Posted by Mark_NY on January 17, 2001 at 11:00:04:
Haha, I’m up looking for ways to do deals Ed!! Just like all of us. This deal is rattlin my brain.lol
Land Aquisition - Posted by Mark_NY
Posted by Mark_NY on January 16, 2001 at 23:48:24:
I have a problem. I want to make a PO on a 69.28 tract of land. the land is 100% forested with Maple, Cherry, Beach and birch trees. I need to finance this creatively because I have very bad credit and little money. The seller wants $60k but is negotiable on that and will offer SOME owner finance. My dilemma here is I want to log it. I think/hope logging it will bring me more than the purchase price. I was thinking about offering seller $50-$55k cash. Is it feasible to have a logging company enter into a contract to cut the trees and pay me in advance to pay seller at close? I am VERY new at this and would appreciate any and all of your advice. Thank you
Mark
Re: Land Aquisition - Posted by Ed Garcia
Posted by Ed Garcia on January 17, 2001 at 24:51:00:
Mark,
I have a suggestion. Put the property under contract, and contact a logging company. Tell them that you’re interested in selling off your timber. Have them bid it and give you a time frame. Tell them that you want 50% up front and 50% at completion. To close your sale, pay the 50% down with terms for the remaining 50%.
Mark, make sure you have the property under contract to sell before you contact the logging company, to prevent circumvention.
Ed Garcia
Re: Land Aquisition - Posted by Mark_NY
Posted by Mark_NY on January 17, 2001 at 01:04:05:
I think I follow you ED. Would you please walk me thru it? I would make a PO on the property say… $52k. On the PO I would put as DP $26,000 and payments of $26,000 in 2 yrs? Would the title have to be transfered in order to allow the loggers to cut?
Re: Land Aquisition - Posted by Ed Garcia
Posted by Ed Garcia on January 17, 2001 at 01:47:45:
Mark,
What are you doing up at this time of night? I take that back, in New York, it’s 2:46 a.m.
Mark the title will be transferred the day you close your deal. It’s yours; you do what you want with it. The kicker is, if you get the balance early, you can see if he will discount the second for an early pay off. I doubt it, but you never know.
Mark, it looks to me like you’re on the right track, just keep in mind, “everything is negotiable”,
Ed Garcia