Suggestions on this deal - Posted by Batman
Posted by Batman on May 25, 2007 at 23:32:11:
I made an offer to a seller who is leaving town at the end of June. He doesn’t want to sell the house conventionally because his wife is disabled and he doesn’t want buyers going in and out of the house. Here are the specifics:
House: 3bd, 2.5ba, 2-car garage, built in 1996
ARV - $260K
Seller owes - $136K
Repairs - $8K (Carpet, landscaping, some paint, update countertops)
Asking Price - $210K
I left two offers with him because his wife is very sick was not readily available:
$190K - $160K cash upfront and $30K when I sell the house
The seller’s wife has a real estate background, so she took over the negotiations when I followed up by phone. She told me that they would only accept $200K cash because they are buying a new house in their new location and need to make the new house convenient for her to get around, to which I responded that I’d have to think about it (I did follow-up with an offer of $190K, which was declined). My response probably wasn’t a good one; I guess I wasn’t prepared for them to counter at that high a number, considering the fact that the husband asked for what docs I would need to close after I left the first two offers with them. The fact that they had to think the offers over in the first place should have been a clue.
I thought about wholesaling the house as an exit, but there isn’t much, if any, room to do that.
Any suggestions, or should I just “Next” this deal?