Posted by John Behle on July 12, 2001 at 17:42:11:
In Reply to: posted by Rob on July 08, 2001 at 12:56:23:
I see a couple of options. It sounds like you getting a loan might be a real challenge, so you need an investor.
The seller can be the investor. Either short term or long term. Short term, they could sell to you on contract (seller financing) and you can do the fix up. Funds for the fix up could come from the seller. If it is going back into the property, they have little risk. If not, then funds could come from an investor for the fix up. When done, you can refinance or find an investor to help put a new loan on.
If the seller were willing to finance long term, they could have a good cash flow and the problem of the sale and the estate is solved. Now, if there are several heirs, then you can create an escrow scenario or actually create one trust deed with several notes. That way each one can do what they want with the notes. One might choose to keep theirs and another might pledge it at the bank for a loan. This type of shared interest note is harder to sell or borrow against, but that is the trade off.
Another option is just to find an investor to help out with cash and/or financing ability.
Sometimes investing is like a little kid standing up looking at a cookie jar that is too high for them to reach. The only option may be to share a cookie or two with someone who can reach it.