You should absolutely get a 2nd opinion on the value on the home.
Also what all in wrong with the home? Is 10k enough to fix it. (I would have a contractor or 2 come in and give me a estimate. also they may notice alot of thing that you and I might not) Can you do some of the work yourself and have some of the 10k in the bank?
And what are the terms of the L/O how much a month and for how long,
If the landlord is really loosing 300$ a month on rent alone, don’t forget taxes on the property, it sounds to me like you and your mother would be doing them a favor by doing this buy.
Always do your research before you buy a property or it will come back to bite you.
I would find out the TMV of the property, take 5-10k off that price (if they wanted to sell the property through a realtor that would be 5-6% or 7-8k for a 145k house), find out the cost of repairs and add 5k to that price (they are ALWAYS more that you thought.). See how the deal looks then? If the deal still looks good run and jump on it, or make a counter offer so that it dose make since. And the landlord will not work with you walk away (something I found hard to do in the beginning, wanting to make my first deal so bad).
Anyway I hope this help and I didn’t babble on to long for you.
Posted by victor on November 06, 2002 at 11:48:26:
Hi,
I was wondering if anyone here pays someone else to put there bandit signs out. How do you go about finding someone to put them out. How do you go about quality control you know making sure you get what you pay for.
Posted by Andre’ on November 06, 2002 at 12:12:14:
Ok here it is: Our LandLord is trying to sell my mother the house that we stay in which is a 3br and 1bath for $145,000(that’s what the LandLord said it appraise for). My mother doesn’t have good credit so the LandLord said she founded a Lender to give my mother a 80,000 loan. The Landlord said my mother would have to set up a L/option with her for the rest of the $145,000. The Landlord also said she would do almost everything in the deal plus she said she will give my mother $10k for rehabing on the property. My Mother told me she would not have to pay any closing cost at all.
My thing is, first, is this a good deal?
Second, should we get a second appraisal on the property?
And Third which other financing ideas could my mother
try?
P.S. The Landlord has two mortgages on the property for $640 and the other for $385. And she is taking a $300 lost because my mom is only paiding $680 a month. So again,is this a good deal?