Lease-to-Own Helping out family

[Justin Winn]

Investment Info:

Single-family residence other investment.

Purchase price: $68,500
Cash invested: $15,000

This is a lease-to-own agreement that I will pay off and then the interest that would have been paid to the bank over a 30 year period will be my profit.

What made you interested in investing in this type of deal?

I wanted to help a family member, and I wanted to start growing my portfolio in North East Oklahoma.

How did you find this deal and how did you negotiate it?

I was looking around on Zillow, and working with a local real estate agent.

How did you finance this deal?

Traditional financing.

How did you add value to the deal?

I funded the down payment.

What was the outcome?

The house was in probate so it took a while to close, however, it appraised for about 10k over what we paid.

Lessons learned? Challenges?

Probate can provide some great deals, but you'll need to be patient while the deal goes through the courts. We were short on time trying to get my family member out of their previous location and the workaround was to rent until the probate process was complete.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Real estate agent, and a lender. Chase Bank, I was very happy with the process.