anyone ever do a two part transaction?

[patb]

I’m interested in a estate sale, the property has sat and had some vandallization
so it’s not habitable, so most banks won’t touch it. It’s got a first trust
for $100K.

I’m looking to offer My price, but break it into a funny deal

I buy it for a higher amount, put $100K down, take possession and title
with a 90 day zero interest note from the estate, fix the place up, and get
takeout financing once it’s habitable and rented.

I’ve poked around and i can’t get (For various reasons) a construction loan,
so i thought i would ask what people thought about that?

pat

[livinincali]

There’s always hard money, but seriously it might be time to walk away from this convoluted estate sale you’re involved in.

http://piggington.com/using_earnest_money_to_pay_taxes

[bearishgurl]

I don’t know exactly how RE transactions are conducted in your neck of the woods, patb, but before you throw the die and pass go to collect $200, I’d stock up on “Get Out Of Jail Free” cards if I were you. And while inching my token around the board, I’d locate the most reputable title officer in your area (or abstract lawyer – whatever the case may be) and chain him/her tightly to my ankle until my rehab was completed, I had my takeout loan and the property was titled in my name only and lien-free.

Promptly throw whatever exemptions your title officer provides you to the estate’s attorney, certified mail, return receipt requested, with a counter offer and cover letter stating you do NOT approve of any of them (excepting already-established easements) to be present at the time of closing.

And if you haven’t had the property fully inspected by a licensed contractor or civil engineer (including the lot) then do so ASAP and provide his/her report to the estate’s attorney (for bargaining leverage).

Remember that this “estate’s” lawyer is NOT YOUR lawyer! I’m not saying he’s proposing anything illegal, but I can almost guarantee that he has a very different agenda than you do.

I think you would be better off with your own counsel to handle a transaction for you such as this one, who could also double as your title abstractor in many US jurisdictions. Your RE agent is likely unqualified to handle these tricky, gritty details and also unqualified to give you legal advice.

‘Nuff said. Caveat emptor applies here, with a capital C.

[Author]

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