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Updated over 10 years ago on . Most recent reply
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What are my options for this deal?
I am looking at a property in Anchorage Alaska. Its a commercial property that I want to start a business in. The property is approximately $500k. I am selling a property in CA and should realize a profit of approximately $200k. I plan to open my business in 9-12 months. The current owner also runs a business on the property. I want to secure the property because it's an ideal location for my business. From what I am told the owner maybe open to owner financing.
The problem I am facing is that it doesn't make sense for me, as well as not having the funds, to purchase the property now and make mortgage payments on it for 9 months while having no income from it. I also need as much of my $200k ( assuming that house will sell in the near future) as possible for inventory and business expenses.
I'm looking for creative approaches to secure the property now without having to pay the mortgage for the months I wont be using it. Perhaps allowing him to keep running his business for those 9 months while I put a down payment to secure the purchase at a later date? Can I construct a plan (that sounds reasonable to the seller) where I put the money down and become his landlord for the 9 months, hoping to cover the payments to him while still making a profit? These are the beginning ideas running through my head but I would like to hear from some of you with experience on the matter.
I am at the start of inquiry on this property so I don't know much beyond the basics I've mentioned. If you have any questions then I will try to find answers asap. Thanks for you help.