Posted by phil fernandez on March 01, 2001 at 09:23:27:
Hi Greg,
Not a dumb question at all. Cash to mortgage is the amount of cash you give your seller above the amount of the mortgage balance.
If you perhaps buy a property subject to the seller’s $50,000 mortgage and agree on a purchase price of $55,000. You would give the seller the $5,000 in cash and take his property subject to the $50,000 mortgage already in place. You have just bought a property with $5,000 cash to the mortgage.
What do you think about this one? - Posted by mike
Posted by mike on February 28, 2001 at 16:24:48:
I have a guy who just got divorced and wants to get rid of his house. it’s a two story frame home worth about $55k fixed up and needs about $5-7k in work. he has a first of just under $30k, he is asking $40k. what should i offer and how do i structure the deal (step by step) i’m a newby.
he has not indicated that he is credit conscious.
i have a couple of ideas:
Re: What do you think about this one? - Posted by phil fernandez
Posted by phil fernandez on February 28, 2001 at 17:53:07:
Option #1 is viable and I’d go with that one. Your second option probably isn’t because he has a $30,000 mortgage, it’s doubtful that he’d sell it to you for $20,000 and come out of pocket for the remaining $10,000. Then again if you don’t make the offer you will never know. The offer that your seller will accept will be based on his degree of motivation.
Good luck
Re: What do you think about this one? - Posted by Greg NY
Posted by Greg NY on February 28, 2001 at 22:10:54:
Hi Phil,
This is going to be a dumb question but I have to ask, sorry.
What exactly is “cash to mortgage” and how does it work?
I should know this but i don’t know why I don’t. Thanks.
Greg NY