Posted by BillW. on December 11, 2000 at 19:50:00:
George,
Have owner put building and lot into a land trust. You take over trust. You are the beneficiary. You now own the property. You have “assumed” it. You now make the payments. Split off lot (check first to make sure it’s a separate lot). Sell or lease out property (whatever works for you). Sell, lease, or develop the lot separately, again, whatever works for you. (Do a deal with a contractor, etc. -you supply the lot, they build. Split profits.)
Good luck- BillW.
An out-of-state seller has a waterfront property in eastern NC with two residential units, one currently rented for $500 per month, one recently vacated that rents for $500. He bought the bldg for $143,000 ten years ago, it is assessed (not appraised) for $123,000. He owes $85,000, is in bad health, and told me through an intermediary that he will basically give me the bldg, no money down if I take over the payments of $806 per mo. There is a lot of upside on this deal, since there is a vacant lot next door that can be used for a mobile unit or u-store it unit, and the first floor is vacant; used to be retail space, but could be rehabbed into another rental unit. Could be a great cash flow property. Is there any way that I can assume the mortgage, or will it require new financing? HELPPPP!!!
Sounds like a deal we would all kill for, if the value is more than assessed, which it usually is. Don’t get new financing unless you absolutely need to, like to take cash out.