PerthPropertyHunterParticipant@perthinvestorJoin Date: 2014Post Count: 16
Hi all, I am needing some new input. I am trying to help a seller. She wants to sell for $540,000 but the market has dropped to $490,000 – my thoughts if she had a buyer make rent/payments for a couple of years and purchase for $540,000 then that would be good. The problem arises if the property value does not come in at this at the time of purchase. In other ideas/strategies? (The property is in Perth and possible that a $50,000 gain in that time is a bit unlikely, also the property is renovated so no value add done possible that way)TerrywParticipant@terrywJoin Date: 2001Post Count: 16,190David SiacciParticipant@david-siacciJoin Date: 2014Post Count: 17
Sell at the 540k with “mortgage like capital amount reductions” in the paperwork.
Set it up for a longer term, like 7 to 10 years.
Pay all the money received off the underlying loan.
I would also pay an extra 10k a year off the underlying mortgage so that when the time comes for the buyer to settle there is no underlying shortfall.
This is not about making money from the property, its about saving your butt.