I found a motivated seller with Bangalow that needs lots of work. Seller is a woman with two children and she is seperated. The house has 2 bedroom, 1 bath, 1 kitchen...she is trying to build 2 bedroom, 1 bath in the basement and she got permit to put addition to the house, some of the work is underway, but she got no money to finish the repairs.
The seller is asking $305K and the loan balance is $270K (RBC) with assumable mortgage at 5.2% which expire in Nov. 2011. Her payment is $914 (including taxes and insurance) every two weeks. Title is only on her (the seller) name, not in her ex-husband`s name.
I have done some research and here is what I found:
Market Comps. varies from $237K to $340K
It needs a lot of repairs like tearing walls, building new bathroom, 2 bathroom, some foundation work. It doesn`t look like livable, but they are living there because they have no other place to live.
Also, I found that Assessment value is $262K (2009) and $299K (2008), that is before she start putting the additions to the house. According to the land registry she bought in 2002 for 93K but she said she paid 186K in 2001. She refinace the house a year ago.
I am thinking of putting it under option to sell it to a renovator. What should I offer? What do anyone advice or suggest to do? I want to help this family even if I only make a couple of thousand dollars.
Thank You.
Karma
The seller is asking $305K and the loan balance is $270K (RBC) with assumable mortgage at 5.2% which expire in Nov. 2011. Her payment is $914 (including taxes and insurance) every two weeks. Title is only on her (the seller) name, not in her ex-husband`s name.
I have done some research and here is what I found:
Market Comps. varies from $237K to $340K
It needs a lot of repairs like tearing walls, building new bathroom, 2 bathroom, some foundation work. It doesn`t look like livable, but they are living there because they have no other place to live.
Also, I found that Assessment value is $262K (2009) and $299K (2008), that is before she start putting the additions to the house. According to the land registry she bought in 2002 for 93K but she said she paid 186K in 2001. She refinace the house a year ago.
I am thinking of putting it under option to sell it to a renovator. What should I offer? What do anyone advice or suggest to do? I want to help this family even if I only make a couple of thousand dollars.
Thank You.
Karma