Guidance Needed on A Possible Lease Option Deal

[James Danchus]

BP,

My first mail campaign yielded it's first appointment from a customer in rural St. Charles, MO. Long story short me and a more experienced associate of mine walked thought the house and determined that it needed a fair amount of work but nothing too bad. 

The customer is asking for $70K but he owes $40K on the mortgage, so a wholesale deal is pretty much dead from his perspective. Is there a lease option deal here?

The only reason I ask is because the guy seems legitimately motivated to dump the house ASAP. I'm pretty confident that I can get the $70K to come down when push comes to shove.

Any and all guidance on what to do here is appreciated and feel free to DM me if you are interested in the deal.      

[Mike B.]

A lot of factors involved to decide.  The numbers have to make sense depending on what you plan to do with the property.... How much are repairs to make it habitable for rental, or renovation for retail sale.  If you buy it and own it, a lease option could be a great plan.  If you're looking to flip the property or the contract then it's not the best situation as you've described for a lease option.  You could get the property and hold it for a few years as a rental if it cash flows well, depending on your financing, and other property expenses.  Tons of ways to do it, but you have to have a fair grasp of a plan and the numbers to match that plan to get started...