How to get downpayment?

How to get downpayment?

New York City, NY · Member since 2017 · 28 posts · 3 votes

Hello everyone. I am interested in getting a rental but I dont have the money for a down payment. How can I get around that?

0Reply
16 views

Most Popular Reply

Investor · Provo, UT · Member since 2017 · 97 posts · 50 votes
9y

@Tabitha J. @Michael Plante,  Nice work on your seller-financed deal Michael.  70% of the deals that I do have 50% or more seller financing involved.  Free and clear properties are great, but most of my properties are not free and clear.  

With the due on sale clause, there are ways to mitigate the issues that might come up in the future, i.e.  make the payments, keep the insurance enforced, take care of the property, only do wraps or subject to's short term while you sell or refin and use a 3rd-party escrow company for payments.  Good stuff for sure.  

Lots of deals are to be had.  When sellers learn that they can get just as good of returns as banks, not just the interest rate, many are interested.  

See this reply in the discussion

13 Replies

Jump to latestLatest
  • Deland, FL · Member since 2017 · 2k+ posts · 1k+ votes
    9y

    I looked at apts for rent ads that sat to over a month

    Then I called and asked if they would like all their rental headaches gone.  

    Bought a 3 pled with nothing down doing exactly this 

  • New York City, NY · Member since 2017 · 28 posts · 3 votes
    9y

    @Michael Plante is this seller financing?

  • Deland, FL · Member since 2017 · 2k+ posts · 1k+ votes
    9y

    yes the person said they were fed up with being a landlord the place needed repairs I wanted some repairs got the place with nothing down

  • New York City, NY · Member since 2017 · 28 posts · 3 votes
    9y

    @Michael Plante  Did the property have a lien? If so, what happens when a due on sales clause is initiated by the bank?

  • Deland, FL · Member since 2017 · 2k+ posts · 1k+ votes
    9y

     the property was free and clear 

    Many three plexes and fourplexes and so on our owned by older people who own nothing on the property 

    They've made their money off the place they're done with the headaches of being a landlord

  • New York City, NY · Member since 2017 · 28 posts · 3 votes
    9y

    @Michael Plante ok so looks like I should only do this with free and clear houses. At what point do you ask the landlord if their property is free and clear? Is that how you start the convo?

  • Deland, FL · Member since 2017 · 2k+ posts · 1k+ votes
    9y

    I looked at apts for rent ads that sat to over a month

    Then I called and asked if they would like all their rental headaches gone.

    And talked to them like a friend asked if it was easy 

    Then said I would be happy to take their problems away as I was young with tons of energy to do repairs, evict bad tenets etc

    And all I wanted to do was pay them a set amount   Each month as opposed to the up-and-down rental situation that had gotten themselves into 

    Believe it or not the conversation can Flovent Easley back-and-forth them finding out about me and me finding out about them and what they're able to do and want to do

  • Deland, FL · Member since 2017 · 2k+ posts · 1k+ votes
    9y
    Originally posted by @Account Closed:

    @Tabitha Johnson If you don't have the down payment ask friends or family members and why would anyone sell with no money down and do you have the funds if anything goes wrong?

     Personally I really don't care why anyone would sell no money down but I've done it in New York and I've done it in Deland which is just above Orlando the reasons are the reasons

  • New York City, NY · Member since 2017 · 28 posts · 3 votes
    9y

    @Account Closed No I dont have funds if something goes wrong. I am working on that but even after I save enough money for repairs, I wouldn't want to put all that towards a down payment so I was wondering if there was a way to avoid that. If not then it would take me much longer to get a rental

  • Braselton, GA · Member since 2013 · 243 posts · 57 votes
    9y
    99% of seller finance deals are going to want a decent chunk of money for a down payment. Of course there's the rare unicorn mentioned above. Investing with low and no money down doesn't mean you can't have any money..
  • Deland, FL · Member since 2017 · 2k+ posts · 1k+ votes
    9y

    Another thing that worked for me was when I drive around which I am joy doing it with my wife if I see a house that's been abandoned out the country or find out who owns it often it's a farmer who doesn't use it anymore I've gotten two different places like that for $500 down

  • Investor · Provo, UT · Member since 2017 · 97 posts · 50 votes
    9y

    @Tabitha J. @Michael Plante,  Nice work on your seller-financed deal Michael.  70% of the deals that I do have 50% or more seller financing involved.  Free and clear properties are great, but most of my properties are not free and clear.  

    With the due on sale clause, there are ways to mitigate the issues that might come up in the future, i.e.  make the payments, keep the insurance enforced, take care of the property, only do wraps or subject to's short term while you sell or refin and use a 3rd-party escrow company for payments.  Good stuff for sure.  

    Lots of deals are to be had.  When sellers learn that they can get just as good of returns as banks, not just the interest rate, many are interested.  

Join the conversationCreate a free account to reply, vote on answers and follow this thread.