A friend of mine and I decided to make money on a flip. Age old, over budget and now we can't sell. He wants to keep the property. 72,000 bank loan, 25,000 additional note (carried by partner). Property appraises approx. $130,000. Gross rent on the 4 unit apartment complex (2bed/1bath units completely remodeled) is $2000/month. Is $25,000 too steep of an acceptance price for a buy out?
And just to throw this in there. There was no real note drawn up on the $25,000. The money was used to complete the flip and is owed back to the partner when sold, but if he keeps the property he would consider leaving it as equity in the property - but there is no set payment or interest rate applied to it.
If partner doesn't agree to buy out price - are there options of selling my share to someone else willing to be part owner of such a venture?
2007-12-31
04:22:07
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2 answers
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asked by
LearningOne
1
in
Renting & Real Estate