If I have no desire to be a landlord at this time, what are some exit strategy options If I get a good deal on a house but it’s occupied by a good tenant on an active lease? I can think of the following:
Wholesale to a landlord
Have the seller to get their tenant to agree to vacate amicably before I buy
That’s about all I can think of. I’ve been getting a ton of landlords with good tenants calling me lately…I don’t want a prepackaged deal with a tenant who I haven’t screened, I want a vacant house lol.
But is there another way for me to make a buck on these deals other than wholesaling them to landlords?
Example, got a lead today where the guy owns a free & clear semi detached row house in very good condition that’s tenant occ. ARV around $160k, he doesn’t know what he’ll take for it but he will hold the note. Tenant’s paying $1200.
I know exactly how I’d structure this if it was vacant when I bought it…seller financing with as little down as possible, then sell it on a wrap or lease purchase. But the tenant being in there just throws off all my exit strategies here. What do I do with this, what exit strategies am I missing?
we very rarely do fancy creative financing wrap around seller finance blah blah deals. every now and then they make sense but at the end of the day, it is all about the straight forward numbers. a house at 160k that rents for 1200 per month is not a deal in my book. if it rents for 1200 per month i might be as high as 85k all in on the house. as far as the way to buy or sell it if you dont want to have a tenant in it. just make the contract say “delivered vacant” and let the owner know that you wont buy until the tenant is out. you can always wholesale it, but those numbers don’t sound attractive and usually it is harder to wholesale it with a tenant in the house.
I also have to say - why not do some landlording? Its not that hard if you get some knowledge and experience on the subject. Its like anything else in life - its not easy at first - but the more you do it the easier it gets. I had some real shi#hole experiences in the beginning … but now I have a system down in place today that works really well. I would not give up at it if I were you