Is this a good deal? - Posted by Mike R.
Posted by Mike R. on May 28, 2000 at 14:07:22:
I am yet another one of those broke poor credit individuals who wants to get into REI. I’ll probably be able to make my rent this month, but dam, I’m tired of watching my rent money go into a landloards pocket and build his equity too boot… My current landloard has offered to sell me the house which I have been living in and he has even offered to carry the financing since my credit is so poor. The home is divided into two seperate appartments, 1 upstairs, 1 basement. Both already have seperate electric, cable, phone, mail, and fenced yards. They share common gas and water. The rents in this neiborhood for similar duplex type homes run about 800 to 900 a month and as long as I have been here this place has never been unoccupied, the location is great. The landloard has a couple of conditions that may be deal killers. 1 he wants a sizeable downpayment (though he may be somewhat flexible on that) 2) Loan at 11% 3) He doesn’t want me to refinance due to tax concerns. He is an elderly gentleman with several rental properties already and certianly doesn’t need the cash, he’s already made his million. I have done a great deal of work to the home(covered the back pourch, fixed up and added a bedroom to the downstairs. I had planned on moving when my current lease expired on 8/5, but he wants me to stay. He’s even evicting the family that moved in upstairs last august to get me to stay. They have 4 kids under the age of six and the noise has gotten intollerable. what I need to know is do you belive this a good prospect for purchase through whatever means, and how would I go about satisfieing his needs if so. I belive his asking price is currently in the $180000 to $190000 range with 10 to 15 thousand down. current rents here are $750 for down stairs and $800 for the uppstairs. Not sure on the taxes.
All replys welcome