I have done a little bit of this. I picked an area of town i was interested in with the zip code and i bought direct mail leads for the area. If i recall i went with homes bought 10+ years ago ( so they had some equity), and went from there. I sent out 1000 and got about 6 or so responses.
There are sellers out there that will do seller financing as long as you live in the home, have 20% cash down, good credit, verified income. What state and city are you looking in?
A large percentage of sellers will agree to finance their properties with 10% down if you give them their price.
Many sellers will accept the down payment over time, too. Others will give you great interest rates. It’s a matter of asking, and negotiations. It’s also matter of finding out what the seller is trying to accomplish by selling the house in the first place.
If the seller has little, or no equity, I can often negotiate very little down, if not just a few hundred dollars.
If you want a house to live in, can afford the payments, prove you’re a reliable, honest, stable person, and the seller needs to move without taking a loss, or settle for a short sale, you can negotiate no down deals repeatedly.
I know one investor who regularly gets cash from sellers in return for taking over upside down loans. He flips upside down deals to buyers with a few thousand in cash and finances them long term. These deals are all over the place. One thing that’s the real kicker here is that the resale price can be anything you want, as long as the payment is marketable. If you don’t need a short fuse, you can build up quite a lot of equity for the long haul …and it looks fantastic on your financial statement all the while your note remains intact.
If the loan payment is fixed with no balloon, and you can move in for the cost of recording fees, and can afford the payments, you’ll have screaming terms deal for yourself and not have to show the liability on your credit. Yay!
Something to consider… Don’t come with your hands out. Take the position that you’re solving the seller’s problem, not that your wanting some sort of favor out him. The latter will have you negotiating on your heels. You’re there to solve the seller’s problems, otherwise, you don’t care what happens. (Don’t let your wife fall in love in the house, or you’re screwed!!!) :banghead
Javipa, hi, i am very interested in meeting this investor.
i am having problems lining up a home for myself,going though credit restoration,and i lost a sale because the buyers that said they were buyers, really were not prepared to purchase anything.Thanks in advance :beer :beer