Novice Investor Woes

[Precious Stepney]

Hello,

(This is my first post on the BP forum and I hope it proved helpful).

I am currently the owner of a 2 family brownstone in Brooklyn,NY. The property was purchased from my grandmother 15 years ago, when I was 29.

Admittedly I never quite viewed this property as “an investment” and made foolish decisions like cash-out refinancing, never raising tenant rents and ultimately lost interest and allowed the place to become a bit neglected.

So now here’s the dilemma. The property was listed for sale and in less than 1 month I had a full ask offer from an investor. The ask was over 1.2m and my mortgage is only 600k.

I was all set to sell BUT now it seems buyer is having issues with financing and I’m having second thoughts about selling. I may have a window of opportunity to return earnest $ and nullify contract BUT I need help figuring out a plan B.

My questions are:

1-the house needs repair and because I own two homes my debt to income ratio is high. (Second mortgage is not likely an option) How can I go about getting creative financing or a partner to help do repairs and keep property?

2-how should I go about securing a property manager for the building

3- if I find an investor what would a fair deal look like?

Thanks for any feedback.

[Precious Stepney]

@Lee Bell thank you make a really good point.