All Forum Posts by: Lance Mundo

Sorry about the typo. I meant to type wholesaler instead of HML.

Working with a HML requiring a non-refundable earnest money deposit…

What due diligence do you perform before sending that deposit to minimize risk?

For me so far: my own research for rents, comps and rehab budget

What am I missing that you would add in this preliminary analysis?

Hello,

I’m looking to be connected with local wholesalers in the Ft. Mayers area. 

If a seller is offering monetary concessions to close a deal, is it better to get a reduced purchase price, or apply those concessions toward cash to close? 

I'm preparing to make an offer on a home that is currently under mortgage by the owner. He is selling FSBO. My idea was to get creative with the financing, and offer him several options for the deal. I'm pre-approved for a DSCR and conventional loan. This is an income producing STR/vacation home.

My ideas for options are:

1. DSCR with seller carry back of the down payment, at 5% for 25 years, with an option on my part to pay in full after one year.

2. Taking over the loan subject-to, and paying his equity stake as a seller financing at current market rates.

Would anyone have an example letter of intent/contract for something like this that they would willing to share?

Is there a different option that I could offer that would include giving him full asking price, but in creative terms?

How is the market for obtaining STR and flood insurance in the FL Panhandle now? Prices gone up? Policies being canceled?

@Michael Plaks Thank you, all of that make sense. 

@Chris Davidson Thank you. That's the kind of input I was looking to learn from. No unicorn hunting here...I will review and adjust the criteria...and do some more thinking about it. 

 Thanks John.