Wondering if investor are actually using conventional financing when purchasing off market deals , I know most of the time when you find a off market deal, or deal that’s not Zillow or most sellers or wholesaler would like to close quick and with a cash buyer, so I was wondering for those who are able to get those good conventional rates , what kind deals do your look for since most likely if the funds are coming from a bank it’s probably going to take little longer to close unlike the cash buyers quickness 7-10 day close, I guess I’m asking to help figure out how I should approach deal finding if I know I’m going through a bank and the only cash I would using but is the 20% down payment.
You can look for hard money lenders and private money people with cash who can close quickly. People who sell off market at a discount are doing so for a reason. Some properties can't be financed, some sellers are in a time crunch and need the cash immediately. Traditional bank financing can take a while and requires inspections which the property might not pass. Private money lenders are your friend!
@Taylor L. thanks for input . That’s what I’m kinda trying to find out about, for someone who doesn’t want to use private or hard money on the first deal , simply because of how easy it wouldn’t be to use traditional bank financing, and to get a better interest rate , would it be crazy to go this route for the first deal, to keep things much cleaner and easier, which will take longer but may feel a little more comfortable, I guess what I’m asking is for someone like that should they mostly look for deals on the mls ?
It may be easier on your end to use conventional long term bank financing, but people are selling off market because their situation doesn't lend itself to the conventional sales process. Keep your eye on the MLS. Even then, the best deals on the MLS in my area go all cash very quickly at attractive valuations.