Discussion Forum

n7kon

paid off

Tuesday, August 26 2008 09:56 PM

I have found a house that the owner did a complete rehab on and did a good job. She owns the house free and clear, is out about 110k to purchase the house and rehab it. House value by comps is 135-137k. She has been sitting on this house for about a year trying to sell it.
At first she did not want to do anything but a standard sale of the house. She called me back this last weekend and asked if I was still interested in the property. I told her I was and would have to run comps on it to see what the value was now. I did this to stall because I am not sure what the best way to structure this deal would be. I want to use a land trust for all the protection they provide.
I want to set up payments to her with say 6 to 6.5 percent interest and then do a lease to some one else to make payments. Just not sure what the best way to handle this, on a free and clear house. She really did not want to take payments but don?t think she is going to have a lot of luck unless she drops the price of the house below market value. houses in my area are sitting a long time unless the price is at least 10 to 15% below comps and buyers have at least 10 to 15% down minimum with good credit.

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