Cash and Seller Finance Offer on Property

4 Replies

Hello fellow investors, does anyone have a template to share to make multiple offers on a property? I'm trying to send an offer where I want to make a low cash offer followed by a little higher seller finance offer. I'm a new investor looking for a little help writing the offer without having to use a real estate agent. 

@Brandon Owens I do not have a template but I am adding a comment to this thread to see if I can piggy back on your question.

I typically try to make a cash offer that is 15% lower than a seller finances option.

Include both options as OR subsections under a section regarding purchase price and financing.  Require the seller to initial the subsection describing the offer terms they've accepted if they ratify.

If I'm understanding your question, I will sometime advise my clients to include statement indicating they will beat any offer by X amount up to Y amount, requiring some form of disclosure about said offer. This helps stay competitive, in the local Grand Rapids are market. 

Side note: Tend to agree with above statement about the 15% below for cash offer versus traditional finance, etc.; however, I would offer less with my above statement included. 

jacquescyr.com or rubiconinvestmi.com 

It sounds like you are dealing directly with the seller on an off-market deal, if you’re not involving a Realtor. In which case, you need to understand the specific needs of the seller. If they need cash and fast, then seller financing will not work for them. If they are not desperate to sell and they like passive income, Seller financing would be more attractive. Discuss options with the Seller, explaining the differences and then write that offer. 

If you really want to present both, write 2 PAs and have them sign one. Also depends on the PA you are using. Maybe it has provisions for Option A and Option B? In which case put both on one PA if the rest of the terms are the same. 

Hope that helps some. 

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