I have the contact information of an off-market homeowner, should I contact him now or after I get pre-approved for an FHA loan/hard money loan?
I don't see the harm in seeing if its something you want to pursue. What's the harm in contacting him now? As long as its a solid deal and you have the necessary funds to close a loan.
Call both, worse case, one says no. You aren't out anything.
I think you should call. If they are open to seller financing, your 2nd question may not matter at all! I know some investors who have gotten a killer deal just door-knocking for seller financing deals. Just focus on being yourself and make it clear what you're looking for.
Call the owner. I am sure you are in the process of financing already. Even if not pre approved yet, make sure it's in the ball park of what you expect to get approved for. Good luck king! Sending great energy your way!
It is not a bad thing to reach out. Like some others mentioned you might not even need financing. To me it is a fake it until you make it thing!
@Eric Garces if you're just starting out and aren't sure what your buying power is then it'd be a good idea to sit down with a lender and find out. That way as you go door to door or make contact with people you'll have some ideas as to what your left and right limit are before you get into a deal you can't deliver on. Seller financing is a great tool as others have said, but a good craftsman makes sure they have a full tool-bag so that if one option isn't getting the seller interested, you can just pull out another.
If you know he’s definitely willing to sell, I’d contact him now and give him a timeframe for your preapproval. Neat Capital does instantaneous ones online. A pre-qualification will take longer but not more than a few days. This market is crazy. take advantage of your off-market knowledge and get your name to him ASAP.