Rent/Lease Option/Seller Finance - Posted by Reif


#1

Posted by John Kastrava on December 20, 1998 at 13:39:54:

I am no expert, but how about offering a lease option, or seller assisted financing with a 9% wrap and low down payment of 3-5k. With a low dn pmt you could probably sell for top dollar.
Just another possibility
Best wishes
JohnK(CA)


#2

Rent/Lease Option/Seller Finance - Posted by Reif

Posted by Reif on December 20, 1998 at 11:24:51:

Just closed on a 3/2 condo that I think most on this board would think I overpaid for, but now I need to make lemonade.

Purchase Price $83,000

FMV: $94,000 (Seller had gotten it via estate), I checked the comps

Down: $6000 (he wanted no out of pocket costs had an agent)

Paint/fix up $2000

Owner carried back $77,000 at 8.5%, interest only, 15 year balloon, no due on sale, no early payback penalty ($545)

HOA $135, no special assessments, Management company says the HOA BOD is steadfast against raising dues.

Taxes: $71/month ($855/year)

Insurance Negligible (


#3

Re: Rent/Lease Option/Seller Finance - Posted by rudy-austin

Posted by rudy-austin on December 20, 1998 at 21:14:47:

I would sell on a contract with 5% dn and 12% interest only, a 1 yr baloon. Since you will tell them that you will only be the temporary lender they must cash you out soon. If they do not refi in one year they can extend for one more year for $1000 more and so on.