Neighbor is selling several of his duplex rentals.

Neighbor is selling several of his duplex rentals.

Member since 2019 · 2 posts · 0 votes

My neighbor is selling two of his duplex rentals. I am brand new to real estate and don't own a thing except the house I'm living in with a mortgage. I would love to start someone and wondering if there is a way I can talk to my neighbor and work with him someway to make money off his rentals. He is selling them for market value so they aren't a good deal for me to buy them. How should I approach him and what deal should I offer him. I don't know if he has a property manager he uses already. I don't know the right questions to ask so hopefully some of you can help me. Do I ask to property manage them and split the earnings? How would we pay for maintenance, taxes. Do I try to see if he will hold the loan for me and start paying him to avoid banks? How do I get involved and make money with these without putting any of my own money into them?

Thanks for all your help. I am looking forward to start getting into real estate.

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  • CA & NV · Member since 2019 · 216 posts · 378 votes
    7y

    You nee to present a better deal ($$$) to him than if he just sold the units. See if he will OWC at reasonable rate (5%-6%)and show him he will have tax benefits and a guaranteed return/income by way of the monthly payment.

    I wouldn't get any more creative since you are new and don't have a track record of success in this market.

  • Investor · Tempe, AZ · Member since 2018 · 1k+ posts · 731 votes
    7y

    @Tim Johnson, do a little research on different procurement methods.  Then present to him a few options, see what he says.

    I'd research:

    • Lease-to-own
    • Seller Carry
    • Master Lease Agreement
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