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Updated almost 9 years ago,
INPUT WANTED : Duplex purchase
I'm speaking with a gentleman that owns a 3down/2up duplex with current rental income of $2500/month (he lives in the lower unit so rent rate is based on comps). He owes $110k on the property and his present payment is around $1000. The present value is $180k. He wants to retire to Florida and walk away from this property. He also said he would be willing to carry a $100k mortgage on his new Florida home which he thought would cost about $130k.
I would like to be able to help him work this out. I would like to present 3 scenarios and would love input on them.
A.) $135k cash purchase with closing on his schedule.
B.) $150k purchase structured as $115k cash and $35k seller financing (monthly payments of $291.66 for 10 years).
C.) $180k purchase seller financed as 164 payments of $1097.56.
Thanks in advance for your insights and feedback ~ JS