who to contact and what to say

5 Replies

Good morning I am in search of my first deal.  I own my primary residence, have great credit but not enough down payment.  I found a good rental property in the #1 school district here in GA.  It is for sale has been on the market 42 days with a price reduction.  I want to find out if the owner would do a lease purchase deal.  I have the agent's and the owner's  phone numbers.  Who do I call? What should I say?  Any advice on how to approach this greatly appreciated.  Thanks for your response.

What are the numbers on the rental?

If the owner has it listed through an agent, you will most likely need to work through the agent.

Can you pay the agent 3%?

If you can, knock on the sellers door with a letter of introduction, saying a paragraph of who you are, what you do, what is family life, why you want that neighborhood, why and how yop  will pay market rent on a lease purchase, why you will get a mortgage soon, (I would go to a mortgage originator and get a letter from him-her)

then ask for a viewing of the property with sellers agent.

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If you can not afford the 3%, wait and see if it gets expired, keep sending post cards to the seller, no email or phone.

DO NOT talk to the agent first.  They are deal killers on Lease Purchase.

There is a thread here on how to negotiate with sellers.

http://www.biggerpockets.com/forums/83/topics/2142...

Thanks Brian Gibbons for your reply.  I have taken your advice.  I was able to get a lease purchase option on a home ( a different one than was initially interested in).  I am working with a real estate agent to draft up the lease and the lease option.  We were able to work out a good agreement.  When the forms were completed after a few back and forth negotiations, there was nothing stated about what would happen with the $4047 option fee money.  My agent wrote in the stipulations that this money would go towards the sale at the time of purchase.  Is this correct?  At what stage of the process do I pay this money?  Should it be held in escrow and what paper work should I ensure that I have.  With my security deposit and my earnest money that would be a good chunk of my down payment.  Any info and advise appreciated. Thanks

Originally posted by @Cecelia Mitchell :

Thanks Brian Gibbons for your reply.  I have taken your advice.  I was able to get a lease purchase option on a home ( a different one than was initially interested in).  I am working with a real estate agent to draft up the lease and the lease option.  We were able to work out a good agreement.  When the forms were completed after a few back and forth negotiations, there was nothing stated about what would happen with the $4047 option fee money.  My agent wrote in the stipulations that this money would go towards the sale at the time of purchase.  Is this correct?  At what stage of the process do I pay this money?  Should it be held in escrow and what paper work should I ensure that I have.  With my security deposit and my earnest money that would be a good chunk of my down payment.  Any info and advise appreciated. Thanks

 Cecelia scan the documents that you signed and send them to me to my email for no charge I'll review them.

Brian

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In calgary you can represent yourself in the transaction . If you are thinking about using a realtor use a different one from the listing agent to negotiate the best deal and conditions for you . As for no dow payment part there are mortgage options that give loan you down payment as well I believe it was called flex down mortgage . You should consider talking to a mortgage broker as well.

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