Posted by Bud Branstetter on November 23, 1998 at 15:49:47:
The first order of business would be what does the owner want out of this. A lease option approach will not work if the seller does not want to wait for the cash. You want to try to negotiate as low a price as possible if it is all cash. Then you will have to have a ballpark figure of what it will take to fix up. Or even tear down and rebuild. Be looking for those individuals that would buy a rehab project. If the owner will delay getting the cash then terms have to be determined. Are we getting owner financing for some length of time? What would this particular house sell for after fixed up? How does it size compare to the surrounding properties? Call or visit the owner. Take a purchase contract with you. Ask some basic questions and then listen. Tell us what he says and we go from there.