Owner wants me to take over his payments - Is this a Deal.

[Paul Amegatcher]

Need some advice from the group. I was offered a home by an owner that no longer wants the house. He still has a mortgage on the home. The original loan amount was for 70k about 10 years ago but the home is probably worth 45k on a really good day. He offered to have me take over his PITI payments of around $400. Original mortgage is an adjustable rate mortgage. The home will easily rent for about $700/month. I'm not a creative financing guy but this seems like a deal that may work for some other investors. Need ideas on how to proceed. Thanks.

[Christian Wathne]

Most of the details needed to give you an answer seem to be missing. But if he's 10 yrs into a 30yr mortgage that was originally 70k, then there's probably a balance of somewhere around 57k remaining. If your saying the house is with 45 on a good day then let's go with 40k for value. Are you asking if we would advise you to pay 57k for a home worth 40k which happens to cash flow a couple thousand a year? ....I wouldn't want anything to do with this deal