Motivated seller property with numbers

[Scott B.]

Hi, so I came across a property today through a motivated seller. The property still has a 130K mortgage and is appraised at 160K. ARV estimated to be 200K

The cost for PITI is 1,300 per month.

It has not been updated in 55 years, so the electrical and maybe the plumbing would require replacing.

I estimate the rehab costs to be 50K. How could I help this person get out of the problem house?

It is about to begin the notice of default process. A lease option is possible, but what about a short sale with the bank for say, 70-80K and then rehab and sell for a 60-70K profit?

Also this house is my relatives home.

Tags: Flip, rehab, creative financing, flipping, ohio