In Mr Sheets Course there is a curious thing Called the Assignment and Assumption Contract. . . can I get someone that would help me make a decision as to preferring these types of Property other than having to search a needle - in - a Haystack for Financing*. . . Can I keep the Property and re-finance in less than two Years can I make an Amends to the Addendum to include that The Seller suggest a Financing House or can we ask that the Seller include a Full Service Escrow that also has their own In-House Rules and is ; would be willing to underwrite their Own Loans*. . . ???
Any returns and suggestions helpful
I would also like to hear from others that have bought Property using Deeply Discounted Bonds inside the Escrow and how can I word the Addendum to have a Simultaneous Close that would include inviting the Broker House to use the Buyers " financing money from a Pledge letter " to buy the Bonds ? Do I use all the funds and THEN Create a Note and turn around and make a sale in Secondary Market to Sell The Note for Cash with some remainder cash left - over to be show paid to the Buyer to be used for their Managment : strictly : and rennovations to the property or use it as a Payroll ( IRR ) for maintaining the Property on a Faithful basis*?
Wow. This all seems unnecessarily complicated and complex. This is beyond anything I have ever personally done.
What are your goals? Are you trying to buy rental property?
I believe you are going to have a hard time convincing a seller to use any exotic financing if you are not totally comfortable and familiar with it yourself.
If it were me, I would NOT invest in anything that has to be re-financed in two years. Who knows where we will be in two years? Refinancing deadlines have sunk many real estate ships recently, when no loans were available, and prices were crashing.
The easiest way to buy property remains: Buy directly from an owner who has a “don’t want it anymore” property. Buy a property that is free and clear and make payments to that owner. This is where the 3rd party, middleman escrow account comes in. Take that vacant or loser property off the guy’s hands and do something with it.
You can find property like that by reading the want ads and small weekly papers. Ask around. If you have a few thousand to give the seller as a downpayment that makes it much more feasible.
Agreed. Dont get hung up on all that creative this that and the other. It isnt worth it. The name of the game is to get the property at the right price no matter what the exit strat is. BUY LOW
How old is the material you are reading? The techniques you are asking about were widely touted by the gurus back in the early 80s.
I remember Richard Powellson promoting discounted bonds back in 1985 but he disappeared from the scene pretty quickly. Non-qualifying Loan Assumption was popular and even viable back in the 80s, but since 1989, nearly all real estate mortgages have a borrower qualification hurdle for loan assumption which has effectively rendered this technique useless in today’s market.
Sheets does have good material rfor the novice real estate investor, and, he updates his material every couple of years or so to stay current with what works in the marketplace. If you are going to use Sheets as your bible, suggest you purchase his more recent course