Buying Property from Family Member

[Mia Law]

My family member is looking to sell their house after their spouse passed. They have about 250k left to pay off and the value of the home is around 400k (based off of Zillow). They have come to me about buying the home but I have a collection account about to fall off my credit in a few months so I am not sure I would qualify (in addition to my income may not be high enough).

Are there any workarounds to maybe purchasing the home? Should I look into assuming the mortgage? Lease Option?

I would like this to be an investment property. And the property is out of state in Henderson, NV.

Any suggestions would be helpful… thank you

[Rob Hakes]

@Mia Law

Also look into the option of gifted equity.  This is great when purchasing from a family member if they are willing to consider a discount.  For example if the house is worth 400K, but they are willing to sell it for 375k because they are avoiding having to pay 25k in agent fees, then the bank can consider the equity gap as a down payment. So the only money out of pocket is any closing costs that don't get worked into a new loan.