Experienced wholesalers, possible good deal in the works. Could use some advice though

[Joseph Ziolkowski]

Hi all! I am speaking with a woman who has a probate property she wants to get rid of. I figured the quick sale ARV to be around 110,000. It seems to need about 20,000 in repairs, 2,000 in back-taxes. The original mortgage is paid off, but there is a 75,000 heloc on the property @3% that the owner took out to fix it up. On the surface, it seems like a really workable deal. Perhaps as a sub-2? Only problem is, she has a tenant in there that hasn't paid rent in 7 months. And she's afraid to evict him because he's a bit of an unsavory character. If I could get rid of the tenant for this woman, she would probably be happy to give me the property at a great price, or let me take over payments (and wholesale my position). Any thoughts on how this might be accomplished, or if it's worthwhile to deal with a tenant like this? Thanks guys! :cool:

[Steve Babiak]

Something to watch for with HELOC and doing sub 2 is: HELOC stand for "Home Equity Line Of Credit", and a line of credit is usually "open ended". A HELOC comes with a checkbook, and you just write checks against it. In a sub 2, you don't want that seller to write any more checks; the draw period on the HELOC has to end and the repayment period entered, or the line has to be closed somehow. If not, that seller might just write a check and you end up making a bigger payment!