I have a client who we have recently preapproved and is looking to purchase a duplex for an investment and some cash flow to come in.
I did the rental surveys on a couple properties and compared it to the monthly payments but the loan payments are higher than both rental units for the duplex combined so there is no positive cash flow.
Were doing an interest only loan. What do i do or say so that my client gives an approval to go forward..He's looking for positive cash flow and the only thing i can think of is the tax deductions...
maybe it's not what you meant, but it sounds like you know it's not a good deal, and you're still looking for a way to convince your client to go through with it. that's pretty ******. man up, tell him it's a bad deal, and maybe you'll earn a lifelong business relationship. if you talk him into a bad deal, that'll be the only deal you close with him. it's not worth selling your soul for a little commission check. everyone's for sell. what are you charging?
If you are looking at the tax advantages angle, contact an accountant that specializes in invetsment property. THey can give you a list of all of the items in a house that are deductible.
If you truly have this client’s best interest in mind you would tell them to pass on this deal and keep looking. You will not last long in this business if you try to make the client fit the deal instead of looking for the deal that fits the client.