obtaining properties with no money down or credit check?

Question

Hi everyone!  I currently just started an s-corp trying my best to build
  up a line of business credit & also improving my own credit score which
  is 592.  I also work for a local investor scanning the area for vacant
  properties but keep coming across dead leads over over & over.

It gets a bit frustrating at times but sometimes I do come across a 
  distressed property that I wouldn't mind rehabing then flipping.  The
  question is how with very little money & bad credit???

Charles S Edwards II · Answer

Now my mentor gave me the idea to BottomFeed the MLS and submit low offers on properties that way, but if I did that, wouldnt the agent want to use a purchase contract only and try to see what loans I qualify for.

Im not trying to apply for any loans AT ALL.

Are there any other strategies I should focus on to control a property without the loan apps.

Charles

Erick Jimenez · Answer

Your right when it come to working with agents it cuts into the bottom line and most agents are not true investors. They are listing and buyers agents and it's all they know.

Some are out of the norm and will understand what you are trying to do.
Control property for the purpose of assigning the deal to another investor who buys property in that manner (bank financing).

What I would do is control the property with an option to buy and use an assignment agreement/contract with the investor when I sell the deal to him or her.
I have used a regular purchase cantract as well along with an addendum and assignment agreement/contract. All contracts are assignable or you can use the clause (and/or assignee).
Some states do not like options so you need to check with your state and county for the laws in your area.

What I am saying is since you are spending the time on working the numbers and every else that goes with it. Construct the deal so it looks to good for an investor to pass up and then flip/wholesale it.

Ask your mentor for contracts on options, assignment agreements, purchase contract, addendum and when you are ready you can get into Subject-to, whole new ball game.

You can control and own property with none of you own cash or credit.

Hope that helps......

E.

Erick Jimenez · Answer

Why are not tying up the good deals?

If the deal is great and you have done all the homework, why not tie up the deal and flip it to a investor.

You need to build your buyer and investor database to push your deals.

Good luck

E.

Daniel Gonzalez · Answer

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Account Closed · Answer

hi Cbear.  I just finished introducing myself & completing my profile.  I
can't express how excited I am to find out about this forum.

Jim Doine · Answer

Hello damiendat, Why don't you introduce yourself in the new members section? I also didn't see any information in your profile. Let us get to know you a little bit so we can better help.

Account Closed · Answer

yes I'm working for free & constantly coming across dead leads & it
  gets a bit frustrating at times.  Man.....  Yes he's pretty stable 
  financially, but if I was to ask he/she to finance me.  What would the
  terms be at closing?  I see tons of rehab homes in our area

Timothy W. · Answer

I got ya beat.  Right after my divorce, I was buying properties on 460 credit.  Here's what I did.  I worked my butt off to find a market that had great deals and I got private lenders to finance me.  It's a hard life for the first couple years - make no mistake about it.  The first year I did it, I had to live off of about $15,000.00.  That sucked, but I did it.  However, the second year, I made just a hair under $10,000 in the first month and the passive income started building.

Your local investor that you're birddogging for (and probably working for free right?) - is he/she wealthy enough to be a private lender to you?  If not, then stop working for them and find someone who is.

Tim