Joe Kaiser’s Helping Hand - Posted by Gary
Posted by Gary on February 20, 2002 at 23:59:37:
I’ve got a question I’m hoping I can get some clarification on.
I’m in CA and wish to put together deals similar to Joe Kaiser’s Helping Hand Deal. Basically, it goes like this; distressed property owner needs to reinstate loan. I offer to make up all back payments and reinstate loan. In return, property is deeded to trust, and I retain 100% beneficial interest. I lease back property to old owner, and give old owner a seperate option to purchase property back for amount I loaned plus interest plus any additional equity property has accumulated during the lease period. If old owner doesn’t perform on lease, old owner loses option to buy back. My questions are: 1) Is this legal? 2) Does structuring a transaction like this put me in a position of sure litigation? 3) What would you suggest where I can find the doc’s to put this together. 4) Would you say this is an unethical transaction? TIA