All Forum Posts by: Account Closed

Scotty,

I would do a walk through and if there are items the need to be done that would affect getting their deposit or part of their deposit back, you could let them know if they help you with a renter by them showing the home you will give them their entire deposit back.

If you have a good relationship with the current tenant you may not have to make that offer, speak to them and see where you are at.

How long do you plan on keeping the rental property? Do you have an exit strategy? If so how much profit do you want to make on the home?

As an investor I look at the big picture to decide my next course of action.

Marv Rousselow

William,

if your goal is to buy an investment property there are other ways to acquire investment properties and get a much better rate with a lot less money out of pocket, if you are buying an owner occupied home and your debt to income ratio is too high currently there are creative ways to acquire a home with a good rate with very little down while you work to get your debt ratio down.

there are several other questions to be answered to help you achieve your goal.

Marv Rousselow

Cristian,

Sounds like a great deal for a home for those who serve our communities, investing in real estate can be done without seller financing and without transferring title. Also you can make immediate profit, monthly income and future income. Once you learn the best way to invest make sure you seek legal advice to make sure it will not cause a problem with your loan.

If they state you cannot own a property what is there definition of ownership?

Let me know if I can help...

Marv Rousselow

Jeremy,

Based on my experience I would not buy a duplex, If I was going to buy a multi-unit building I would buy a four-plex because if there is a vacancy you can still cover your costs and possibly make a profit.

Also a two bedroom/one bath limits your prospects for the property, I would do no less than a three bedroom, two bath to better my chances of getting a tenant faster and a three bedroom traditionally will keep a tenant for a longer term.

In this market I focus on single family homes because I can get a great price and make a nice profit every month, but remember location, location, location.

Which means location, population and jobs, you buy real estate in those areas and you will always find success.

Now what about the creative financing to spend less out of pocket up front and get more rent every month...

Marv Rousselow

Bruce,

Good news...I would recommend doing a lease with the option to buy on the home for up to three years, you will get more money for rent and because the tenant/buyer in their mind is buying the home at the end of the term they will take better care of the home and you can ask them to take care of all of the maintenance and repairs which will take you out of the landlord role.

Also a home warranty can be purchased form American Home Shield monthly and it can be added to the tenant/buyers payment and they pay the deductible so if the A/C goes out it is covered as well as many other major and minor items in the home.

Call me any time.

Marv Rousselow

Brian,

Remember this...Buy something that appreciates and lease something that depreciates. You buy a home because goes up in value and you lease a car because it goes down in value.

The benefits to leasing a new car versus buying a new is car is there is much less risk because as soon as you drive it off the lot it goes down in value, also there is less money out of pocket and a lower monthly payment on a lease.

When you lease a car the bank guarantees the value of the car at the end of the term so if the car has equity at the end of the term you can pay it off and keep it, you can sell it and pocket the profit but if the car is worth less at the end of the lease, many lenders will negotiate the price with you and if you can't get the price you want you can turn it in at the dealership and walk away.

If you are going to buy a car buy a used car so you are not paying all of the depreciation, usually a car that is a year or two old can be purchased for much less than a new car.

Remember to be successful action is the key...

Marv Rousselow

Hart,

Don't waste your money on buying leads, there are plenty of homes available in your market. The best way to contact owners is by emails using Craigslist, Backpage, Trulia etc...

Focus on emailing owners who have homes listed and focus on For Rent by Owner, dealing with owners who want to sell is way to much work and they want too much per month. For Rent by Owners usually will have the monthly payment listed and a competitive rate.

Action is the key...

Marv Rousselow

The term you are looking for is the sandwich lease option, it will allow you to do a contract with a seller and a separate contact with a buyer. State in the contract that your contract does not begin till you have a buyer in place which will help you avoid cash out of pocket.

We are investors to make a profit it is best to disclose everything if asked, if you have a contract with a seller the buyer cannot surpass you to get to the seller. If someone is unhappy that you are going to make a profit move on to the next buyer.

The buyer doing a lease option will probably have credit problems so let them know the benefits of doing the lease option and the price they are paying will not be till the end of the contract period.

Realtors and loan officers are the best source to find buyers and sellers, I don't want the buyers that qualify for traditional financing or the sellers who have equity and are not in a hurry to sell.

I only want to help the buyers and sellers the realtors and loan officers are going to throw away.

I have them refer the clients to me they cannot help which gives me a referral endorsed by someone they have begun to trust and instead of telling them sorry can't help you they get to be the hero and have another option to offer to help them.

I pay the agents 25% referral fee of the monies received from the buyer so the seller does not have to worry about paying any commissions and they don't have to worry about closing costs because they will be paid by the end buyer.

the easiest way to get referrals is to make it a benefit to the referrer and a benefit for the one who is referred.

Remember when it is a win-win-win success is inevitable.