House Update

We made an initial offer on the home I blogged about a while ago. Yesterday, the bank counter offered (the property is bank owned due to foreclosure). The counter offer is right at the maximum that I was willing to go to. Kind of confirms to me that it's ok to proceed with the purchase. Next, we need to redo all the paperwork and submit again with the new price. Then set a settlement date.

I think I've found a way to creatively finance this property in such a way that we will be able to renovate the new home before moving in. Then we will move. Then we will renovate the house we live in currently. What this boils down to is carrying two mortgages and two equity loans for about 6 months. Doesn't that make your stomach turn!? It does that to me. :-P

I actually plan to make one equity loan large enough to cover all the payments during the 6 months in addition to getting cash to renovate. When it's all said and done, and the home we are in now sells, we will be left with just one mortgage and close to $350,000 in equity already built up in the new property.

I hope to use that equity to purchase more property in the area to renovate and sell (flip). I'll use the profits from this (minus capital gains) to pay down my remaining mortgage until it's totally gone. This will hopefully happen within the next 6 or 7 years.

I haven't forgotten about buying Alabama timber land. That's in the works as well.
Then there's the shrimp farm...
Oh, and the college tuition for the next few kids that follow that path...

It's gonna be a busy decade!