BiggerPockets

How do you go about buying a property on contract, to where you name is at least mentioned in the deed somewhere? The reason I ask this question is because what im looking to. I may or may not be able to accomplish this, thats why I was hoping someone on here could clear this up.

I have a property in which im interested in right now that is a 5 unit that is 225k. The appraised value is 300k. It is currently fully rented and needs nothing else. I am looking to buy on contract with 25k down (essentially 10%). My final bank tells me they will give me 75% of what the property appraises for with no more money down because they say once there is 25% equity in the property then someone has put that into it. But the bank tells me that to do that a person name needs to be on the deed or have equitable interest.

My question is, is there anyway to buy this so my name is on the deed or at least equitable where the bank will allow me to transfer ownership without anymore money out of pocket? Or has anyone else bought this way and transferred to a full term bank loan with no more money down?

Any help would be appreciated. Thanks

Nothing is wrong with it, no maintenance. Im thinking that the owners would do it for more of a tax purpose than anything. I just starting looking into it so not sure exactly the specifics. The property is listed higher, but I have them interested in the way I presented the offer.

Bryan: Have you ever bought commerical on contract? If so, when you go to get a bank loan, did the bank ask for extra down payment reassurance? Thats my biggest questions, more than the question about contract on deed.

Im more or less looking for a lesson or an example of someones past that they could share to help me see how to go about this.

Thanks

Thank you for the recommendations. Can you give me an example of how you bought a property on contract without using any money what so ever.

How have you found best to go find motivated buyers?

Yes Im sorry i meant sellers. My bad.

Have you had problems with bandit signs. I want to put some out, I just feel that I would get in trouble for putting them out at intersections and what not

Thanks again for the help though.

why not buy this property with about 10% down on a long term contract. Find out if the sellers will finance for 20-25 years.

IF there motivation is to spread there tax income into a form of annuity they probably dont want you to refinance anyway.

AND why pay closing costs, fees etc.,,,,cheap and easy way to buy and finance.

if you can lock in their financing for 3 years, your bank should be able to refi that with no problem as it long as it appraises and you have 25% equity per the appraisal...then you shouldn't have to come up with any money out of pocket...have you talked to any banks? i think that'd be the next step...if the numbers work on this, see if you can grab it for less downpayment..although, if you're comfortable plopping down 25k, more power to ya! good luck

I have purchased on Contract with as little as nothing down. I can't recall putting as much as 10% down.

Another solution would be get a bank to loan you 50% and the owner to carry back 50% for 100% finance. Then you dont have to worry about the Contract issues.

Dont forget, if you buy on Contract.............Record it with your County.

i have a pretty good relationship with my bank, but i could never get him to do 100% financing, even if i get the seller told back 50%...steve that's awesome that you have that relationship! tyler, i wouldn't count on that without talking to smoe banks first..they want to see you have money invested or a year's worth of seasoning...again, in my opinion, these sellers sound motivated...they're willing to finace the sale for 75k less than the apprasied value (according to you), and they're fully rented..to me, there is a reason...find out their motivation and you may be able to swing this deal for no or less downpayment....good luck