I have a lease-option question.

Does this property have any equity? If it does have equity then a Lease Option at that price is not very good. If you have to put 30k in it. What is the ARV (after repair value) if its only 207k you'd be putting more in it than its worth. My suggestion is find out exactly what it owed on the property first then make your offer. If you want to assign it do all your due diligence as far as ARV, your investor profit all those things. Find out the appreciation rate for that area also to consider before you make your offer. Remember thats just the asking price offer 180k and see what they say, that would give you a little cushion to do your repairs and still be around the fair market value. You don't want to go over then you will not be making a profit. Is there anything on the property that you could use to negotiate with or anything you have to use to trade. Find out what they want and why they want to move and use that to your advantage. You have to be able to show them you can garrantee you'll pay there mortgage every month on time each month. Show them they still gain the benefit of claiming taxes. They could use that contract to show there bank and use it to be able to buy another house. The contract can be considered as income to then since its not there money paying for the mortgage. I hope this helps you its all I can think of right now. One more thing find out what there mortgage payment is and tell them you will give them 200 more a month just to sweeten the deal if you want this house for yourself.

I have gone through 5 different loan brokers and am now working on the only local banks for financing a deal I found. It is a short sale. A duplex that is rented on both sides (725 monthly) and in good shape. I have one just like it 2 doors down and have had it since 99. The loan amount was 200,000, I offered 110 with the bank paying closing and financing 100% of the 110. (and no I don't believe in Santa Claus) The realtor representing the bank said she thinks they will go for everything except the financing, they want out of the deal completely. My duplex was just appraised at 140 2 months ago. This one has a 2 story addition so should appraise higher than mine. Everyone I talk to says "sounds like a good deal, but no one will finance you unless you have a down payment." The reason I am being given is that all the lenders figure no matter how good the deal is if it is not owner occupied and you have no money in it you are more likely to walk away if times get tougher. I could use some ideas. I had mine appraised to see if I could borrow the 30% against my 40, 000 equity, no luck. This would be my 4th property including primary (underwater in it though secondary to chinese drywall, some of us are just naturally lucky. This price/rent would be around 500 a month + income.

Maybe just an idea you could tell the banker when one of your tenants decides to buy a home that you have you will bring the client through them to get the financing. Also you can bring photos of your properties to the bank in a nice binder with document protectors. Show the banker what you have done with other properties you own, show him or her the benefit of loaning you the money, how good you have taken care of the property. You can tell them I will post a sign for advertising there bank on your property to help bring them business. Look I bought these properties with financing from "xyz bank". Just thought maybe that might work hope that helps you. Also maybe you could ask them if they are willing to finance all of your properties get a whole new loan to cover all 4 of them if you have equity in them maybe they would be more willing to do that instead of the smaller loan.

Thanks, all ideas are appreciated. There is one more local bank that only has 4 branches that I am going to try. They know this area and since I lived in one side of my duplex for 5 years I know that area. Bringing in the portfolio and offerring the ad signs on all 4 properties for their bank certainly cannot hurt my presentation. It's always good to get another person's view, I sometimes get that forest through the trees loss of vision. This duplex is a good long term for me and I hate to miss it for lack of ideas on alernative financing.