How Does A Loan Take over Work? (case study)

We recently completed a deal where we created a win win in Hanover Park.
Since the equity on the home was not that much, and it needed minor repairs, a cash out purchase didn’t make sense as the numbers were too tight.
The seller was moving to Florida to be with her ailing mother so she needed a quick sale and didn’t want to wait for the property to be listed. She needed to get to sunny Florida asap!
The numbers looked like this: loan payoff was 130krehab amount was around 6-8000. floors, carpet, deep cleaning. and a lot of work to get the smoke out of the unit (seller was a smoker) This scent along with cat urine, is really tough to get out and takes a couple applications.  Actually it took about 4 different try’s to get the smell completely removed.
Resale was around 180,000.  After our realtor commissions and closing cost credits, holding costs, carrying costs, and other risks, the numbers were too tight for a cashout.
We sometimes have to factor in a worst case scenario.  And in the case, we had 4, yes 4 different buyers fall through. 🙁
Think about that for a second.  That wasted months and months of time, which means more cost, more rehab etc..
We told seller we would take over the loan subject 2 to its existing financing.  We would make the payments going forward on the loan, pay all utilities, make any necessary improvements, and keep the property in great shape.
Seller moved to Florida. We handled all of the oversight on the property.  Finally, the 5th buyer was able to qualify and sell her previous home (which was a big reason other buyers couldn’t qualify, they couldn’t sell their home and this sale was contingent on them selling their home they lived in)
Anyway.. fast forward. seller was and is happy. the loan is payed off and out of her name. She’s in FLorida. Mom is ok. And the deal worked out for us.  
That’s what were about here.  If you have a similar situation, or just a cashout offer try us. Fill in the info the right and lets see what we can do to create a win/win.

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