Need some advice from someone experienced

The subject here is a house that is for sale next door to one of my rentals. Retail price is 49,900 and I was told by the agent that the bank is negotiable on that. It is an excellent rental area and this particular house is exactly like my rental, same floor plan, square footage etc. I’ve seen the inside of the house and it was renovated inside by the previous owner (paint, carpet, flooring, bathroom fixtures). Exterior of house has fresh trim paint and is a 4 sided brick. Only negative I can see is that the yard needs big time cleanup (fallen tree, high grass and various debris, etc).

I have an appraisal on my house for 110k. And I rent it for 900/month. I am not in a situation to purchase this house myself but would like to get the word out to local investors of its availability. How would I go about doing that? Also how could I structure this so that I could pick up a finders fee?

I’m an investor that has rentals and I buy/fix/sell but I’ve never run into this type of situation before. Can anyone assist in directing me?



If it’s the exact same as yours, meaning it’s worth $110k and you can pick it up for $49k or less (45%ltv), then you could possibly put it under contract and wholesale it to an investor for a quick $5k assignment fee.

If I didn’t want to ‘pick up’ the property is there still a way to obtain a finder’s fee via an agreement? I’m just not familiar with that process.


Work it out with the seller that he/she will pay you the diff between 49k and whatever a buyer is willing to pay who you bring to the table.

If “the bank is megotiable” that means it is a foreclosure and the bank isn’t going to do any fancy deals with you abput paying you any money for finding a buyer. If it is a bank foreclosure it’s going to be tricky to get it under contract if you don’t have a source of money to complete your contract.

My suggestion, if you don’t know any investors, is to run an ad stating that a birddog has a really good deal available.

You explain the deal and get the buyer to sign a promissary note to you, contingient upon the deal going therough before you actually show him the house.

You aren’t getting much of a finder’s fee becasue you don’t even have a firm price for the house and you haven’t done any negotiating, and you don’t even know if you can buy the house. All you are selling is your knowledge that a pretty nice house is going into foreclisure, and quite frankly, that information is available elsewhere.

The best way to make money would be to buy it and flip it. The next best way would be to get it under contract and assign the contract. That way your buyer knows what the price is and knows he can get the house for sure. Also, once you have it under contract, the only way he can purchase it is through you.