Rental Property Investor · Mesa, AZ · Member since 2015 · 143 posts · 187 votes
Yesterday I closed on my 8th rental unit. Its a 900 ft 2/1 that I bought for 54k, it's probably worth 70k as is. Terms were 5k down, and $450 principal-only payments till its paid off, so a little over 9 years. The first payment is due in October. It will rent for $800 a month and will require another $1500 to get it rent ready. The seller has put on a new roof, water heater, and water pipes the last few years so hopefully there won't be any major cap-ex.
I found this deal by putting an "I buy houses" post on the Facebook social network page of the small town I invest it, didn't cost me a cent. The owner had been renting it out to one deadbeat after another and was exhausted. I met him in person and I offered principal-only payments and he said he was okay with it, he was just tired of dealing with tenants.
Congrats!! After 2 years or so of making on time payments offer the seller a ballon payment less then the current amount owed to settle the debt! I have a buddy who bought a vacation home on seller financing then 2 years after paying offered to settle the debt and saved 60k on the purchase!
@Nolan M. Outstanding. I hold out hope for owner financing, and it makes perfect sense. Just have to convince the sellers. Sounds like your seller didn't need convincing. He saw being a note holder was much better than being a landlord.
Congrats!! After 2 years or so of making on time payments offer the seller a ballon payment less then the current amount owed to settle the debt! I have a buddy who bought a vacation home on seller financing then 2 years after paying offered to settle the debt and saved 60k on the purchase!
Dang! I don't suppose the seller has any OTHER properties he wants to get rid of? I've dealt with deadbeat, & I have friends-of-friends in the area I could probably stay with while rehabbing...