BRRR / House Hack / Creative Financing

[Kyle Brose]

We are several conversations into the opportunity to buy a neighbors home. I do plan to run this all through a real estate attorney but would like feedback on options.

Relevant background information: The property is owned out right. The owners are elderly and on a waitlist to move into an assisted living community. We would use the home as our primary residence for at least a few years. The home needs some minor work to be able to finance (which I am more than capable of handling). We live next door renting an outbuilding for cheap from family so no big urgency on our end to move in.

The Question: The best win-win solution I have been able to come up with is some form of us (B) giving them a down payment, them transferring ownership to us so that I can get to work doing some of the (R) repairs while they continue to live there until their room opens up at the assisted living facility (This move out date is the BIG variable), once they move out then we'd do a quick finally clean up / spruce up then (R) refinance into a traditional mortgage and pay them out. Does this seem like a doable situation? Anyone had experience doing something like this before? 

ARV: $300k+

Seller mentioned selling to us for $250k but I am confident we can get it for less with the value and ease we can provide to them.

Thank you