Condo Question - Posted by Matt Baker

Posted by Don Miller on October 24, 2002 at 09:16:24:

I’d love to sell with an option. Check out my website.
Do you have any tips after looking? Your post was very helpful.

Condo Question - Posted by Matt Baker

Posted by Matt Baker on August 16, 2002 at 15:24:06:

I just moved to Florida two months ago from Michigan. I ordered the CS program but haven’t received it yet so I’m a not even begunner I guess. Anyhow, I have a condo in Michigan I still own. I decided I would rent it out since I just bought it last year and wouldn’t make any money on it selling now. I have a management company I’ll pay 10% of each month’s rent to but the problem is they don’t seem to be able to get anyone to rent it or even look at it. It’s in a great neighborhood close to a major mall and highway. My question is does what I’m doing seem like a good way to go? Are there any other options anyone might know of that would be better?


Re: Condo Question - Posted by Julius Levai

Posted by Julius Levai on August 19, 2002 at 24:03:48:

Matt ! I suggest that you carefully consider a PACTrust Equity Share or “Tax Lease”. You will get plenty of calls and you can continue owning the property and letting someone else handle all the costs, management and maintenace in exchange for the income tax write-off. For example: 1) For $X per month you can lease the property. 2) For $XX per mo. you can have the tax write-off on my mortgage loan and property tax, and a 10% interest in the property. 3) For $XXX per mo. you can also have all the loans principal reduction over the next 5-6 years. 4) For $XXXX you can have all that, plus 50% interest in the property and half of the future appreciation and principal reduction over the next 5-6 years. 5) For $XXXXX per mo. you can have it all... just repay my existing equity at termination and make sure I get a good positive cash flow along the way. And oh by the way, youll need to pay me (up front) first and last and a security deposit for option number 1; $Y for option number 2; $YY for option number 3; $YYY for option number 4; and $YYYY for option number 5." Forget options ( no way to transfer tax benefits without creating a sale; due on sale violation; too difficult to get optionees out if they dont want to leave; a UCC filing on their option can create problems down the line re. potential for title involvment relative to personal and legal problems, etc. Just not worth it...if theres something safer and better… Julius

Re: Condo Question - Posted by patricia barber

Posted by patricia barber on August 16, 2002 at 20:13:38:

One idea is to sell it via a Lease Option. You want to lease to someone that is ready to BUY a place but can’t seem to get qualified for a loan. Advertise in the newspaper Lease with Option to Buy and you’ll get TONS of phone calls.

The people that you want to buy are the ones that can give you a 10% NONREFUNDABLE downpayment and Lease from you with an option to buy. When the LO is about to expire, you bring them to YOUR mortgage broker and cash out at ABOVE market value price. Boy do I LOVE LO’s!

That’s just what I’d do.


Re: Condo Question - Posted by Matt Baker

Posted by Matt Baker on August 20, 2002 at 07:22:26:

Julius, I appreciate you taking the time to write back to me. I’m looking into these suggestions now.