Seller Finance + House Hacking

[Kimberly McCall]

I’m watching a property that is up for sale. $500k duplex. 3bd/2ba per side close to a good college campus.

I spoke with the listing agent and he said the basement is unfinished and if completed to a 5bd/3 or 4bath that the rents could easily be $2k month. The listing agent is also a property manager so he mentioned he has a property that he manages a 4bd for $2500 a month to 4 college students.

My goal is to get in and live on one side and finish the basement and then the next door basement to increase rents.

The seller is willing to do “some” owner finance.

I cannot borrow from a traditional lender at this moment so I’ll probably have to go hard money but after a year seasoning I’m hoping to refinance.

I’ve never done a seller finance.

How can I make this deal work?

[Kimberly McCall]

@Tom S.

Yes I know this is definitely not a deal I would look at as far as our fix and flips LOL

The seller had it listed forever for $575k and just dropped it to $500k.

Yes the rents would be $4k per side. But if we lived in one yah it still doesn’t make sense... maybe if we didn’t move in and collected $4k a month it would?

The ARV the listing agent thinks would be $600k after finishing the basement.

Construction is the only thing we have a grasp on but I want to break into passive income!

We wanted to get out of the rat race but it seems we are rat racing from flip to flip....