Seller financing Deal in Coconut Creek

[Willny Guifarro]

Hey fellow BP members, I have this deal that I'm looking to work on. This out of state newbie investor purchased a property in a HOA foreclosure sale a year ago, he paid $27.7K for it. It is a completely vacant property in Coconut Creek , FL. Very nice neighborhood and all it's missing is kitchen appliances. He wants to sell but here's the catch... There's a first position mortgage from BOA for $475,000, the property is only worth $325,000. He's looking to make some money from this deal so he'll do $47.5K cash but there's no way he's getting cash from an investor knowing that the property has a mortgage on it. I asked if he's willing to do 100% Owner financing with a 10 year loan at 5%. He said Yes. Principal and Interest would be $503 and Taxes & Insurance would be $569 a month. The property can easily rent for $1800 a month. I was wondering if there would be a way for me to go into the deal and have it cash flow, pay down the loan without me getting into any legal trouble ? I would also like to know how this deal would work if I was to wrap the mortgage. I'd like to get advice from ONLY people who have actually done deals on terms. Thanks