I came across a deal this morning on a SFH , 4bdms, 2 bath, the house needs about 50-65K in updating and remodeling. The owner is asking low $300, he is an extremely motivated seller and perhaps I can get it on the mid $200. The seller is willing to hold the mortgage 6-12 months with a 10% downpayment.
However, the house is currently rented with a lease that expires next month and the renter is considering of buying the house after I fix it. Here comes the catch, the renters credit is lousy on the high 500 and I’m afraid that they won;t qualify for a conventional mortgage.
What would you do?