Creative Real Estate Financing
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated 6 months ago,
What is the best way to meet land investors for creative financing land deals?
Hello,
My wife and I are looking to acquire the 22 acres of land that just went up for sale next door to our five acre Jiu-Jitsu event center. This would give us 27 acres total and allow us to achieve the full scope of the property and do amazing live events here in the Ozarks. Whenever we aren’t doing events, the plan is to run it as a campground on Hipcamp. We did Airbnb on the five acre property before it was a Jiu-Jitsu center and it did well enough to cover the mortgage and utilities on our property. We are thinking that a Hipcamp would do very well because there aren't any good ones locally and we've already had success with short term rentals.
The land is $125,000 and we don't have the financial ability to purchase it or do a down payment right now. For this reason, we are pursuing creative financing. The best case deal for us would be to find an investor who is willing to buy the land and do a 10-year (or longer) rent-to-own agreement with us that includes them getting proceeds from the campground and event center and making a great profit over time.
What is the best way to structure deals like this and meet investors who invest in land? A friend suggested that I post in local Facebook groups and I've been able to find some investors that way. However, I'm new to this and unsure of the best way to structure a deal like this such that it would be appealing and a "heck yes!" for the investor.
Any tips on doing this and not looking like an idiot while doing so are MUCH appreciated. Also, what are some red flags I should look out for so I don't get screwed by an investor who traps me in bad terms? I'm a longtime listener of the BP show but have never made a post on the forums before today.