Posted by joe-Ga on March 22, 2006 at 22:25:10:
you know, that did sound rather strange… after 3 yrs you have 3 times as much in the house as you were supposed to pay for it…
Will I Get Money? - Posted by Hudson
Posted by Hudson on March 05, 2006 at 09:12:24:
I have a lease option for one year but they have extended for three years. They have agreed to let all the monthly rent go towards purchase price. In August I will opt the sale and will be around $49,000 property will appraise at around $80,000. My question is, will they at closing give me the remainder of money?
Re: Will I Get Money? - Posted by CHRIS IN FL
Posted by CHRIS IN FL on March 10, 2006 at 13:52:01:
CHARLES AND JOHN ARE BOTH RIGHT. IT DOES SOUND LIKE A GOOD DEAL. SECOND, YOU ARE BUYING, NOT SELLING, RIGHT? AT CLOSING YOU HAVE TO PAY AND/OR FINANCE THE BALANCE OWED ($49K). SELLER WON’T PAY YOU ANYTHING. TO GET CASH, YOU WOULD HAVE TO FINANCE, OR WAIT AND LATER REFINANCE, BORROWING MORE THAN $49K, TO PULL EQUITY OUT OF THE PROPERTY (OR SELL THE PROPERTY). YOU DON’T GET PAID YOUR EQUITY FOR BUYING.
Re: Will I Get Money? - Posted by Charles
Posted by Charles on March 09, 2006 at 22:59:35:
You have a lease for 36 months with all the rent going toward the purchase. That is like a “principal only mortgage.” If your rent is about $300.00 a month X 36 months, you would have a credit of $108,000. Sounds like a good deal to me.
At the end of three years you will own nothing and have a property worth $80,000. I suggest you have the seller sign the deed and have it held in a title company’s escrow accout with escrow instruction to record the deed once you’ve paid the $49,000. Record the deed and starting selling the property. I can recommand a good auctioneer. Need a partner?
Good luck,
Charles
Re: Will I Get Money? - Posted by John
Posted by John on March 05, 2006 at 18:57:05:
Am I reading this right. Are you asking if you buy a property for 49K that appraises for 80K will you get the difference? If you have an option contract to purchase the property at 49K that is what you will pay the appraised value has no bearing on this. Read your contract.
Re: Will I Get Money? - Posted by John
Posted by John on March 11, 2006 at 15:50:24:
Chris,
Please don’t use all caps it is hard to read and considered rude. It is called shouting.
Re: Will I Get Money? - Posted by Joe-Ga
Posted by Joe-Ga on March 22, 2006 at 22:22:43:
be sure to record your option in public records… many landowners will sell out from under you and say , OH I forgot you had a option
Re: Will I Get Money? - Posted by John
Posted by John on March 11, 2006 at 15:53:07:
charles
Check your calulator $300 pe month for 36 months is $10,800.00 not $108,000