Purchasing ALL Cash... Kind of ???
I got a call from a "Private Lender" today that asked to do a conference call with me and 2 of his associates. I'm always looking for more money and to learn so I set it up for later this afternoon. During the call I gave them a rundown on my flip business and what I was looking for. They seemed competent and professional. They had some interesting products that we discussed. Then I told them about the problem in my market when I use financing. The market has picked up enough that if you are not an all cash buyer who can close quick you aren't even in the running for a deal. There response was "no problem". They explained they were a private lender and that it was still an all cash deal with them involved. They stated that they have been advising there clients (with great successes according to them) to make offers all cash and in the financing section write in "Buyer reserves the right to use private financing." Once the offer is excepted I bring in the private lender and still make a cash offer. Though they said it is not as clean as a straight cash offer is, it has been working for them. This seemed a little iffy to me but if it worked seemed like a great tool.
I am wondering does anyone use this strategy or something similar?
Any other thoughts on this?
Thanks,
Billy