All Forum Posts by: Chris McDaniel

I have a deal on the line that is perfect for a subject 2 deal. The seller is patient and is willing for me to figure this thing out, but it feels like there are to many moving pieces? I have the ability to purchase the house for cash, but I don't want all my cash tied up for a long time in this deal. There is not a lot of equity in the deal but there is good cash flow. I am looking for someone to help me with my first subject to transaction, anyone?

Any tips on how I can present the subject to option to the seller, so he can see its a win-win scenario? Sorry for all the questions, first deal like this. 

@Account Closed how would i set up a subject to deal? Can you direct me to any resources to help guide me through this deal? One good thing I have going for me is the seller is willing to give me some time since there is a tenant in the property now. 

Any help would be much appreciated!

@Jon Holdman I honestly don't know, this is the first time I've came across this. The seller mentioned it was an assumable loan, but you are probably right, how would I find out for sure?

@Guy Gimenez I'm sure the seller would be willing to do that, there is a tenant in the house right now and the seller is trying to manage it from Maine. He just wants his headache gone, what do you mean by seasoning issues? 

The house only has an ARV of around 105K, loan balance 75k and 15k in needed rehab, but it's a pretty good cash flow area. I'm trying to decided if it's something I want to move forward on. Thoughts? And thanks for the help!

Hello all! I have a potential deal and the numbers seem to work out ok, its not a screaming home run deal, but its a great buy and hold deal for the cash flow. So my question is this: the owner has an assumable FHA loan at 6.25%, would it be best for me to try and assume that loan? What are the advantages of assuming a loan? The loan balance around $75K and the seller just wants out of the loan, it needs about 15K in rehab. The cash flow will be around $600/month and its on the same street as one of my other rentals. I am refinancing some other rentals right now at 4.75%. So would it be better to pay cash for the house, rehab then refi or to try to assume the loan? If assuming the loan is the best way to go, how do i write up a contract for that? Thanks!

@Joshua Chen There is a local "business" about 30 minutes from where I live. On that property they have a used car lot, RV spaces with about 50-60 RV's rented out, a bar, a dollar store and an auto repair and salvage yard and small storage unit. Its pretty much the most recession proof piece of property I know of, LOL. But maybe a small storage unit would be a good idea for a multifamily complex.

Blessed is the one who finds wisdom, and the one who gets understanding, for the gain from her is better than gain from silver and her profit better than gold. 

@Cordell M. How do you stage your open houses for tenants? I was thinking about maybe just a card table in the kitchen with a few chairs so prospective tenants can fill out their lease applications.

@Cathy Wells My cousin is a philosophy professor at UNT in Denton. I like that area.

@Cathy Wells One thing all real estate investors have in common is bad contractors. We all have horror stories about contractors. If you figure out the magic formula for finding and keeping good people, you let us all know, OK. I'm dealing with this problem right now! I have a contractor that was highly recommended by a good friend of mine, that turned out to be terrible, but I'm half way through my rehab so I am trying to wait it out to the end and never use him again. Grrrrr.