where do I get the $$$??

Hi, new on the forum!
I have a possible Sub 2 deal, but Im trying to work on a short sale right now.
ARV $245k
repairs $5k
cash to seller $5k to move
owes $215k
problem is her mortgage is only $195 but she hasent paid in almost 1 year and 15k is back payments, fees, etc.
Looks like my up front cash will be around $30k to get in the deal, with me netting $42k after 1 year when tennant cashes out.
Here is the question: is that too much up front cash? if not, where do I get it from?
im trying to work out a short sale with bank to remove some of the fees, but Im not hopeful. house is pretty in great family neighborhood.
HELP

did you figure anything out?

5k is a high amount to give to the seller. Did you factor in closing cost, property tax, and other maintenance? Is this a Pre-Forclosure? If so you have to run a title check to see if there is any liens against the property and make sure the owner really owns the house. Other factors such as inspection and doing your due dilligence is very key to understand if their is a good profit on the property. As for getting the 30k, you can get a hard money lender which usually charge high interest or you can try to get another source of loans.

If you are working a short sale, most of the times (at least in my experience all of the time) the lenders will not allow the sellers to get any money at all. That would be part of the deal from the lender.

My experience has been that the settlement statement can not show any cash back to the seller, the lender just won’t allow it since they are taking less than the payoff amount. It really does make sense. You can, however, assist the seller with their moving expenses but it has to be done separate from the HUD.
$30K is alot of money to come out of pocket with. I would probably try and get the lender to accept around $175K just for them to be done with it. Heck, the owner has been living there for a full year FREE…s/he should just go and be done with it, you shouldn’t have to pay them anything to move! If you don’t mind me asking, who is the bank/lender you are dealing with? I may some insight with this particular lender. If you can’t get the lender to budge, then I would probably walk away from the deal and keep your $30K. If you still want to do the deal, you could try a hard money lender. Good Luck!