Is this a good deal?

[Dennis Coley]

So I contacted a FSBO today (she has not marketed the property at all except to put a sign in her yard). She is a widow that is motivated to sell in order to prevent having to keep up the property any longer. She says that she just can't do it any longer and just wants to move to a townhome. The house has no mortgage on it. The tax value is 158,000. She is currently asking 140,000 but says that she will consider all offers. The house needs no work according to her, but I have not given it a walkthrough as of yet. If she is indeed correct that the house needs no/minimal repairs, I was thinking of seeing if she would accept a 90-day option contract on it for 110,000-120,000 so that I will have time to line up a buyer and do a double closing.

This would be my first deal, so I would welcome your thoughts on this deal and any problems I may be setting myself up for.

Thanks.