Would you wait for the 4 plex or buy sooner?

[Dominic Licerio]

Hey BP family! I am in the military and new to REI. I had a contract set up on a 4 plex that was going to be financed with the VA loan and was moving along perfectly. But, the seller had a medical emergency and had to terminate the contract. It cash-flowed extremely well according to my analysis and really was a rare and fantastic deal in my market. I was notified that they will put it back on the market in about 4 months and I really want to get it. My dilemma is that if I use the VA or FHA loans on a different property in the mean time, I'd have to live in that property for the 6-12 months and won't have funding capability in the future for the 4 plex. I've considered using conventional but I don't have the cash off-hand to cover the down payment. I currently have about 23k in a mutual fund that I am willing to liquidate but in my market, it may not be enough to cover the full down payment. Does anyone have tips or tricks that i might be able to use to get the best outcome? (The best situation for me would be to get a property now and then the 4 plex too!) I would be incredibly grateful for help!!

[David Pere]

@Dominic and your realtor just let that happen? Technically, you can sue the seller and force the sale because you had a signed sales contract. When I hear stuff like this, I get really suspicious that they got a better offer, or realized how much more the property could be worth.

If the numbers worked the 4-plex sounds like a good deal. Ultimately, anything with great numbers is worth buying, but it may be worth reaching out and telling the sellers real estate agent that you expect to be notified when they are ready to sell, and to reinstate the originally agreed upon contract, otherwise you'll be forced to sue for misrepresentation as it appears they terminated solely to get more money out of the deal. (this should scare them into being honest/decent to you).