That’s right, you can buy 3 properties for $50,000. These are decent homes in decent neighborhoods. Email [email protected] to get more information or to set up a call. Or see my posts at https://www.biggerpockets.com/posts/user/kenm286

This property was bought for $5000 . Click on images to enlarge Purchase & Sale Agreement

What we are talking about here, is a different process. It starts with buying properties “off market”. That means you don’t find these on the MLS.

Anybody with $80,000 can put down 20% ($80,000 on a $400,000 property) on each property you buy if your income & credit are strong enough. That is what most people do. But what do you do, to buy a second house? You can’t live off of one house as an investor. But, set that thought aside for a moment.

A certain amount of people are willing to sell on Creative Finance, like Subject To, (Subto), Wraps & Seller Finance for various reasons that I explain. Once an agreement has been reached, the purchase & sale go through escrow just like any other transaction.

Don’t let any mentor or coach tell you can do these for zero down. That’s not the reality.

Usually you can find these for $15,000 or so in “up front” money.

The property can be used for a rental, fix & flip, STR or Lease Option, whatever crosses your mind. Yes, you’ll need some training, but being trained properly is a good thing anyway.

Here are the differences and why it can be done.

By buying “off market”, the selling price can be reduced by the amount of the fees the seller would have to pay, if they used a real estate agent. That can be a savings of $25,000 on a $400,000 property. Then, since you are taking over the seller’s loan, you have no loan origination fees and don’t have to use your credit. That saves you thousands of dollars.

And since you are getting their 3% interest rate instead of a 7% from a bank, your payment is $1,602 instead of the bank’s $2,129. A monthly savings of $527 that goes into your pocket.

Plus, since the seller has already been paying for a couple of years, the principal has been paid down $15,000.

So, you are “in” for about $15,000 and have all of these great benefits. 

Do 3 a year and in 5 years you are retired, and having fun.

And of course, You can continue doing these and build generational wealth.

Learn 10 Low Cost Ways To Buy A House.

1. Subject To (Subto) (Take over the mortgage & own the property)

2. Land Contract (deed transfers when last payment is made)

3. Wrap (seller sells with mortgage that mirrors their mortgage

4. Wholesale (buy below market value)

5. Abandoned/Zombie /Neglected (buying properties “off market” that others don’t know about, cheaply

6. Seller Financing (Seller becomes your bank)

7. Lease Option (Test the property before you buy)

8. Foreclosures/Probate /Distressed (Buying properties at a discount below market)

9. Assumption (taking over the loan of a specific property)

10. Joint Venture with seller or investor (buy with a partner to cut costs and risk)

Email [email protected] to get more information or to set up a call.