Help - Posted by Kent

Posted by Kent on February 13, 2002 at 14:13:47:

Thanks Brent for responding, let me ask you, how should I present this offer to create a win win situation? If you were the owner what terms would you accept in this scenario?

Help - Posted by Kent

Posted by Kent on February 13, 2002 at 11:03:51:

I recently purchased the Carleton Sheets program and I believe the techniques will work here in the D.C metro area where I live. My problem is that I want to buy the townhouse I’m currently renting. The owner wants to sell to me but my credit does not allow me to even think about bank financing. The owner is asking for $110,000 and is offering to help with closing and install new carpet. I was thinking of doing this… make an offer of $90,000 and have him provide seller financing for 2yrs with interest only payments and $90,000 being due at the end of the 2nd yr. This way he gets his price and I get the house for approximately $23,000 less than the fair market value. The idea is to have my credit cleaned up to be able to qualify for bank financing to cover the $90,000 and still leave the closing table with $15,000 or so. Will this work? I’m just a newbie so any tips or pointers would be greatly appreciated. I am really excited and looking forward to helping others and making money while doing so. By the way, would anyone out there be interested in helping me get started in R.E. investing I could use a little help as far as where and how to find hard money lenders. Please Help!

Re: Help - Posted by Lisa (NE)

Posted by Lisa (NE) on February 14, 2002 at 19:45:40:

If you’re paying cash you should ask for a discount.
If you’re getting terms, and cleaning up credit, expect to pay the full amount.
Sometimes if a seller is motivated you may get both, but if it is you who really wants to stay in this condo, you may have to give consideration for this.

Re: Help - Posted by Brent_IL

Posted by Brent_IL on February 13, 2002 at 11:10:31:

The seller may accept $90K for a $110K property. What reasons would you give him to do so?