My first deal may be right around the corner. There's a house across the street from where I live and an older lady use to live there. She's moved out and the house is vacant now. It's being offered by a realtor. I spoke to an agent at their office today and their asking 84K for it. I did some home work myself on the property before I called and the majority of what the agent told me I had already found out.
112 X 173 lot
built in 1954
There asking price is $11,994.00 higher than the lowest fair market I ran. The thing that bothers me is the taxes. In this area the taxes are very high on this property. The county has the taxes at $6,987.68 a year. And there's taxes due now in the amount of $2,084.43. Another thing that I must do is go back to our county court house and find out if the property has any liens on it. While speaking with the agent of course they want all cash and be done with it but I mentioned a lease option and the agent wasn't closed to the idea. She said that she would pass the idea along to the listing agent on the property and I should be getting a call tomorrow. My plan is if the listing agent is open to the lease option, I want to sub-lease it to a renter/buyer. After running the number's, with what it will take to ensure the taxes are paid and to pay on the property I possibly wont be in the negative (money out of my pocket to make up any difference)) but at the same time I will make a small profit if any. The renter will pay the note down and I will have control of the property during the lease/option period. Is there any advise anyone would like to share with me on this. I see myself having to make it through the first year or better yet finding a broker who could assist me in getting it refinanced right away without seasoning. Another problem is my credit is not the best. Thanks in advance,I welcome all advice and comments.