I am close to getting a house under contract sub2 and will be going out and trying to sell it in a wrap around financing situation. What strategies have you guys found successful for finding end buyers? I already plan to post adverts in posltets, but don't have much to go from outside of that.
You can always say "Seller may finance with qualified buyer". Don't mention amounts to carry, payments required or any loan data as you may be required to provide the APR. You need to be familiar with your position as an investor or dealer and the SAFE Act laws, national and state. You may have some problems in Texas with an assignment of an installment contract, is the seller aware of what you are doing?
yes, the seller is very aware. I'm working with a local real estate lawyer that does this a lot and using all of his disclosure forms and such to keep everyone totally in the loop.
My question is more "how do you find the end buyer"? I'm fairly confident I will have the house under contract by tomorrow, and am looking for what y'all have done to get buyers in there quickly?
Other than calling known buyers, there is nothing that will get people knocking in one day, could happen, but geeez, one day? FSBO magazines, newspaper, signs, direct mail to foreclosed on owners, renters, all within the scope of marketing, mortgage brokers may have leads of those near misses too. Good luck
haha, by no means did I mean I would have it sold by tomorrow, I meant I would have the sub2 contract signed tonight or tomorrow with a 30 day option period to allow me to find an end buyer. I may be delusional...but not THAT delusional :-p
Grant, if the house is vacant and liveable, I generally find that a sign in the yard which says "House for Sale....Owner Financed" plus a few more at the entrances to the neighborhood, is sufficient to get my phone ringing off the hook.
Does the local Real Estate Lawyer happen to be Scott Horne? Using his docs and title company, he used to give access to his buyer's list also.
If the house is tenant occupied and you're looking for an investor, all the usual avenues apply.....
actually yes, it is Scott. I spoke with him earlier and he will be marketing this to his buyers to see if someone is interested. I'm learning a ton and enjoying the ride.
P.S. I got the house under contract tonight, so now we move to getting someone in the house. Should hopefully be the easy part, it's in great condition and very livable.
I would try to check out the local real estate clubs and there may be investors who are looking for that type of deal.
I would've been all for it but unfortunately I don't think I am in your local market.
Forget the real estate clubs - most of these members will be bottom fishers and you will not get a good return on your investment. Best methods I have used was sign in the window (for mobile homes) and word of mouth advertising. Tell everyone you meet everywhere you go that you have a home for sale with reasonable terms. Cheap advertising or marketing, but does still work. If a techno-geek, you can always put it out on numerous sites on the internet - craigslist, BP properties, FSBO sites, etc. Some of the big real estate gurus like Robert Kiyosaki & Ron LeGrand are advertising on facebook and sending it out through the "social media".
Good Luck on your adventure.
Looks like we got our buyer and will close on wednesday. Scott brought me this buyer through his marketing chanels (a THREE DAY TURNAROUND?!?! This I could get used to!)
I'm still interested to know what people's most successful marketing strategies are. I always love learning stuff like that.
i know it's an old post but can someone please tell me what the OP means by
"I am close to getting a house under contract sub2 and will be going out and trying to sell it in a wrap around financing situation."
so he planed to assume the original mortgage and then seller finance, cash flowing the difference?
Post ads relating to your services in free ad sites like craigslist. Word to mouth campaigns also works well.
Hello @Grant Kemp , I just listen to podcast 70...twice. Awesome stuff. I know this post is 5 years old, but I was wondering, now that you have lots of experience in subject to, how are you marketing the properties, would it make a difference in an area more rural?
Do you list the details of Financing or just simply state the owner Financing availability? I have a property I own that I intent to sell this way and was wondering most effective way to do it.
Thanks in advance.
I'm glad you loved the podcast!!
I personally stay in non rural areas because I want to have the biggest pool of available buyers that have 10% as a down payment. i find as you get more rural people want to give you 5% or less.
As far as marketing, sub2 homes are in the same marketing lists as all of your other houses. The only thing is that you may want to cater to low to no equity deals since that something that is uniquely subject to.
And when marketing you need to be aware of the TILA "trigger terms" which at it's core means just stay away from putting terms on advertising. You can say something like "low down payments" but you can't put any numbers or you have to disclose a bunch more stuff.