All Forum Posts by: David Miller

yep, makes total sense. thx for breaking it down for me. 

thx john. 

@Account Closed- goal is for the tenant buyer to actually purchase the property. he wants to put more money into remodelling, etc. 

did not understand: 'buy out by Friday?' 

can you rephrase?

@Bob E. - thx for the response / alternative solution. the tenant buyer has credit issues, which is why he's in this situation. 

can you go into a bit more detail of what the owner holding the small second looks like? like a scenario with hypothetical figures? thx. 

yes indeed

1. Property is located in 28806 (West Asheville), which is a hot market in Asheville, NC. Tax valule - $185k. Worth over $200. 

2. Tenant got into a lease purchase contract 4 years ago by paying into current Owner's mortgage. Has paid $50k so far plus all expenses. 

3. Owner has some family issues and would like to move on with the property.  Tenant needs $151k loan.

4. About tenant: born and raised in Asheville, is a respected local law enforcement officer. Wife of 20+ years, also local works at Mission hospital. 

5. Options: Tenant needs someone to hold a note for them / get them into a mortgage, but is open to basically any solution--long term, short term, creative, etc.. Would like to get  in the 10-15 year range. An example could be as follows:

$151,000 loan @ 6% - 15 years (180 payments) - $229,360.29 Total Paid - $78,360.29 Interest Paid

Thx!

hey community, 

a friend's father had a business that failed massively in the last 3 months. he just stopped paying the mortgage on his house. some of the business partners have liens against the property. 

my understanding is that if this were to just follow its natural course, the bank will reclaim the property, and it will go to REO. as a side note, the dad's strategy was to spend his remaining emergency fund on a trailer and to move out into the country, basically so that when whoever comes after him for money, he can show he has nothing left in any of his accounts.

if it were just a matter of the mortgage payments, i would be very tempted to start paying them and pick up the house subject-to. the property is in one of the most desirable neighborhoods in all of asheville, and it's a nice home. 

however,  the liens present factors / challenges i just don't understand. 

i don't plan on doing anything with this necessarily, but with this particular bit of inside knowledge about the property, it seemed worth sharing to see what experienced investors here thought of it. 

incredibly helpful @Joel Owens, @Yoni Levin et. al. 

i just want to move forward in a way that makes everyone win. 

will let realtor know i want to buy. 

if this all works out it will be my #firstdeal. 

will keep you looped. thx again everyone!

thx for the replies y'all. 

to clarify, property would be the BRRR strategy (buy, renovate, rent, refinance)...so essentially a buy and hold.

my situation is like this: 

1. i've been working informally with an agent whom i like very much. she's mentioned a couple of pocket listings to me and shown me a few houses (~4). however, we've never signed any paperwork. 

2. she mentioned a house in my target neighborhood that's FSBO. i told her i was interested in learning more but didn't hear back from her the next day. so i took the initiative and looked at the house, called the owner and set up a time to meet with him.

3. the property is by far the best potential deal i've seen so far, and as soon as i started talking to the owner, all my instinct told me 'i just need to do business one to one with this guy. having a realtor is just going to get in the way here.' 

4. however, i don't want to jeopardize my relationship with this agent in the future. she seems like the right 'scout' (and agent for future properties that come through the MLS) on my team.

my instinct is to just be upfront and tell her i what happened, and that i want to pursue this one on my own and it if goes through, give her a finder's fee of $1,000. 

thoughts? what do i do BP friends?