Owner Financing on Land?

[Tim Ivory]

A potential deal came my way on some rather beautiful land with a golf course, 6 acres. Seller will owner finance the entire asking price of 130k. I haven't read too much about the concepts and strategies for owner financing land so was wondering what questions I should be asking to determine if I should jump on the deal or not.

I have 10k saved up so I'm confident I can make the payments for a good while, enough to see if my exit strategy will work?

So, what is the potential here?

1. Cash flow from collecting funds from the golf course 

2. Selling land to contractors (not sure yet about the market conditions yet)

3. Market Land directly to builders?

I can think of a few other ways to make use of the land, perhaps, to collect revenue, but for now, from an investing standpoint, how would you guys approach this deal assuming its a good one ( low monthly payments, no or very low interest).

Is it uncommon to have contigencies in play in case I can't make use of the land or sale it to someone else within a timeframe so I'm not stuck with a bad investment? If I can minimize the risk, I might jump on it.

[Wayne Brooks]

A golf course on 6 acres? A driving range? It would have to be subdivided to sell lots. Doesn’t sound like builders want it. $10k isn’t enough to do anything with it. You won’t get a “I can give it back if it doesn’t work out” clause.