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Updated over 9 years ago, 07/16/2015
One yellow letter=9 home portfolio deal. I need structuring advice!
I sent out some yellow letters a few months ago that I'm still getting calls on. A woman I reached about one property has a 9 home portfolio that her late husband was managing. She's not interested in messing with the properties and wants to travel and enjoy her retirement. I've gotten a list of properties from her and the homes are all great rentals. Some are month to month because they've been rented for years, and a few are newly signed 1 year leases. Some of them are duplex and triplex conversions with only one unit rented and rehab still needed on the other units.
Roughly, the homes are worth around $60k each. That's an average based on some speculation and recently sold comps. Some $40k, some $80k, but averaging around $60k. There are a lot of moving parts. A lot. She stated in her email that she's willing to sell on terms for "tax purposes."
I have never dealt with a deal like this and don't even know where to begin trying to structure the deal.
Any advice that can put me in the ballpark of a down payment proposal and/or what sort of terms I should entertain would be great! I'm going to talk to my real estate lawyer next week but BP has more collective knowledge that is equally, if not more valuable.
I'm looking forward to the replies!
Thanks in advance!