Help with flipping a property

[soartheskies215]

Hi everyone, I'm excited to know what people think of this deal and what to do next.

This will be my first deal
I have a 6bdr/4bath historical home in a great neighborhood
with blue ribbion school district. Home belonged to a famous painting.
I have a cash contract with the bank for 185,000. My closing is march 5.
Comps in neighborhood are 450,000.
I have a few investors looking, if they are interested what would be the next step?
How can i approach the investors to lease this property to me after they buy it, and i will fix up with all rehab costs split?
Am i thinking to much into this deal?
Advice,next thing to do, etc ANY Help would be greatly appreciated.
 

[unicornrockinvestments]

You might try posting this under the Short Sale or Preforeclosure area for help since you have a cash contract with the bank.  Just a suggestion =)  I may be wrong though...

[Jeff Corpuz]

Seems like an "OK" deal so far.

Where did you get your comps from?

What is your exit strategy(ies)?

[James082]

The deal sounds good.

I would want a little more information like,

What repairs are needed?
The estimated repair costs?
Are you able to assign the contract?  some banks don't allow "and/or assigns" as the buyer.

If you are able to assign the contract you will then sign an Assignment of Contract with the investor that is interested.  You will want to make sure that the Assignment is written to protect you if the investor fails to close.  I would ask for a non-refundable earnest money deposit from the investor.  If they don't want to give a deposit, find another investor, they aren't that serious.

If you get that far, follow everything to closing.  Make sure the title company/closing attorney has the original contract and the assignment and knows that you are to be paid at closing.  Then, stay on top of all parties to make sure that the closing will occur.  If it looks like the investor isn't going to close, get an extension from the bank for more time and find another investor.

Your work isn't done until you get paid.

As far as getting them to lease the property to you so you can share the repair costs, that will depend on the individual investor.  What you are asking them to do is partner with you.  You will have to show why it would be a good idea to partner with you.  If you find an investor willing to do that, use a Joint Venture agreement to protect yourself, and the investor.

[Mdhaas]

How did this deal workout?