The end isn't the end. It's just a new beginning.
I was looking at what I hoped was deal #2 and received a counter offer that made the deal no longer appealing. So I said no thank you but if you change your mind, you know how to reach me. Sometimes you just have to walk away because the deal doesn't make sense.
Then I had an idea. This happened just as I was trying to fall asleep and I got too excited to sleep. The deal didn't make sense because of the holding costs. Who knew that insurance on a property could be double because there wasn't a fire station close enough? So here I am with a motivated seller. They just don't want to come down as much as I need. So I began thinking that I could possibly give them their asking price, if they would lease the property with an option to buy. They would pay the insurance, property taxes, etc. I could put in new carpet and paint on my dime, pay the utilities and find a buyer. I wouldn't be taking any greater risk than if I bought the house and tried to sell it. I would be risking only the cost of the carpet and paint (around $10,000) instead of the cost of the house ($64,000 + $10,000 for carpet and paint) I would make about half the profit I would in buying it, but would only be using a fraction on my money to do it. I'm not going to offer them a good faith payment. The carpet and paint are my good faith. If I back out of the deal they get their property improved and still have it to sell.
This deal may not be a dead end after all. Any advice would be appreciated.
"Faith is taking the first step even when you can't see the whole staircase."
~ Martin Luther King, Jr. (1929-1968)