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Tim Ball
  • Flipper/Rehabber
  • Carrollton, TX
70
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165
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I'm torn. Rentals or Owner-financing?

Tim Ball
  • Flipper/Rehabber
  • Carrollton, TX
Posted Mar 26 2015, 18:39

I am sure there are many pros and cons to both being a landlord and doing owner finance deals.  Should I do them both?  What are the advantages/disadvantages of one strategy over the other strategy? Here are my thoughts.  Tell me what you think.

Landlord Pros:  cash flow, passive income, building your networth, building for retirement, you don't lose any equity

Landlord Cons: dealing with tenants, breakdowns, repairs, evictions and vacancy

Owner-finance Pros: cash flow, don't have to deal with tenants and repairs

Owner-finance Cons: lose equity, possible foreclosures, possibly need to fix up the house more than you anticipated because former owner did not take care of the place at all.

What else am I missing in these lists?  Trying to find out which is the best strategy or should I implement both? I would love to your thoughts.  Thank you.

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