deal analysis - Posted by verbatim

Posted by michaela-ATL on January 12, 2004 at 12:36:53:

what is your exit strategy? Are you planning to keep the house and rent it out? live in it? trying to flip it to another investor? flip it retail? Lease/option it? Land contract?

Unless you’re in a hot market, the top 10-20% are air - meaning, if the house is worth 150k (is that their or your number?) they might walk away with 120k, if they sold it on the open market. (think 90% offer, 7% commission, 3% closing costs, not counting any other request the buyer may ask for). So, if you gave them 120K, they’d do pretty good, because they’d sell right away and wouldn’t ahve to wait for a buyer months down the road.

It really all depends on what you’re planning on doing with it afterwards. At that price I don’t think another investor would be interested, but you never know. There’re people, that aren’t looking for equity, but just want a house to rent out.


deal analysis - Posted by verbatim

Posted by verbatim on January 12, 2004 at 12:18:55:

Seller called, husband moving in one month out of state, wife would like to leave when he does.

Have a home for sale worth 150k, they owe 70k. She offered it to her son for 120k but his wife wants to build a home.

They are open to financing, but would prefer cash now.
how should i negotiate it & what should i do?

Any help given would be appreciated,


Re: deal analysis - Posted by gk (MO)

Posted by gk (MO) on January 12, 2004 at 16:29:13:

If they are willing to finance it,could you possibly lease option it for 120K (or even negotiate less)?