OK, I will have to admit I have not spent much time on this site or reviewed much of the old postings but I have an opportunity and a timeline (what else is new…).
I have a friend who has referred an old neighbor to me because she is in a bind. I assumed she needed financing but situation is she goes to foreclosure auction in 6 weeks. She has been approached by someone offering a lease/option vehicle of some sort and is fired up to sign it today. Specifics are such: appraised value is $210,000 with no deferred maint (house is good condition) owes $165,000 total. She is being offered $15,000 in cash, $1600/mo for payments 24 months to exercise the option at a price of $230,000. Realistically she wants the $15,000 - of couse she is sure that she will be back on her feet and able to buy at $230,000 within the 2 years so everything else to her is secondary to the $15,000.
My question is I know I can do something better for this gal and she would rather go with me but I don’t have any idea how to structure this!!! This is not my area of expertise but I would be fine with doing something where she can have $20,000 and buy the house for $220,000 in 24 months with payments of $1250. How would you do this deal with respect to: Ease of setting up, safety to me, etc. I assumed I would purchase with bank financing as I can get it done in 2 weeks and allow her to rent with a verbal agreement for ability to purchase within 24 months at $220,000. Help?