there was a death in the family and the house was left to my mother. im a newbie, and my mom knows nothing of REI.she wants to just sell the house but i see potential. house is in an ok area.any suggestions to do with property, mother just doesnt want to have any thing to do with the property
thanks
Is it free and clear? You could have her quitclaim it to you and you could rent it and make payments to her until you are able to get a loan. You could offer to fix it up and split the profits. If the property is not encumbered you could have her quitclaim it to her, go to the bank and get whatever amount of money you need to fix it up, do the work and sell it or rent it. You could do a lease option.
Too many possibilities to name here.
Are you looking to just help your mother out or are you eyeing the property as something you would want to take on? Once you answer that we can probably get a little more specific.
It is a FACT that that a person that changed your diaper will never take your advice when it comes to money. Now if you do get her to take your advise no matter how it comes out you would have steered her wrong for ever. What I would do is help her do what she wants to do with the house. That way you are not blamed when she makes $10,000 and she knows that she could have made $500,000 if she had not listened to you.
makes perfect sense guys, i want to help her out and help her make money, she has a perfect credit score.800 something so i know she could make money. but she is so old fashion and she is so scared of everything i want to explain to her that she could make money with real estate. she has never owned a house so shes lost.
Real estate investing is not for everyone. It is obviously not for your mother; she sees no appeal at all.
Since it is her house and not yours, and she wants to sell it, then her best course of action is to sell it.
If you want to help out, do some research on nice safe money markets and CDs where your mother can put the money and it will be safe and she will have a little income from it every month.
It takes a certain temperament to invest in real estate, and your mother doesn’t have it.
It would be foolish for her to turn everything she has over to a beginner with no experience in real estate.
I suggest that if you want to make a fortune in real estate, that you do it all on your own, with your own money at risk. Then maybe later, after you have proven yourself as a dynamo of investing, your mother will decide to cash out her CDs and invest with you.
I am sorry for your loss. (As a quick lesson this is a classic motivated seller example. )
Chris
Billions,
Why not buy the house from your mother? She could even gift you equity towards the purchase. This way both of you are happy.
i would love to buy and fix it up, it has a lot of potential and i think its a lot of money to be made but im in the situation where my money is funny and my credit wont get it. meaning only about 1000 cash and realy low score
If your mom owns it, perhaps she will finance it for you…like, a few hundred down and payments.
You are in the best possible position that I can think of to do some sort of creative financing with no cash and low credit.
BTW - if you’re serious about REI, you should work on both!
Keith
If you want to get into REI this is your chance. It’s right in front of you. So many people would love to have been in your position when getting started. A little quote I like to live by, “If life teaches you nothing else know this for sure; when you have an opportunity go for it.” Take some of the advice here and read up on some stuff yourself and make your move. Good Luck.
thanks for the advice everyone
Check out
They will set-up the whole thing for you. Your payments go to your mom monthly so it is a nice passive income for her, and gets you a house with title in your name. After your scores go up a bit you can refinance the deal into your name. I agree with the others on the fact that you will not get another opportunity that falls in your lap like this.
If you decide to buy from your mother, don’t be put into the position of making money off her. Pay her a fair market value for the property. Have it appraised to establish value, then have three local real estate agents give you a marketing proposal. Ask them to inclue a net to seller estimate in their proposal.
Average all the net to seller figures and pay your mother at least that much. At least make sure that your mother is not making less money by selling to you than she might have made with a sale to an unrelated third party.