Finding Owner Financing

[Shannon Beahler]

Subject: Seeking Advice on Finding Owner-Financed Real Estate Deals in Denver

Hello Bigger Pockets Community,

I hope this message finds you all well. I'm currently on a quest to explore owner-financed real estate deals in the Denver area and would greatly appreciate your insights and advice on how to navigate this market effectively.

Denver's real estate scene is known for its competitiveness, and I believe owner financing could open up some exciting opportunities. However, I'm relatively new to this strategy and could use some guidance.

Specifically, I'd like to know:

1. **Where should I begin my search?** Are there specific neighborhoods or areas in Denver where owner-financed deals are more prevalent or accessible?

2. **What strategies can I employ to identify motivated sellers?** I understand that owner-financed deals often come from sellers who are looking for alternative selling methods. How can I locate these individuals?

3. **What key terms and negotiation tactics should I be aware of when dealing with owner financing?** It's crucial to understand the intricacies of owner financing agreements to protect my interests.

4. **Are there any legal or regulatory aspects unique to Denver that I should be aware of when pursuing owner-financed deals?** Staying compliant is essential.

5. **What resources, such as local real estate groups or online platforms, would you recommend for networking and information gathering in the Denver real estate community?

I'm eager to learn from your experiences and insights. Your guidance will be invaluable as I embark on this journey to find owner-financed deals in Denver.

Thank you in advance for your time and expertise. I look forward to your responses and any additional tips you can provide.

Best regards,

Shannon

[Dan Guenther]

Hey @Shannon Beahler - welcome to the community! 

There is a lot to unpack here! I'll send you a message and we can talk through in more specifics. 

1) Creative finance deals are going to be property-by-property specific, not necessarily neighborhood-specific. That being said though the majority of creative finance deals involve some sort of distress. Finding distressed properties is a great starting point (driving for dollars). 

2) Drive for dollars aka looking for physically distressed properties and then skip tracing those owners. I'll share some free ways to do this if you decide to reach out. Other options - buying lists on sites like PropStream, Deal Machine, Invelo (free version for BP pro members) etc. and then cold calling, door knocking, direct mailing those houses. 

3) This is where your education phase is going to be really important. Networking with other investors that are already doing creative deals will be really helpful. Also, you'll want to make sure to have a relationship with a real estate attorney who is familiar with these types of transactions. 

4) To my knowledge there aren't any specific regulatory/legal aspects for Denver. A big part of this side of investing is the ethical side. Making sure you are genuinely trying to help sellers in these transactions vs just getting a good deal without thinking of future repercussions to sellers is key. Again, this is where knowledge of the transaction is crucial along with making sure all contracts are legally sound.

5) If you haven't already checked out the Pace Morby YouTube page, this is the holy grail of creative finance education. Check out the Meetup app and Facebook Groups for meetups (there is one specific Creative Finance Meetup that I attend in the Denver area). 

This post could have been a novel but I hope this helps you and others out on some of the basics. Sending you a connection request now :)