I had the opportunity this morning to see a truly motivated seller with a fixer upper that belongs to his newly wife. It has been in the market as a “for sale by owner” for the last fourth months and they would like to sell it no later than Dec 15 before starts snowing.
Similar houses across the street have sold for $330K, they are asking $230K but I already told them that for me to get the deal done, I’d need to get the house for $180K. The house needs about $50K in updating and they are willing to hold a second note.
If I get the house for $180 + $50K in repairs that brings me to $230K with a potential of $70-100K profit.
So far so good.
How do I creatively finance this deal since they are willing to hold 20% note for couple of years… and pull out extra cash for repairs carrying cost? I have very little money in the bank.
I told them that I’d get back to them by Tuesday, any advice is greatly appeciated.