Posted by Matt B on June 25, 2001 at 07:40:01:
Yes, I agree, Katherine. IF you could get these properties on YOUR terms, this would be a good deal. The problem is that you have to have a very motivated seller in order to get these terms. From what you just described, it sounds like you are not dealing with a motivated seller.
Of course, I could be wrong since I have not actually spoken to the seller personally. There may be something that you picked up on that you didn’t include in your post. If so, then you may have a deal. However, to me this doesn’t sound any different than the seller who calls me and tells me that they want all cash and full retail value for their property. They aren’t looking for an investor. They’re looking for a sucker. (Which I’m not, by the way.)
Here’s one huge, glaring problem I see even if you get these on your terms. Do you really want to sink money into repairs on properties that you do not own? This is a very bad idea. I personally NEVER do any repairs to houses that I lease option from sellers. I would be sinking MY money into repairs on someone else’s house! Now if you are buying these outright and are planning to repair them and sell them, that’s a different story, but that’s not what you say you are planning to do.