All Forum Posts by: Tyler J.
Tyler J. has started 25 posts and replied 46 times.
Post: Talking directly to seller about creative financing or agent?
- Posts 46
- Votes 7
So this duplex I want is for sale. The person selling is the realtor and the owner.
Checking they have about 118,000 on their loan left. They are asking 515,000 but I am certain they are going to get offers over that.
I can not afford much over 515,000 with a bank loan. How would I go about asking the seller about creative financing? I was hoping to get a bank loan for let's say 200,000 and pay off their loan, give them a down payment, and then seller finance the rest. Would this be reasonable if the numbers work? If so, should I ask my realtor about it and have them pass on the info? Should I call or email the seller?
I'm not sure how to go about this with contacting the owner.
Thanks all
Post: How do I know when to "Pull the Trigger" on a rental property?
- Posts 46
- Votes 7
Quote from @Nathan Gesner:
There are dozens of blogs on BiggerPockets that discuss this. Search for "analyze deals" or "calculate cash flow" and you'll find plenty.
you can also go to the bigger pockets YouTube channel and look at their video channels. One of the channels includes many videos of Brandon showing you how to analyze properties step by step using real world properties.
the third option is to read books. There are several books on the basics of how to invest in real estate and they teach you the math. Create a simple spreadsheet and you'll be off to the races.
Do you have any book recommendations on the math and analysis or real estate?
Thank you again!
Post: How do I know when to "Pull the Trigger" on a rental property?
- Posts 46
- Votes 7
Quote from @Alex Ramirez:
@Tyler J. that’s called analysis paralysis. You just need to overcome your fear and make it happen. Make sure the numbers make sense. I won’t be a bad idea to run your numbers by someone that has experience already. My first deal was a mess and I lost money but I don’t see it as a loss…. You either win or learn. Best of luck to you!
what numbers should I look for when analyzing?
Post: How do I know when to "Pull the Trigger" on a rental property?
- Posts 46
- Votes 7
Quote from @John Underwood:
Run the numbers and let them decide, not your emotions.
Thanks John, thats definitely what Im trying to do. What numbers do you look for to decide if a property makes sense?
Do you have any recommendations on how I can best analyze a property, market, or location?
Thanks again!
Post: How do I know when to "Pull the Trigger" on a rental property?
- Posts 46
- Votes 7
I feel I have found plenty of incredible properties, but I get so worried Im missing something. I want to go ahead with the deal but I worry something may be wrong, etc.
How can I be confident I am making a correct decision?
I have yet to purchase any rental properties, moreover out of my state, only personal local real-estate
I just learned about assumable mortgages - how are they different from Subject to?
Post: What is the process during seller finance?
- Posts 46
- Votes 7
Quote from @Chris Seveney:
@Tyler J.
I recommend you select the title company and find one who will create the docs. But yes that is the steps
What state is it in?
Hey Chris,
I’d be aiming for Colorado, at least for now.
Thank you!
Post: What is the process during seller finance?
- Posts 46
- Votes 7
Quote from @Chris Seveney:
@Tyler J.
This is no different than any other type of real estate closing. The only difference is the lending is not from an institution but from the seller. So the title company should also draft up the note and mortgage/deed of trust.
That’s really the only difference Assuming all the terms or agreed to
Post: What is the process during seller finance?
- Posts 46
- Votes 7
Quote from @Tim Herman:
@Tyler J. You have to get the terms down in a legally binding purchase agreement. Once it is written down and valuable consideration( usually money ) is exchanged you have a valid contract you can take to a title company or attorney for closing.
Thank you Tim! Would I contact an attorney for a purchase agreement too? Or would I download one somewhere?
Post: What is the process during seller finance?
- Posts 46
- Votes 7
I understand how seller financing works, but unsure what the next step after you and the seller verbally agree to doing seller financing. What is the next step/steps until closing on the property?