Seller prospect willing to do a creative deal.

[Joseph Grullon]

Meeting with a seller this week regarding a creative deal.

Seller wants to sell his property to me, but in one year. In the meantime we spoke on the phone about a $15k deposit upfront to lock the property up this year. He told me I could lease it or even Airbnb it.

He has some sort of loan against the property that he has to wait until July of next year, in order to not be penalized for pre-payment. His monthly payment, all in is $1500, we offered to pay him $1600 per month for the next 12 months and then purchase outright at the end of the 12 months. 

He’s Asking $290k (from which we’d subtract the initial $15k deposit for a total due at end of 12 months of $275k)

ARV is $350kOn Airbnb should pull in approx. $4.5k

What would you call this type of deal and is this the best way to structure it?