Posted by Nate-Wi on October 27, 2005 at 14:25:20:
Thanks for the reply David. I think I’m more confused now with his response. I e-mailed him your response and this is what he said…
Hello Nate and thanks for fowarding the e-mail to me.
I purchased the properties on a contract for deed, paid a small down payment and resold them in the same basis, as follows:
My part while purchasing:
Property assessed value: $30,400.00
Bought at $29900 with a $450 down payment at 9% for 180 monthly payments
$300.40 monthly payment
Made 1 payment so far.
I’m selling the same property like this…
Purchase price; $43900.00 at 10% for 30 years, the high bidder is willing to take it for 15 years
down payment will be approx $600-$700
monthly payment if 30 year mortgage: approx. $400.00 monthly.
After repairs and cosmetics, the next appraisal could be about $35000-$37000, not sure.
The properties are located in PA.
Again, I bought the property with an owner financing option and a contract for deed (land). The previous owner would just receive their payment, no matter i rent of live in the property. The bills for refuse, tax, insurance remain on the owner name and are fowarded to me, then i foward them to the next buyer, receive the payment and send everything back to the 1st (real) owner. The deed, insurance and tax are not on my name, until i pay off my mortgage, same i did with my buyer. If by any chance they pay off their mortgage to me, than i repay my own, get the deed and immidiately transfer it to the last buyer.
I would like to sell the note so that i pay off my own loan, and keep any balance. double closing???
Hope all this makes sense, please let me know.