Is this real estate arrangement a crazy idea?
There’s an old farm house for sale in the area. It was built in 1898 and is located on 5 acres alongside a wide creek perfect for fishing. I estimate it has 600 ft of water frontage with a dock. The previous owner started to rebuild and remodel it but gave up after only finishing the upstairs and let it go into foreclosure The bank wants to sell it at 75% of its assessed value for cash.
If I was not busy, and if I liked doing house remodeling, and if I did not already have a place to live. This would be perfect for me except I am busy, hate remodeling and live in a nice place.
I would like to buy it and let someone else live there for free as long as they work on it and fix it up. I would pay for all materials, supplies, taxes and utilities. I’d even pay a small stipend.
We could work out some additional financial arrangement where the person would get a share of the profit when the house is sold in a year or two or they can buy it.
On the surface this seems like a good deal for everyone.
Is this a crazy idea? How many ways can this go wrong? Do you know anyone who would be interested? Are there other considerations I am missing?
I am going to post pictures if I can figure out a good method.