Hi Folks,
I received a call from a guy looking to sell his house.
The details- house is worth about 160k
mortgage is 150k
payments are 1372/month-4 months behind
could be rented for 1500/month
he is open to a lease option.
There is not enough cash flow to stay in the middle of this as a sandwich lease. Also, the option fee would have to be large enough to bring the mortgage to date and leave a profit for me-say at least 5k, so an option fee of more than 10k would be needed. Is there another angle that i am missing or should I just pass on this?
Thanks, Rick
:rolleyes
The bank will likely take it back before you can LO it to someone.
In TX we can’t LO a house that isn’t current, and to be honest, I wouldn’t want to.
have the seller do a loan mod and make the offer contingent upon getting a better deal with the bank… as it is $10k in equity is no equity and the cash flow is horrible… the loan mod is not a possibility i would pass.
depending on the condition of the house, a short sale would also work…
Who is the Lender?