Originally posted by @Brett Goldsmith:
What is the home worth as-is? Sounds like it's not a rehab project unless it goes short which would not be allowable since you are family if the loan type was anything other than a reverse mortgage. Not sure if it's a good deal to obtain it any other way without knowing it's current as-is value and what it could rent out for, reinstatement amount, mortgage payment, etc.
It wasn't appraised or anything but a fair current value in my eyes would be 200k-40k(needed repairs) which is 160k. It could rent for $1,400/month. The current monthly paymemt on the mortgage is $1,500. The reinstatement amount is approximately 12,000.
I don't have any intention of purchasing it unless I can get it at a cheaper price.
All of my flips (6) have been funded with conventional financing/private funding and have been pretty straightforward. The foreclosure process mixed with a relative is very unfamiliar territory. My gut tells me I have to wait until the property goes back and the bank puts it on the market, and try to get it cheaper then.
