OPTION 1: OPTION 2: When Seller Uses RE Agent & You're Using Property For a Rental When Buying Subject To & Selling to Tenant Buyer Pro: Doesn't require specialized knowledge Pro: Little competition "Adequate" cash flow - Nothing Exciting Can be little $ down You get appreciation if property goes up Can do Unlimited number Can Get Started Much Sooner Get down payment (Cash $$) back immediately Great Cash Flow No Bank Approval Needed No Maintenance or Repairs Con: Have To Have $45,000 Cash for Down Payment Con: Have To Have $15,000 Cash For Reserves (just in Case) Have To Have $15,000 Cash for Closing & Carrying Costs Due on Sale Clause Have to Get Bank Approval Must learn the technique Can only do 4 -10 properties depending on bank Competing with everyone else Requires 20% Down & other requirements If AC breaks - you fix it If roof needs replacing - you pay for it If toilet clogs - it's on you If house gets trashed - you un-trash it You take loss if property goes down in Value Tenant Can Trash The House When Seller Uses RE Agent & Using Property For a Rental When Buying Subject To & Selling to Tenant Buyer Asking Price MLS $225,000 $225,000 Balanced Owed $223,969 $223,969 RE Agent 6% $13,500 $0 No Agent Involved Seller Brings to Closing ($12,469) $0 So No fees Asking Above ARV $0 $0 Seller Walking Money $0 $0 Sometimes Walking Money If I Use ConventionalFinancing If I UseSubject To Asking Price MLS $225,000 $225,000 Amount Down - 20% $45,000 $100 (I Give $100 Down) New Loan Amount $180,000 $223,969 I Take Over Loan Title Report $600 $600 Closing Costs $1,250 $1,250 Monthly Payment $1,151 $1,225 I Take Over Existing Payment When you are new, looking for lenders & considering Fix & Flip, BRRRR, or rental, as a buyer, I’d ask the owner/seller to be one of my private lenders with creative financing.

I worked for those markets as a lender and owner for 20 years and know it by street.I have contacts there if you want to send me a PM I will make a few referrals. if the houses are trashed your not going to get a lot for them if they are rented and stable might get close to the zillow values you posted. 

Are there any recommended platforms for collecting rents online?

I would really prefer a section 8 tenant that is employed with little to no debt (that is in collections).

With these systems we find who tossed the trash out and tell them they have by the end of day to pick it up or I charge them $100.We have other motion sensors that wake me up at night.

I had S8 a tenant leave couches/tables, trash, pots/pans and a ton of trash behind, but once I sent that email with the case manager, it got removed that day, no problems.  

Returning to the 15% cap rate, your monthly collected rent will have to be more than 2% of your as-complete property cost.

Another option is buy a super cheap trash house for cash and fix it up and sell it.

Every month I am texting 4 or 5 tenants to remind them to pay rent or trying to collect rent fees.

Hi Jordan, How trashed is "trashed"?