Real Estate Deal Analysis & Advice
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated almost 12 years ago,
No equity deal - what can I do?
Hello BP it is a great day to be an investor, even better if I were full time!
SITUATION:
I spoke to a woman who is looking to get rid of her house. She gave me a call to find out what I could offer her. Can you please give me some advice. Here are the facts:
4 Bed
3 Bath
2 Story
2043 sq fr
12,588 sq ft lot
The property has not been updated, but according to her it has been kept in great shape. I did see the outside and house and garage are in great shape.
She owes 330k (refinance) and told me that she wants 400k. I already told her that based on the surrounding comparisons that the house is worth 300k at best. That is a rough estimate based on a quick look. I told her that I may not be able to help her and suggested that she speak with a real estate agent. In the end though I told her that she may end up paying about 15% closing cost which roughly may be 15k (again rough estimate-cost for REA, buyers requested repairs and appraisal, and inspection fees). With that said she may be paying this out of her pocket. Just did math turns out it is 45k.
QUESTIONS:
So, I told her that there are other solutions that I can offer her. My thoughts are a "subject or assumption to". Is there any thing else that I can do to offer her a solution that anyone could think of? I can't wholesale it, there is no equity, right? Maybe a wrap around but I'm not looking to get my own financing for this place. Possibly a lease option so that I can in turn lease option it to someone else. Please offer your suggestions. I would greatly appreciate it.
Additional notes* on the left there is a run down mobile home park and on the right an HOA community with newer homes. Zestimate is 322k, built in 1910.
Couple is wanting to rent an apartment to ready themselves to leave to another state in the next year.