What would you do if this was you?

[Yaamu Camara]

Hello Everyone i need help or ideas/opinions

I have 4 rental properties under my belt, am lookinng to get into multi family properties/deals. So i saw a 6unit deal for $145,000 in a low income area, Which is mostly the where i invest in.

It is a for sale by owner so i called the owner and pitched him the idea if he would be willing to eliminate the bank ( mind you i have the option of the bank as well) And work with me directly.

The property needs some work about $10-20k to bring it to rent ready. he said he is open to hearing what time of financing options i can bring to the table and we can take it from there.

What financing strategy options would you do or suggest if this was you? Or would you just get a loan from the bank? Any idea is welcome

Thank you inadvance.

[Brent Coombs]

@Yaamu Camara, asking if "he would be willing to eliminate the bank" suggests (to him) that you aren't qualified to get a loan from a bank yourself - even though you're telling us that you are.  Did you have any pressing reason to want him to Seller-finance?

If a high deposit is a problem, your pitch needs to show that your monthly repayments to him would be at least what he is netting now (ie. ask for his income / expenditure records for prior years), and remind him that he would be free of Tenant maintenance requests / non-payment issues going forward. And, if you renege, he gets his property back.

The Interest Rate you're prepared to pay should be better than he can get from a Bank.

Note: If you can get Bank approval, you're in a better position to get a "cash" discount.

Seller-financed, you're unlikely to succeed in pushing for a lower selling price.  Good luck...