweeten the pot a little. They are in what I would call an average blue coller area.Not great but not terrible neighborhood.
Numbers:
-Purchase price is 130k on the pair (no money down at this time)
-Taxes are $3600 yr
-Insurance is $3400 yr (can this be right?)
-Rent is $700 for two and $650 for 2. The two that are $700 are section 8 and paid directly to the landlord.

I would do all the managing and work on them. But they are both in good condition and I didnt see anything they needed at this time. Also, I dont know if it is possible, but there is also a decent garage that could be rented out that is fenced in and has a sperate meter.

What are your thoughts?

Thanks Ralph, that was a concern I had is what if the owner tried to sell it from under you. I have never seen a contract like this personally, so I didnt know if there was something standard, or if a lawyer winged it and put whatever they want in there.

But also like Michael said, I would hate for there to be anything in wrighting leaving it to oppinion. I wouldnt necessarily think the owner would do that, she is a very nice quite old lady. But my concern would be if something were to happen to her (like if she dide) then whoever it went to from there may be more difficult.

I thought about something like that, but I feel that is pretty risky because she could call it out whenever she wanted. There is no real way to measure condition, so how would this work out to be fair?