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Updated 4 months ago,
Need Advice on this Akron SubTo Deal
Hi, reaching out to the BP community about this one. What do you think about this deal? I'd appreciate any suggestions.
3/1.5/1,056 sq ft SFH in Akron, OH
Estimated ARV: $130k - $145k
Rehab estimate: $30-40K
- Entry Fee (assignment included): $22,000 + CC + TC ($12k of the entry fee goes to seller)
SUB2 Mortgage takeover details. Deed is transferred to the buyer's name. Mortgage stays in seller's name but is paid by the buyer through a promissory note (aka contract)
Mortgage Balance: $102,000
Interest Rate: 4%
PITI: $531/month
SELLER FINANCE PORTION:
Seller Finance: $300/month to seller for 53 months (4.4 years) = $16,000
Total House Payment: $831/month (PITI + Seller Finance)
NOTE about CLOSING and seller: Seller would like to remain in the house until November 12th, 2024. He is waiting to be transferred into a nursing home. Buyer could either, purchase the house now, while seller continues to make all mortgage payments until he is out, as well as NO Seller finance payments to be made until seller is out. Seller would also only receive half of down payment at COE and other half after he leaves on Nov 12th. OR, buyer waits until Nov 12th to do the deal...
Any other ideas?