This is all unraveling as I type this, so I don't have a lot of details, but looking for input from outsiders to point out anything I need to know.
My grandparents built a 4 bed, 2 bath on 4½ acres in 1978. My Nana passed away about 10 years ago and my uncle bought the house. His health is declining and he's on a fixed imcome and he owns his other house outright, so he is considering selling the house to someone in the family for what he owes ... $75k. Zillow estimated value is $410k.
I'm 40 and my partner is 48, we bring home roughly $4,500/month. My sister, 55, is very willing to split the house, I don't know her income but her current rent is twice what our estimated mortgage would be. Ideally, for all parties, we would like myself to be to "owner" and they would be "tenant" in a very casual sense. My credit score is ~800 so I don't see that as a huge issue.
My biggest concern is the down payment as we only have about $8k in savings, but as a first time homeowner I know there are options out there to help with that. My sister says she can put an undisclosed amount down towards future "rent." I do have about $35k in a 401k, that as a last resort, could be an option as I think the instant value of the house would counteract any taxes/fees I would incur.
More than likely this would be done without inspections or a realtor and just paperwork handled by a real estate lawyer.
The house is in good shape, the roof does need some shingles replaced but it doesn't sound major. There is an old woodshop that the insurance says needs some repairs and he can't afford them, which is why he is thinking about selling.
I have a large family, 11 aunts and uncles and 4+ generations of probably close to 100 cousins, 2nd cousins, etc. It's possible some in the family would be willing to help with the down payment in order to keep the property in the family ... but it's equally possible others would be interested in buying it themselves.
That about covers all my thoughts right now, what are yours?
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source https://www.reddit.com/r/RealEstate/comments/1v6hsja/potential_to_buy_410k_property_for_75k_general/
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