I have been reaching out to for-sale and for-rent listings in an attempt to find sellers that are interested in a rent to own arrangement. I plan on assigning the contracts.
I have a couple questions:
1. Many sellers are asking me what I can offer as a down payment. Should I include my assignment fee in that number? So, if I want 5000 for the deal, and I think they'll accept $5000, then I tell them that I can offer $10,000?
2. Do you tell the seller in the first email that you are a wholesaler? I'm concerned that I'll scare them off if I'm too upfront about what I'm looking for. Obviously I'll fully disclose everything, but should I ease them into it?
3. I'm sensing that targeting for-rent listings will be more successful since many of the for-sale sellers tell me that they need the homes equity to buy their next property and therefore the rent-to-own strategy doesn't work for them. I'm curious to hear BP's feedback on what has worked for you.
Any other tips would be appreciated.
Also, do you write a clause into the contract which states that the deal is void if you can't find a buyer within X number of days?