lease option deal....advice wanted

General Real Estate Investing
1

I’m looking at the following deal (at least I think I might be able to turn it into a deal) and I would appreciate some advice from those that have been around the block a time or two.

Property: 3/2.5 1800 sq ft
Asking Price: $294,950
Asking Rent: $1500 (it is both for sale and for rent)
Market Rent: $1500-1600
Most recent appraisal: $299,000
Tax value: $254,000
My best estimate of the value: $285,000

Other helpful information…

The seller bought a new house and this one has been vacant since August. I know the seller has rejected some offers at $275,000 and commented that she would only sell if she could get her asking price (optimistic in this market). The seller also stated her intention to maintain control over the deal and fully intends to personally approve any tenant-buyers that I place in the property.

I haven’t gotten far enough into the negotiation process yet to know if the seller is just playing hard to get because she thinks she needs to be that way, but the prevailing attitude seems to be fairly inflexible. Any thoughts on tackling this one as a lease option? Is there some wiggle room here? Any advice on how to succesfully approach this seller? Or is it better to find someone else? Any advice/thoughts would be appreciated. Thank you.

2

She doesn’t seem to have the motivation. Approach her with the idea of a Lease Option and explaine the benefits. If she says no then give 6 months and maybe she’ll be singing a different tune by then. If she’s open to the idea then offer a Lease Option Assignment, keep your risk low. Expaine to her that each month that goes by costs her $1500.Herbster

3

herbster hit the nail on the head. This owner has no motivation and, apparently, time on her side. Until her attitude changes, you’re wasting your time. Move on and look elsewhere. Try again in two or three months.

4

Thanks for the advice. I will give it some more time and see if she becomes more motivated.