This is a cash or terms business.One tool is not enough.Situation - Free and clear pretty house ---> installment sale - private mortgage, low down, buy and hold or resell.Situation - no equity pretty house ---> sub2 or wrap or lease option assignment, exit rent out or lease 2 own or resellSituation - 20% equity pretty house ---> list it if licensed, sub2 plus noteSituation - 40% equity ugly house ---> wholesale flip or JV and buy it or JV with the seller (buy sub2 + note, own it, jv agreement, improve it with private money, list it, resell it, pay off former owner and private lender, make JV fee of 5% +)There are other tools but that is enough to get a strain on your brain. :)And just because you understand those tools, does nt mean you can persuade the seller to use one of them.Cash or terms. 

@Thomas Lorini - I use 100% legal homes,with fire extuinguishers and alarms to air egress windows, no question everything is above board.I use a PM who charges about 9%/month management plus $200/lease.

The last improvement or worthwhile repair was in 1997, The uncle really let it go…Linval- Your right about the family part, I didn’t want to type to much in the initial post, but I keep going back to the numbers because the money that the in-laws get from the sale will get the 3 brothers who are essentially squatting in the other property to move out.

Not much, but I figure it's a good learning experience and it could be easy money.I've been thinking through exit strategies in case this buyer falls through and for some reason we can't find a backup:Potential Plan B: Minor Flip / Make improvements to improve it's appeal. 

Not much, but I figure it's a good learning experience and it could be easy money.I've been thinking through exit strategies in case this buyer falls through and for some reason we can't find a backup:Potential Plan B: Minor Flip / Make improvements to improve it's appeal. 

It is cash flow positive, but my belief is as it continues to appreciate, the cash flow will improve.  

Hello Everyone,My name is Brian Moore and I'm an active duty member in the United States Air Force, working toward completing a degree in business management. 

But looking around Google Street View it seems you may have over-improved for this particular neighborhood.

The lathe & plaster tear outs to accommodate insulation, as well as electrical, plumbing & forced air heat vent runs is a lot of work.

These assets normally are in need of a capital improvement campaign and/or a serious management turnaround.