Possible inherented property for new investor

[John Duncan]

Hi everyone,

I have the opportunity of acquiring a three story single family residence in New Jersey that is completely mortgage free. This past week my grandfather, a WWII veteran, past away at the age of 96. The profit between the potential sale will be passed down, but I have the ambition of keeping this property while still benefiting the people whom it is supposed to be passed down to.

My Texas Uncle is now the executor of the property and my Mother and Ohio Uncle will be splitting the estate 50/50. They plan on selling the home within one year in order to facilitate the clean out of the property.

My goal is to convince my Ohio/Texas Uncles and mother to keep the property and have me attain it in some sort of way while still being able to give my mother and Ohio uncle 50% of the money they would have made if they sold it on the market. I want to take action with this property and make it a buy a hold rental.

Am I able to have a cosigner on a Refinance?

Right now I have minimal Funds of around $10,000. I had the Idea of refinancing the property into my name somehow maybe with a co-signer if possible. Then use a % of the refinanced money to go ahead and perform a rehab and create a two family house. The % of money of the refinance value that was not used in rehab costs would be split up to my mother and Ohio Uncle. After the rehab was complete I would start paying my mother and Ohio uncle monthly until they reach the amount they would have made if they just sold it now.

Example: House worth 200K

Money to Ohio uncle and Mother is sold right now: $100,000 each

Refinanced LTV: 75-80%

Refinanced cash: 150,000 (75% LTV)

Rehab cost: $50,000

Money from Refinancing that would go to Ohio Uncle and Mother: $50,000 each

Then set up an agreement with my Ohio uncle and mother on how they would get paid until 100k is met.

I understand I wouldn’t break even for a while.

Feedback is appreciated!