All Forum Posts by: Darrell Kirby

After taxes and fees, and depending on if you plan to depreciate it at all, you may not have to pay anything or much in taxes. 7-22k spread minus closing costs (also the eviction costs are a write off as well) isn't going to be too much in taxes depending on what you decide to do. 

The first option is a much better deal if they can secure financing, but the owner financing portion is too much headache IMO, but could work something out with a good contract. 

Good luck and let us know what you figure out!

$166k in Ecorse for a duplex does not scream "eager to sell" to me :-)

 Who handled your closing?  I'm in Canada, but we go through a lawyer (or notary) when purchasing or selling a home.  That is who we sign all the documents with and handles all of the money (aside from collecting the deposit on the offer).

@Darrell Kirby, the typical sales contract in my state would provide for 2 basic possibilities if a buyer didn't perform according to the contract.

1. The seller could simply retain the deposit. This is the commonly selected option on the contract and this of course is decided BEFORE the contract is signed.

2. The seller could go after (sue) the buyer for liquidated damages. For example, now incur 3 months of carrying costs and then have to sell for $20k less those extra costs are your damages that you could claim against the seller.

So, check your sales contract and speak to a good lawyer as well as your real estate agent if there is enough "damages" to be worth the hassle. 

Talk to your lawyer.  He signed the paperwork (as did you) and legally he's responsible for paying it.

I think I misundersatnd. "After Closing" means that all monies have been transfered and the warranty deed and deed of trust or mortgage have been recorded. 

Do you mean that after the signing, he wouldn't send some money? That would be his issue with his lender.

You would have the option of forcing him to complete the deal, he then has to work out the problems between himself and his lender, that is none of your problem or business.

Have your attorney or the real estate agent's broker send a strongly worded letter as a warning about the consequences ( a lawsuit he is unlikely to win).