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Updated over 5 years ago,

User Stats

49
Posts
18
Votes
David McCracken
  • Rental Property Investor
  • Rochester Hills, MI
18
Votes |
49
Posts

Help me understand this deal

David McCracken
  • Rental Property Investor
  • Rochester Hills, MI
Posted

I was approached with a deal that I'm trying to understand better. The owner of a deer farm is expanding his business. He doesn't want to "muddy the water" with a mortgage on his current primary residence. They want me to purchase their property (comps say it's worth around $232,000) for $150,000 cash. I hold the property title for 18 months. After that term, I'm obligated to sell the property to the business owner.

What questions do I need to ask to get more clarification on this deal? What is the best way for me to benefit from this deal? I'm normally a simple multifamily buy and hold investor so this world is new to me. Thank you in advance.

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