Posted by Sailor on December 26, 2005 at 14:06:02:
These folks are probably wonderful, but no matter how much $$$ & effort you put into this deal, no matter what kind of a contract they sign, they w/always think of that house as already theirs. Help them out by assuming the loan if you must, but letting them stay is a direct path to “I told you so.” (See archives for similar opinions.) Are you aware that if you buy the house that the RE agent still has to be paid? See if the buyer can get a release from the agent before you go further. Do NOT fail to get a title search & policy. Medical debts can usually be negotiated for significant discounts, but you are almost out of time. If you are uncomfortable w/the situation, have the seller deal w/your attorney–better yet, refer the deal to another investor who doesn’t have personal ties. I know it is hard to resist, but do remember that a BK filing w/stop the sale, & that no good deed goes unpunished.
Posted by Tom NJ on December 26, 2005 at 10:04:52:
Hey everyone. I need some input.
A family I am friendly with that lives a block away from me is going to sheriff sale on the 5th. They have the property listed with a realtor, which I think just happened last week. I can close on this in time, but am not sure as how to approach them. I would like to buy it, keep them in as tenants while it is up for sale and then give them back some of the proceeds, as they are good people…had some medical problems.
Posted by Tom NJ on December 26, 2005 at 12:15:13:
Hey everyone. This is a followup to my previous post. I spoke with the seller and they are looking for a lease option. I have never done one before. They need aproximately $120K to clear their debts. The property is currently listed for $174,900. I would like to make some money but I don’t want to exploit there situation.
Can someone give me a rough outline of how to set-up a lease-option?