I bought my neighbor’s home… - Posted by Lor (CA)
Posted by Lor (CA) on July 02, 2001 at 15:42:25:
a few years ago when his wife died and he was put in a nursing home. I simply made him an offer requesting owner financing with no money down and I offered to pay him an interest rate that was 1/2% higher than the current CD rates were paying. I had an accountant write out clearly and simply how much he would recieve every month in income and made sure there was no prepayment penalty. Because of his age, he would only agree to a 15 year loan which made the payments higher but because the price was low it was worth it.
He offered to sell the house for only 225K but I offered 240K because that was the price of the lowest advertised house in my neighborhood at that time. Legally and ethically you have to be careful when dealing with elderly sellers. You should really contact the neighbor’s family as soon as possible to let them know you are interested. Also, if you are married, ask your wife to make the first contact. Trust me.
A funny side story. One of the reasons the owner was so quick to sell was that the electronic garage door opener kept opening and closing. He was convinced that it was the spirit of his wife. After I purchased the home my tenants had the same problem and the repairman couldn’t find the problem. Awhile later, I discovered the the Alaskan fishing fleet had come down the coast to my harbor in CA about the same time his wife had died and it was their electronics interfering with the garage door opener.