Creative Financing to Jumpstart Multi-Fam REI

[Travis Smith]

Hey BP,

I am a new REI looking to get started but have been unable to due to my first purchase of an amazing condo, which I love, but is currently keeping me from being able to pursue any additional investments. I have looked into getting qualified for something else and have been approved for enough, however feel like I would be stretching myself at that point if I dove in. I was looking to sell my mother my condo which I purchased at $112k, and recently put in around $8k worth of rehab in with paint and flooring. I was looking to sell it to my mother for $135k and have her claim it as her residence and myself and my girlfriend would then simply rent it from her while living there as she mostly stays with her boyfriend. My mother does not have great credit, I believe she is near the 550-600 range. I have recently taken out a loan in order to address that issue to allow her to qualify for a loan to purchase the property at $135k, through a for sale by owner process. However I had listened to a BP podcast discussing doing for sale by owner deals and using the promissory note from the buyer to sell to a bank and get money for the note. I had been interested in using the strategy as it would allow us to make the note without her being qualified for the FHA or conventional loan and instead do everything in house in-sorts. The goal would be to allow me to move the title of the property into her name so she would receive the benefits and advantages of being a homeowner and allowing myself to move into the multi-family space while allowing me to also enjoy the condo. Would anyone have any idea of how someone goes about this process. I understand that the I would have to go to a real estate attorney and an accountant. However I am wondering if this is something that is even doable or pipe dreams. Any information is much appreciated.