Yesterday i sold my rehab house for $35,000. We agreed that he would put $12,500 down and pay $375 over 5 years. Pretty much going at a 0% interest rate (Which i wouldnt do but the size of the down is good). My question is, how do i work up a contract? Do i need to get a lawyer? Should i buy my own insurance to cover the house to damage in case they cancel insurance? How do i pay taxes on this? I bought the house for $9,000 and put $5,500 in it. It is all financed on my credit card, so there is no existing lean or mortgage on it. So after the down payment i will have about $2,000-$2,500 to cover the investment and then all profit after that. Should i start a corporation or LLC to do this? I have 1 rental house right now and plan on doing more. But if somebody could get me some info on how to work up this contract, it would be greatly appreciated.
hello! I’m 29 and am very interested in investing into real estate in 08’ now that the market is crumbling before my eyes here. I live in loudoun county and definitly only want to invest in ashburn particularly because most of the houses are new after 2000 and the communities are nice and well kept. I’m not interested in quick financing skeams, i’m more of the buy and hold investor. I’m planning on putting about a $100K cash down on a large town house in the area since I see so many going into short sale, and plan on renting it and staying cash flow posotive.
anyone else in this forum rent houses in loudoun? I’m curious to see what the rental market looks like, I’m already planning on putting fake ads in the washington post to see how many hits I get. My ideal rental property would bea 2700-3400+ squarefoot 2 car garage town house built 2004 or later, I’m hoping to rent this for about $2250 (not sure of the hoa fee depends how much this is) does this seem reasonable?
Also for these particular town houses I’m seeing listed for about $390,000, if i offer about $340-$350K would this be extremely low? I really want to get a great deall, put a large sum of money down and rent it out.
Don’t know what state you are in, but in mine and most all you need to do is draw up a purchase contract citing the terms you agree to, and the title co. will take over from there.
What you will do is go to a title co. to handle the transaction. They will take care of everything for you. Give you a purchase contract, draw up the note, and handle everything in the closing with the blessings of their in-house attorney.
You own the property free and clear since your credit card balance is not a lien. Take the proceeds, pay off the cards, then pay off the CC balance. Spend the $375/mo from then on, or if you are wise – plow that back into more RE investments.
I am looking at my first deal. It appears you are also from Texas. As a new investor, I am confused on what options are legal in Texas. I am looking for properties to flip for quick cash. What would be the best way to purchase a home with an exsisting mortgage to resell. Can I do a Subject2 in Texas and find a buyer to purchase with new loan? Can I wholesale to another investor by assigning the contract? If so, how exactly should this be done.