How should I offer on these Tri plexes?

[Steven J.]

I've just come across two triplexes from a very motivated seller. He's looking to sell as-is and only needs to pay off his mortgage amounts left over on the properties. Not all units are currently rented due to what sound like medium sized issues (plumbing issue in one and a possible mold one in another).

He owes 62k on one that appraised last at 90 and owes 74 on one that appraised last at 82k. Provided repairs are made promptly and units are rented shortly there after these properties perform very well with numbers. I ran the numbers with 100% financing and each property still cash flows at or just above $300.

What are some of the offers I could approach this seller with? My ideas so far...

1. Cash offer for each property at the mortgage value of each

2. Sub-2 financing to continue making his payments. Problem here is he's somewhat hesitant of his credit on the line, as he should be, and I'm not sure how to manage the risk of DOS clause

3. HML on the properties 65% with seller carry back on the remaining 35%. Let the properties season and re-fi into a traditional loan at which point repairs will have been made

4. Move in and acquire FHA financing. Not sure how to get past the disrepairs with FHA's strict guidelines.

5. Partner-up(this is my favorite) so I can share the risk and reward of the properties. Ideally, with someone in the area.

6. Equity partnership - I don't really understand this...

7. Same as #3 but with a traditional bank. Just not sure how to show the bank I have skin in the game. Most banks dont do the seller carry back. Is this where I use transactional funding?

8. OPEN TO IDEAS?!

I'd love to hear thoughts, opinions, guidance, inquiries, etc.

Thank you!