Scenario -- seller has foreclosure sale date in a few days and they are 25K behind. Their payments are $1650 per mo. I was thinking of bringing them current, taking over the payments, and keeping them in the house, under a lease for $300-$500 more, ($1950-$2150 per/mo). Reason -- seller said due to health reasons they want to stay in the home until death. Seller owes 409K (294K ist and 115K 2nd balloon from a previous modification). ARV $430-440k++
1. should I take on this deal?
2. how would you structure this deal? Am I right for setting this up via subject to and leasing it back to these ppl? I'm second guessing because there is little equity but I am considering due to the fact they can afford and willing to sign a lease for $300-$500 more....
Thanks.
