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New Mexico Real Estate Q&A Discussion Forum
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Updated over 6 years ago,

User Stats

1,285
Posts
491
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Frankie Woods
  • Investor
  • Arlington, VA
491
Votes |
1,285
Posts

HELP! How do I structure this deal??

Frankie Woods
  • Investor
  • Arlington, VA
Posted

Hiya BP!  My favorite place to be!

I picked up a property in NM about a year ago.  I have a tenet that is interested in buying, but they have terrible credit.  The property is a double-wide on 50 acres.  I don't believe it is a permanent structure.  This combinationmakes getting a loan down the road troublesome.

The numbers are as follows:

Purchase: 85k, 10% down, 6% interest, 5 year balloon

Current Balance: 75k

Remaining term: 4 years.

Agreed purchase price: 170k

How would I best structure this for the buyer?  I was thinking either a lease option with a 4 year term, 5% option fee; or seller finance with a wrap around loan.  

I'm struggling to find out what would be in my best interest, while making it reasonable for the tenet.  I feel like I'm in a good situation, but can't wrap my head around the best 2-3 options to propose to the buyer.

HELP!

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