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Updated almost 8 years ago on . Most recent reply

Rich Thomas's profile image
Rich Thomas's profile image
Rich Thomas
  • Investor
  • from Gig Harbor, Washington
  • Member since May 2, 2013
Connect

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9
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2
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Rich Thomas's profile image
Rich Thomas's profile image
Rich Thomas
  • Investor
  • from Gig Harbor, Washington
  • Member since May 2, 2013
Connect
Rich Thomas
  • Investor
  • Gig Harbor, WA
2
Votes |
9
Posts
General Landlording & Rental Properties

What interest rate to charge on sale to tenant?

Rich Thomas
  • Investor
  • Gig Harbor, WA
Posted

I have a duplex and one of the tenants is interested in buying it.  They've been excellent tenants for several years and both have good jobs.  I don't mind becoming the bank if the interest is right - for me that would be 8 to 10 percent.

We have not discussed down or term.  Am I thinking too greedy in for a 8  to 10 percent interest rate for 10 years with a balloon?  Or is that about right?  Any help is appreciated.

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