I'm 2 weeks in and have my first deal in the works BUT....

[Curtis Hill]

I have a highly motivated seller of an acre lot with a 3 bed 2 bath manufactured him on the lot. I have the deal under contract for $60k. From the comps I was able to find the land alone is around $100k. Part of the deal is the owners will rent the property back from me for $580 on 6 month contract and month to month after that. This would allow me time to market the property due and cash flow while I'm doing so. After I got the deal under contract I found that they own the adjacent lot (1.5 acre with 1,200 stick built house) and is going into trustee sale. I also learned that the lot that I have under contract is land locked by the adjacent lot and I can't determine if there is an easement or legal access to the lot I have under contract. The numbers for the adjacent lot don't pen out for me to make a deal. Should I proceed on the deal which goes to trustee sale on Friday, or kill it? Any advise or suggestions would be appreciated. Cheers!!

[Thomas S.]

The deed of ownership will stipulate if there is an easement or not. If it is not in the deed they there is no easement and you need to get out but................

After the adjacent lot is sold the lot you are interested in is worth nothing therefor what you need to do is first confirm there is no easement, if there is not then back out of the sale and buy the adjacent lot at the trustee sale. You will then have full control of the lot with the manufactured home on it. You should end up getting it for nothing. Write the easement into both deeds and sell both properties.

I personally would be praying there is no easement but time is short and you must be certain.