Pumped about finding an Owner Financed deal....with a twist.

6 Replies

My brother and I are pretty excited, we closed on a Duplex in Nampa that was being offered as an Owner Finance. This makes 12 units in the last 11 months that we have been able to close on! But this one had an interesting story behind it.

A few months ago, I received a call out of the blue from the State of Oregon saying that a distant cousin of mine (a 3-year-old girl) had been taken into the Foster Care system, and they were looking for blood relatives to place the girl with, with the understanding that it was leading to adoption. The Case Worker wanted to know if my wife and I would be interested. We both immediately said yes. However, we had one problem. We live in a 900 sqft 1 bedroom duplex that we are house hacking. Because of how many properties we had purchased in the last year, I wasn't sure I could get financing to get a bigger place in which (a) would be decent and in my price range and (b) I could have a good exit strategy. 

So I began to search for Owner Finance deals on Craigslist. Those deals are rare in my neck of the woods. I ended up finding one that had been posted just hours before I searched. My brother contacted the Gentleman who owns the property, but he wanted some terms that we were not comfortable with (i.e early payment penalties, 5-year balloon, adjustable rates). So I decided to write him myself and basically said: "Here are the terms we can work with, please contact me if you are interested in them". He wrote back and said that he would be interested, but had several people who were making offers. He wanted us to come by and look at the place during an open house. 

We got to the open house and knocked on the door. When he opened it, to my surprise, it was one of our friends from church. We had known him for 3 years and had visited each other's homes. We simply didn't know that we were communicating with each other due to Craigslist's encrypted email system. 

Long story short. He sold us the house on a 30-year note, fixed rate at 6%, $10k down, and no pre-payment penalty. We closed last Sunday, and are currently elbows deep in renovating. This house is 3,300 sqft, and only needs a door to convert it back to a duplex. My brother and his wife will be occupying 1 side (3 beds, 2 baths) and my wife, myself, and our potential daughter will be occupying the other side (3 bed, 2 bath, 1 office). We are always thankful for the providence of God in our lives. 

 @Ethan H. Thanks for sharing your sweet story.  I love hearing how God is working in someone's life!  Bless your journey with this little girl!  My sister and her family live in Eagle and I've thought about Nampa as place to consider investing because the prices seem lower than Portland?  My family and I will be there this summer - maybe my husband and I could take you to coffee and hear about what you are doing!

Thanks for sharing the story! Praise God, love hearing about Him working especially in the REI crowd. Will be praying for you and your family.

Hi @Lisa Thoele , thank you for your kind response. We are definitely excited about all of the upcoming changes. God has blessed us with cash-flowing properties that will pay the mortgage on the bigger home that we are moving into. So are very thankful for His provisions! My folks actually live in Eagle, and I lived there for a year or so. It is such an incredible little town! Nampa and Caldwell seem like THE places to invest right now. You can still find decent deals (unlike Boise for the most part), and they continue to become cleaner and better towns. I would love to meet you and your husband when you come to town. I know a great coffee house in Eagle we could meet at! Feel free to hit me up when you arrive!

Hi @William B. , It is my pleasure to share! I appreciate your prayers! Maybe, as things progress with the adoption and the property, I can come back here and share on this comment thread!

Awesome story @Ethan H. ! Thank you for sharing. It's amazing to see God's work in action brining the right people together for good. 12 units in under one year is an incredible accomplishment and congratulations! Nampa and Caldwell are poised for massive growth in the years to come and will be lucrative for buy and hold investors. 

My wife and I are actively wholesaling in the Treasure Valley and currently working on a house hack here in Nampa. It would be our first buy and hold. We have a small 3/1 that we live in with a detached 4 bay shop in the back. The shop has an unfinished space above we are looking to convert to a 2/1 apartment. I may have to post my questions here in the forums to see if it really makes sense as a buy and hold. Had a bid at $52K to finish it. It should rent for around $600-$700. 

@Cody Stone , thanks, man! I appreciate the kind words. It has definitely been a wild year! I agree, Nampa and Caldwell seem to be exploding.

If you post in the forums, I'll definitely keep up with the questions you ask. I'd love to get some ideas from the folks who respond!

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