All Forum Posts by: Mike Simon

Hi everyone, 

What options can I present to a seller who 1. doesn't have a lot of equity, 2. deceased parent is on deed. 3. no money for probate attorney, 4. House need full rehab. Parents own the house but the mother passed away a few years ago. Daughter and Father would like to sell the house but don't know what to do. Is short sale the only option for them?

Thanks, 

@Chris Seveney, 

I realize it's not a deal. Just trying to put together some suggestions for the seller. They are in a tough spot. I haven't run into a situation like this. 

Hi everyone,

I found a lady who wants to help her father sell his house. The house is in his and the deceased mothers name. I spoke to an attorney and he said that the would have to open probate. I guess there is some liens that would have to be paid. The problem is the family can’t afford an attorney. My solution is to pay the attorney. But how do I guarantee that they will sell me the property once probate is complete. 
The family received some bad advice I'm the past and would just like to get out of this situation. Daughter thinks they have a 170k left on mortgage. I did a quick search on prop stream and ARV looks to be 251k. Property would need a full rehab. It's a 2 bed 2 bath.

I’m not sure how to structure this deal. I’ve been search the forums and found someone suggested 1) A purchase and sale contract that specifies how the transaction is going down, backed with 2) a signed quitclaim deed held in escrow pending the probate action.

What if whats owed is more than the property or if the profit is too small? just want to present all possible solutions to seller. Would this be a short sale situation or can this be a “subject to” deal? 

@Colleen F. yes i'm asking him to take the lead. I'll try to get him to give me the other siblings numbers (if he has it) and I'll negotiate them since he doesn't want to talk to them.

@Nathan Gesner I'll float the idea of him taking the upfront costs and getting reimbursed at closing.  

@Nathan Gesner

That sounds like a great idea! Would it also be a good idea for that 1 sibling to pay for the legal probate fees and somehow get reimbursed on the back end? Or should I front the costs and deduct from the offer price? I'm just trying to figure out a way to present a solution for the family while at the same time buying the property.

@Theresa Harris I said the same thing to that one sibling. But he said that he rather lose the house then talk to the other siblings.  

Hi everyone, 

The house down the street from me is vacant. I contacted the son of the previous owner and he would love to sell the property. Property is in a great side of town and has good bones. Unfortunately him and his other 3 siblings don't get along at all and haven't talked in years. He's reluctant about opening probate because he doesn't want to pay for a attorney, probate fees, talk to siblings, etc. What would be some good ways for me to position myself as a person with solutions for him or should he just let the city take the property? What are some options?

@Evan Polaski Thanks for opening my eyes to things I haven't accounted for. I just saw this pop up on the market and decided to practice my analysis. Looks like there is still much to learn. Thanks for the input.

@Allen McGlashing Yea i'm very new to this, 20% sounds about right. I will continue to learn thanks for your input. 

@Steven Jones I was hoping to get a hard money loan. A hard money lender I found could finance up to 90% and 100% rehab. Then I would refinance with a bank. I'm not sure off the process for commercial properties. 

Hi everyone, 

I'm new to investing and was wondering if this would be a good deal to pursue. 

Price 450,000

Cap rate on listing is 13.35%

Taxes 15,700

Annual Gross rent 81,900

8 unit property

        4 commercial units (2 restaurants, 1 liquor store, 1 mechanic which uses the garage)

        4 residential units (2 units are 1bed/1 bath, other 2 units are 3bed/1bath)

The property is right off a main road with the train tracks to the side of it C class neighborhood 

The property will need renovations, roof was done this year

All units are rented and have been long time tenants 

This would have to be a cash deal and was thinking about getting a hard money loan to secure the property and refinance out of it. 

A 100 unit apartment building is being built 1 block away, where a 1 bedroom will be $900 and its 5 min from the beach and university.

This is how far I got with my analyzing.

Thanks,