Larry Reaves

Camille,

There are lots of issues to be concerned with in regard to a lease with an option to buy.

The biggest risk you could face is loosing any moneies that you intended toward the purchase.

One way this can happen is if the company holding the mortgage for the current owner call for the loan to be paid immediately because the mortgage doesn't allow the owner to enter into a lease purchase agreement.

In that case you could loose most if not alll of your investment.

This is only one of of a number of risks that would need to be addresses in any lease agreement.

Miss something and you could loose big. - Mon May 5 2008, 11:16

You will have to sit down with a Realtor and go through the numbers for commissions, legal fees, closing costs, etc.. With $0 down you are not likely to have enough equity to end up on the positive side.

As other's have indicated, it depends on your what is most important to you.

The issues you have had with the current home could be a factor to the next buyer as well. Depends if the issues are with home specifically or the neighborhood in general.

If it is a condo, were your issues with the condo association? If so that as well can affect the next buyer. - Wed Mar 26 2008, 13:25

You would probably be surprised to find that you are in better position to buy than you think. Talking with a mortgage counselor would be your best bet.

They can pull your credit, review it with you and advise as to the amount of mortgage you might qualify for.

With interest rate as low as they are and the availability of homes to choose from this is a great time to buy. - Mon Mar 17 2008, 11:29

Jason,

The condo market here is realitively small when compared to other metorploitain areas the size of Louisville. Somewhere around 15% of sales approximately.

There are several devlopments where old apartments are being converted to condos and most are in the 2 to 3 bedroom version listing anywhere from just under $200K to $400K plus.

I expect the Louisville condo market to continue to grow but with the average residential home selling around $140,000, I would think there is market for something less than luxury condos.

One bedroom condo are a pretty small part of the market, 2 bedroom is more common.

Louisville is also seeing growth in loft type condos due in part to development down by the waterfront.

With gas prices where they are i would expect to see more growth in hte more urban settings. - Mon Mar 17 2008, 11:26

There isn't really one source for that type of information.

There is lots of inventory in Louisville so the selection is very good regardless of your interest in investment properties or homes to occupy.

The best answer I can give is to suggest that you create a relationship with a Realtor who can get a full understanding of your goals. They not only have access to the multiple listing service they also have professional and personal networks that can expose other opportunities.

The Louisville market has retained positive home price appreciation so the deep discounts that investors may be seeking aren't realistic here. The modest growth in the Louisville market over the years has kept from being expoeriencing large swings in home prices.

You will also find that home prices in Louisville are very reasonable when compared to other cities of similar size. - Thu Mar 13 2008, 08:10