Hi Everyone!! This past year I have been getting my feet wet in real estate. I have learned some hard lessons along the way.
- Never loan a friend money…especially on a verbal agreement.
- Never take all the risk by putting houses in your name and using the credit, but spliting the profits 50-50 with someone. Like I said some hard lessons.
But my current situation is this:
I have a partially burned home that I have been trying to sell for 6 months now. Can anyone give me suggestions on how I can sell this house before the city bulldoze it?
Also, I have about 10k worth of debt, and I will be receiving $8500 in cash soon. What is the best way for me to use this money? Should I pay down my debt, or try to use this money as a down payment for a hard money loan and purchase another house?
Don’t want to bump my head again.
thanks in advance for the advice
I agree–pay off the debt. Then get a 2nd job to pay off the balance and get some savings for a downpayment. You don’t want to pay hard money prices while you have debt. You could go under if your next purchase has a problem.
I would market the burned house to a builder and offer great terms like seller financing. You can use the down payment you receive from the seller financing to pay off the rest of your debt.
Hi Keshia sorry to hear your troubles but it will do you good in the long run. As far as the money you have coming, I think you should keep the money and keep looking for a deal that works for you. What if you came upon a deal and you loose it because you do not have the money? Always try to have as much cash in hand as you can so you can stay in busssines. As for your debt remember you will always be in debt - what is important is that you use that debt wisely.
Thanks everyone for the advice. Also, chris thank you for giving me an alternative solution to possibly selling the burn-out house I have. Chris if you or anyone else can give me more details on how to structure a seller finance on a burn-out home this will be greatly appreciated. What would be the best method of advertising? I don’t quite understand how the builder and I would profit off this deal?
Please help with clarification…
Is the $8500 enough money to repair the burned house?
That one is going to be a very hard sell until it is repaired and livable.