I found this house I want to buy. I think it’s a good deal. The couple rents the house for 725 per month. The mortgage is 500. she’s asking the full appraised value which is 79000. This is my first property. I was going to make and offer around 63000. What other factors should I consider in making and offer? Thanks for all your help
You may be motivated to buy but is she motivated to sell? Who’s appraisal? Tax District?
Don’t make offers. Find out why she wants to sell and solve her problem. Buying subject to and giving her some of the income until an end buyer cashes you out may relieve her of landlording functions. If she needs all the cash to buy her new car then she won’t discount. She has to first realize what it would cost going through a realtor if she hasn’t already. Make her feel the pain first as to why she is selling, then figure out a solution.
Bud, can you please elaborate on your comment. Are you saying to find out what the seller owes on the property and offer to pay it off for them instead of outright purchasing? In subject to, how do you set this up? Does a lawyer draft up the paperwork? I know what subject to is, but I don’t know how you go about doing it.