OfflineHi All,
New here but I am hoping for some creative solutions to get this deal locked up and then buy or assign.
Home is 4mo gone and set to be auctioned in June.
I am figuring Mortgage around 155k
Home Value est market value 250k
My thoughts are to offer 175-200 and they avoid FC or LM on Cr. This gives 25-50k to go purchase or rent or whatever. The bonus here is they could rent the home from me/buyer so they could stay in the same home if desired or move.
Is this realistic as they could simply sell and make even more?
How would you approach this to save owner's credit and lock the home up before it gets to the courthouse?
Thanks in Advance and have a great day!
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Devin,
Before making an offer get a repair estimate. The benefit of selling to you is they would not need to make repairs. They don't have the time to put the house on the market since the foreclosure is scheduled in June.
Paula
1st thing is find comps and Know how much its worth.
Find out how much balance/payoff on mortgage. You can ask owner for mortgage paperwork and foreclosure letters.
You may be able to contact the lender and ask if you make up back payments will they reinstate the loan. You'll need to have authorization letter or 3 way call with lender/owner/you to get the balance/payoff info from lender.
As Paula stated above you need to inspect the property for repair cost.
Run ALL the numbers and the numbers will tell you if its a Deal or Not.
Mike
https://tvallc.isrefer.com/go/RehabLite/renvestr/ Free tools
I agree with Paula and Mike. I would add one thing. I would never rent back to an owner that is already not making payments. They would need to move out and do so before closing. Part of the contract terms would be that buyer does a walk through 24 hours before closing and property must be vacant. You don't want to get involved in trying to get the home owners out(eviction)of the property after closing.
Mike
Knowledge is power, but execution trumps knowledge. Tony Robbins
http://www.mdhomeacquisitions.com Seller site
http://www.mdhomeacquisitionsbargainhouses.com Buyer site
http://www.mdhomeacquisitionshousehunter.com Bird Dog Site
http://www.mdlodeals.com Tenant/Buyer site
I agree with the rule of never renting back to a homeowner in foreclosure.
I would do an equity buyout subject-to the existing loan. Sub-2 adds value to the investor allowing them to purchase without having to use hard money.
I would only give a small amount of the equity upon a signed contract & release the rest upon delivering a vacant broom clean property.
Good luck