Is Creative Financing Becoming the New Normal?

[Brandon Lee]

With rates changing and lenders tightening up, more investors seem to be exploring creative financing — notes, seller carrybacks, partnerships, and private money.

What strategies have you tried that helped you close deals creatively?

[Erik Estrada]

I don't think it has too do so much with the rate, and more so to do with the value-add of the deal. 

What you are seeing now is appraisal's coming in lower in some markets, properties sitting a bit longer than what we are normally used to. However even with an 8% rate there are still deals that can cash flow or can be flipped for a profit. Albeit it will be much harder to find and will involve more legwork than finding deals only on the MLS.