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Updated over 1 year ago on .
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Sub to: Is there any merit to this deal?
Expected Price (A) | $ 165,000 |
Mortgage Balance (B) | $ 111,000 |
Mortgage Arrears | $ 17,000 |
Solar Cost | $ 25,000 |
Closing approx | $ 2,000 |
Realtor fees | $ 5,000 |
Total Seller Costs | $ 160,000 |
Seller take home | $ 5,000 |
Rehab costs approx | |
HVAC | $ 4,000 |
Foundation | $ 6,000 |
Paint | $ 3,000 |
Total Rehab (C) | $ 13,000 |
Total Investor commitment (A) + (C) | $ 178,000 |
Total Investor cash (A) + (B) | $ 54,000 |
Market Rent | $ 1,600 |
11 month rent | $ 17,600 |
Mortgage PITI Payment | $ 1,250 |
is there is a way to make money in this deal? what if I help the owner get current on the mortgage by paying the $17K for an option to buy and get into a rent to buy contract at the PITI number so that the solar doesn't have to be paid off. Then escrow the rent and have it pay the mortgage PITI. That way I can have a cash flow of $400 from which the solar is paid. Am I over engineering this? or is there any merit to this?