Re: Anything I can do with this deal? - Posted by Ron-Va
Posted by Ron-Va on January 16, 2001 at 15:59:02:
Yes I think you can do a L/O on this. I have done a couple just like this where they needed reapirs but I L/O as is. I did no work at all. If it would help you can do a little clean up but thats all.
I would L/O for $72,000 but discount it 3 or 4 thousand for them to do the work. So they are getting a deal and you are still getting a good price for the house. I would try for the $770 rent but if you have to you could take less especialy if they have a large Option fee to give you.Also I would not give any rent credits unless they ask for them. Oh yea make sure you put in the contract a time frame where the repairs have to be done or they may never get to them.
Now MAKE SURE you check out your T/B good and put someone in there that is going to pay you and who you can get qaulified for a mortage later. When you have very little cash flow you may as well get them to go ahead and close if you can. Start looking for a mortage broker if you don’t have one.
Also make the lease with your T/B for one year only so if they can’t close you can raise the rent and get more option money if they want to stay. I have two L/O right now that it states in the contract if they want to extend the L/O they have to give me another $5,000 to extend it and it is nonrefundable of course.
Hope this helps and maybe you will get some other responses from the experts here.