So basically what you’re saying is they want to sell the house for minimum of $90,000? ($60,000 loan, $30,000 cash). That doesn’t leave alot of room for a good deal. What’s the place worth? The asking and tax appraisal won’t help you there.
If it was worth like $100k and you paid $90k (assumed loan, etc) you might’ve been able to turn around and option it to someone else for like $100k on an owner finance deal BUT since these sellers are saying they need $30k now … I don’t know that there’s a deal here.
Single family house in excellent condition. Good area for renting. Asking 97,600, probably worth about that much. Tax appraisal is 89,600. They just took it back from realtor and are trying to sell themselves.
An upside is that they can’t get into their new house until July, so there’s some time to work with.
Downside is they want/need about 30,000 cash for the next house. They have a loan with balance of approx. 59,000; payments are 810, which includes taxes and insurance (I think p&i is about 500.) I think if I bought it now, they would rent from me til they move. They’d do the lease/option but need the cash for their other house.
I think I could probably rent this house for about $950, but can’t quite figure how to get them the cash they need by July.
Any ideas? Or is this one that doesn’t work because there’s too much equity.
If they are motivated enough, maybe they would consider refinancing to get thier cash out. Then you L/O from them making thier payment. Even so, I agree with Redline, you have to KNOW what it is really worth.