Posted by Brent_IL on May 27, 2003 at 18:20:45:
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Please help evaluate - L/O or pass? - Posted by Anne (CO)
Posted by Anne (CO) on May 27, 2003 at 17:42:57:
Hi all,
Please give us your input on this first deal. Here are the numbers:
2 BR, 1 BA condo w/car port
Comps: $130k
Loan amount $120k
Interest is 7%, but PMI brings payments to $900
HOA: $140
A 3/2 across the street is asking $925 for rent. We think market rent is about $800-$850? We might be able to pull a little more since it’s rent to own, but doubtfully much more.
Seller does not have the means to pay extra payments or otherwise make up for potential cash flow gap.
We would be taking ownership “Subject To.” Should we Lease Option it ourselves, and hope tenant comes in with enough money to cover the potential negative cash flow?
Otherwise, a local investor in our group might have a T/B, and would purchase the contract from us for $1000.
Thank you in advance for any advice!
Anne
Re: Please help evaluate - L/O or pass? - Posted by Tim Fierro (Tacoma, WA)
Posted by Tim Fierro (Tacoma, WA) on May 27, 2003 at 22:26:10:
Pass the ‘lead’ to the fellow investor in your group for a tip. You don’t want it, but you might make a few hundred for the lead.