My original offer was to take the loans subject to and pay the small balance in cash.

It has the following details which I think would make it ideal for an investor:The seller of the note is investor friendlyThe property has 200K equityProperty is almost fully leased and cashflowingThe owner of the building is cooperative and willing to negotiate.The current balance on the note is 572K and it is being sold for 390K with financing possibleIf you or anyone else is interested please contact me and I can send more details.Thanks

The owner wants 1,191,102for those properties.Incumbency summary.Mobile home park + park owned homes are free and clear.6 unit apartment - mtg balance $36,866 @ 6%duplex - free and clear.Vacant lot - free and clear.26 SFD as follows Price Mtge bal219 N Wash40,12733,430320 Oak40,61325,590720 Picher 25,34023,120730 Picher 29,07330,324732 Moffet 27,34728,929901 Roose 112,92036,866909 Connor20,92722,253920 Jackson25,74028,6191501 Valley22,86723,4891604 Minn 26,29321,4901718 Connor43,927clear1810 Pearl 47,38048,2491820 Wall 28,08025,9631823 Redbud127,790128,046312 E 19 12,00032,466318 E 19 9,000clear1902 Kentucky17,000clear <-2br burnout. 2115 Bird 48,04042,9052124 Adele13,393clear2224 Murphy29,69322,2532302 W 4 21,28021,4532540 E 12 128,790102,5502815 E 16 59,49245,5012903 Schiff32,86725,4464309 W 27 106,81098,7935796 Harrison62,700clearTotal Incumberances - $867,735Still working on comps data right now for SFDGross Financial Summary yearlyOverall CAP 15%Gross/Net income from Mobile Home Park - $379,451 / 165,243Gross/Net income from Homes - $178,113 / $133,840Seller SummarySeller is an older Gentleman looking to sell to purchase a Motel closer to where his Son lives.

If you have the balance of money --to pay cash --with deposit from your end buyer - so that the hosue if free and clear --you get title to hosue ---then your partner --OR your partnerhsip ( LLC ) can do the Lease Option --- for 12 to 18 months -- and also allow him ( buyer ) to sub-lease property to a tenant --

Be certain to have your lawyer draw-up a formal contract as would be the case with any private lender.I would also ensure that you make a "principal" payment into a holding account (high interest, GIC, money market) each month so you have the necessary cash on hand to retire the balance of the balloon loan when you refinance to a conventional mortgage in 3-5 years ... unless the value of house appreciates substantially in that time period, you will not be able to place a mortgage for your entire purchase price.

So I've come to the conclusion that with the low balance available in my self-directed IRA that I'd probably have to start with the note investing.

The option references an underlying purchase agreement with the loan balance as the purchase price, and any other terms.

Its not hard to find non-performing notes in the 30-60% range (of collateral value, not unpaid balance).

Call the Medicaid office, go to the horses mouth, and ask what the current balance of the lien is, it really isn't a secret.

Are you a slick transferor of outstanding balances?