How do I get this investment house into my name for the least amount of non- refundable fees?

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I have a house my dad is selling me for $ 115000.00. It is worth about $ 160000.00. I have put a lot of work and about $ 15000.00 into it. Originally, I wanted it because we could do it without a realtor and new mortgage fees, because he would finance it for me. Now he is worried about his bank calling his loan if he sells it to me seller finance. So I decided to try to get a loan to purchase it non occupied , no down payment. This turned out a loan with $ 5000 fees and a high interest rate! Then refinance in six months for lower interest with another $ 5000 fees. This senario is not profitable to me to say the least. My other options are: 1, finding a legal , safe way for him to sell it to me seller – finance. 2 find a hard money lender to front the cash, then re finance asap. or 3 wait till my renters move out then puchase owner occupy 4 scrape up 10% to get a better loan. Any suggestions? Thanks a lot.
I currently have a lease and an option to purchase at 115 $ k. This bothers me as much as anything because I see no quick way to protect the investment I have all ready made from loss in an unexpected death . I am renting it at a $ 350 per month profit .

  1. Reply
    May 2, 2011 at 11:21 pm

    I was going to suggest a lease option. But now I see that’s what you are working on already.

    I wouldn’t be too worried if I had a good lease option in place. If something tragic happened and the house was willed to you I’d think you could take over the payments, but I haven’t seen the note and don’t know what state you are in, SO CHECK IT OUT WITH A LAWYER TO BE SURE!

    The lease option should give you the time to make improvements, let the lease (to the tenants) run its course and give you time to move in for a owner occupied loan.

    Good luck

  2. Reply
    May 3, 2011 at 12:11 am

    Have your dad transfer legal ownership of the house into a Land Trust that he creates & owns 100%. He can then sell up to 90% of his “beneficial interest” in this Land Trust to you – at any terms you & he agree to – without triggering the due-on-sale clause in the current loan.

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