All Forum Posts by: George Smith

Thank you for responding. I was looking to start marketing and finding sellers who may not have enough equity in their properties. I was trying to find out if there were any restrictions on the types of structuring I could do.

I wasn't planning on offering rent credits but knew of it as a tool that could be used if another part of the deal would benefit me greater by using it.

There was no deal with specific #'s. It was more so of a question about how banks would treat rent credits which joe helped clear up by saying...don't do it ever....lol.

I appreciate you're responses.

Good afternoon,

Is anyone currently doing rent to own? I've got a question on the difference between what you pay the seller in rent and what you collect from the tenant buyer. I inquired with another investor in the area and he said that the bank does not see the rent credit(additional rent paid over market value) as part of the down payment when the tenant buyer goes to finance. I'm assuming this wouldn't apply to anything provided that there is no rent credit offered and I'm collecting the difference between the rental amounts? Has anyone dealt with this?

He told me that it was recommended to him to structure it with a land contract which involves him borrowing private money and then refinancing.

Ive been doing quite a bit of research on Rent to Own lately. Ive reached out to a few people..one who is a local flipper and RE agent. The other is someone who sells training. The flipper said that with rates being so low and a hot market that there really isnt too many opportunities. The guy sells training told me that "anytime is a good time" which isnt surprising considering his agenda. 

It would make send that a downturn would be beneficial for this method but im curious with the success of other investors using Rent To Own through different parts of the cycle.

Id be grateful for someones opinion on this.

Thank you

@Wade Kulesa

Can you imagine how long it would take to buy quality rentals without using leverage? He's great for getting out of debt but real estate is not his forte.

Good morning,

Im looking to purchase another property in the Fall. The calculator on BP for analysis is great but Im looking for a spreadsheet to track expenses and project profit in real time. For the last flip I used the spreadsheet from Houseflippingspreadsheet.com which I did think was good for a flip but Im curious of what other people are using(moreso for BRRRR). Im also not sure how good their BRRRR calculator is.

Any recommendations?

Thank you.

Between Zillow and Facebook...I get a ton of leads. I then use Cozy for screening and rent collection. Its worked well.

I would also ask to see deposit history to make sure that they have been paying. If they havent in some time and they are on a month to month, I might request those tenants to be removed prior to the purchase.

Thank you all for the advice. I greatly appreciate it.

I am looking to purchase another rental and want to make sure I know where I stand with my refinance options after I rehab and rent it out from an initial cash purchase. 

There are the following questions I plan on asking banks. Am I missing anything? 

Rate?

Min ltv?

% of rental income used in calculation?

Season requirements?

Is the refinanced based on appraised amount? 

Closing costs? 

I agree with Erik. This is why I will only buy properties In B/B- neighborhoods. I need to be able to fully screen them based on pre determined criteria. Not saying it will absolutely solve the problem but it has greatly reduced my risk regarding these situations.