Just caught a unicorn! Seller finance
The elusive and majestic unicorn of a seller just landed at my feet!
That’s right fellow BP addicts, I have found myself a unicorn. That’s a seller who’s also an investor that owns their properties free and clear!
So I’ll break it down quick, I went to look at home in North Jersey today. Met with a wonderful woman who reach out to me for as a lead. She owns a cape style single family home, my absolute favorite type of property! We’ll she’s had a rough go of it recently and needs to sell this home which is a part of her rental portfolio. The house is in excellent shape over all. Just cosmetic stuff. I took a 2 minute walk around. Once I saw the basement I knew I was buying this house.
We took a walk outside and I said, we’ll I’ll make this simple for you. I’ll buy your house and you can move on.
She broke down in full on tears. I mean crying and just couldn’t speak. I gave her a whole hearted hug and just let her let it out. She said she has had a really rough 5 years and all her family and friends have been dying. This house has been a burden because of the emotions behind it. Her family lived there and they passed so it was tough for her. We went inside and I sat down with her and we just talked. We both shared our life stories. I told her how I was homeless as a kid and she told me all about how cancer has tore through her family. It was good for both of us.
Anyways, back to deal. Made the offer for a cash purchase but I also suggested seller finance which we could give her 30k more than the cash offer. Still about 70% of the arv. Went through how she could collect a monthly payment with out the hassle. She LOVED the idea! She understood immediately the benefits, capital gains deferment and such. So it’s a home run for her as she leads into retirement.
So we keep talking. Turns out she doesn’t want to work with anyone else ever again. She wants to sell me her entire portfolio as she goes into retirement. She’ll do seller finance on all of them. Not only that, she has extra cash she’ll put into my deals for the rest of her life, her words!
But wait, there’s more! The neighbor next door, also a cape, owns it outright. She’s also in pain and wants me to buy her house as well! Oooo and I stopped at a garage sale the block over because I arrived early. Spoke to the owner and asked if wanted to sell her house. She said no at first but has an RV to sell. I took a look at it and when I came out she said you know what, you can buy my house and I’ll live in the RV and travel the country, how fast can you close!
So, as of this writing, I’ll have 3 deals and 6 units under contract by Tuesday. She’s going to lend me all cash to buy the garage sale house and her house. All in cost to me will be 30k, 10 per house.
TLDR: 1 lead turns into over 3 million in properties and access to private funding. All because I took the time to meet with someone and was compassionate to there situation.
DJ PRO TIP: Bring something to the appointment. I love growing flowers so I brought her a small bouquet of flowers from my garden. As soon as I arrived I handed her the flowers and that set the tone for the meeting. She was so happy to receive flowers. She said this is the first time in over 10 years someone has given her flowers.
Needless to say, after I close this deal, she will be getting a bouquet delivered to her door every 2 weeks for at least a year. Hell maybe for the rest of her life.
So bring a gift, could be small. I usually do flowers or my wife makes homemade cookies. Sometimes fresh fruit from the garden or a nice bag of coffee or tea. Doesn’t have to be expensive, just has to be thoughtful!