The four of us were really surprised that the house was so cheap, although it was not that surprising to my grandfather who had the money we needed for the down payment and knows everything that there is to know about real estate investment. He made a list of the things that needed to be done and tried to figure out what we could do. For example we obviously had to hire someone who could do major appliance repair in Sacramento or we had to come up with the money for new appliances. The stove and the refrigerator are both not working, or at least they are not working well enough in the case of the refrigerator. It is barely cold and obviously when you put food in it, that is going to make it warmer and warmer. We think it can be fixed, but the question is obviously whether or not that is the sensible thing to do. The expression goes that you do not throw good money after bad, which is what you do when you put money into repairs when it is a mere band aid on a lethal wound.
In fact my grandfather did the math and decided that the thing could make sense, more so for me and my partners than it did for him. He asked us if we had a lawyer and explained how the loan was going to work. Basically he was going to give us a grace period, because we would have a lot of other stuff to worry about in the short term. After a couple of years he wants us to pay him back, there is a limit to how much of a favor you can ask the man. I am his blood, but the other guys are just my friends who need a place to live.