Posted by Brent_IL on October 30, 2003 at 20:50:21:
At least verify the rent range before you take title. The rents are too low to support the house without subsidy. If you can find a R/B that will buy at a higher price, thereby absorbing the expenses, you can make a profit on the spread and maybe something on the back end.
Exit strategy - Posted by Eric
Posted by Eric on October 30, 2003 at 20:33:46:
Here’s the deal:
3br 2 bath house, 1700 square feet, 2 car garage
No repairs needed - 5 year old house in mint condition - nice neighborhood.
Seller owes 117,600
Similar houses are selling for 128,000 with conventional financing.
He will deed it to me sub 2 for what he owes.
His payments right now are 1182.00 per month (because of an escrow problem with the bank) until april when they go down to 1014.00 per month PITI.
I’m new to this area, just moved from Massachusetts to South Carolina…not sure what I can get monthly for it here. It is about 3 blocks from the ocean, but it is residential, not a vacation neighborhood. I’m thinking I can probably get about 1100.00 a month for it, maybe more but I’m not sure.
What would you do for an exit strategy?
Thanks for the ideas.