Hey folks, I'm looking to tell their story for an upcoming brand new book for BiggerPockets. I would like to find people in the BP community who have used any of the following methods to buy RENTAL properties: • Home Equity Loans/Line of Credits? • Private Money • All cash • Partnerships • Seller Financing • House Hacking If you've done any of these methods to buy RENTAL properties, I'd love to know your brief story. Share it below here in the thread and if I can use it, I'll get in touch via the PM system! Thanks :)

And protect us from those looking for free content for a book. :)

I've purchased rental properties with all cash and Hard Money. Have 10 rentals now. All cash flowing and have great equity growth.

Oh, My, God, Protect Us From Ourselves And Protect Us From Others With Good Intentions :)

Obviously they edited......LOL :) Hey guys, Jerry and K. Marie, hope you claimed the amount of the note discounted on your seller financed purchases as income, hate to see folks mess up on taxes! :) Okay, you want creative? Bought notes, seller financed, that substitutes my credit for the slow paying types a seller financed note holder didn't want to mess with.....with a discount Sold partial note amounts of my discount.... Bought Muni Bonds, 20 year at about 30 cents on the dollar Pledged the bonds to match balloon requirements of interest only seller financed house Leased the house, took a second out, bought more bonds and repeated. One original note went bad, took the deed back, sold the house, paid off the original note. The book should be titled "How to leverage knowledge, experience and your reputation into cash without using any of your own money" Okay.....it is too long, I agree. Pledging other assets to fit seller financed deals is just plain fun. Pledge rents, factor receivables, discounts from notes, equipment leases, floor planning for your used car dealer...... Had a charitable remainder trust set up as the note holder with several beneficiaries under one note reducing the tax burden of a seller, the note included cash back to the buyer for development costs, non-profit buyer, cash donated, seller saved a ton on taxes. Pledge equity of other properties for 100% seller financing, pledged equity to buy discounted notes, that reverts back to the above arrangement as well. Does anyone just trade anymore? Gave a lot for a Pathfinder, loved the Nissan. Cheapest car I ever bought. Use the owners equity to do your house hacking, not your money, they get it back when it sells. I'll stop...... Oh, yes, all that was mentioned Brandon, but I still don't like HELOCs from institutional lenders, now doing your own with private money....;.that's much better, just a line of credit! Before you can think outside the box, you need to know what is in the box! :)

@Brandon Turner 64 unit deal with seller financing and strong local banking relationship for acquisition and construction loan.

@Brandon Turner I have used several of those methods. The most common one being partnerships with other bigger pockets members. I would be interested in doing something for the book.

• Home Equity Loans/Line of Credits? Cashed out a retirement account (paid the penalty) for downpayment on duplex - better return now • Private Money- This is my next deal- friend is inventor of Rollerblades and I am meeting this summer with his good friend who is a big time RE developer in NYC. Both want to work with me to ramp up in the Midwest. • All cash- Yes, current flip. Bought all cash, off market, from a family living out of town. ARV $110k, repairs and holding fees $20k. Offered $31k all cash 30 day close. They accepted with no counter!!!! • Partnerships- Yes, best decision I have made. Partner is 72 years old and owned 75 properties and sold 62 of them off a few years ago. He is now my mentor and partner on 2 properties and counting. • Seller Financing- No • House Hacking- Doing this now. Sold my house on a golf course and moved into a duplex. Wife was hesitant but likes the $$$

@Brandon Turner yes to all. Most current is LOC to pay cash. Am one of those blessed with a prime rate on 2 of them, 3.25%. Paid entire purchase price and all repairs with LOC and then apply all rent back towards it. Zero out of pocket and no closing costs. Really fun to watch the balance go down then up, then down again. A new purchase so still spending. Back when there were no loans (olden days of early 80's) all transactions were cash or owner carry. Deals were pasted and glued together with notes. As an agent most commissions were notes which I pawned off on our landlord (with a discount of course). First 5 homes were future rentals, 2 of them duplexes so low cost of living (almost if not, free). Current home an auction house heavy fixer. One current rental (plan to sell) will qualify for tax free gains as it was my last home. Last private money was bank of mom and dad many years ago, a good deal at 9%. Last partnership was contractor friend when I was an agent. He knew mechanics and I knew paperwork; a good fit at a bad time.

I'm closing this month with seller financing for 3 properties with same investor.

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Updated almost 10 years ago on 04/16/2015. Most recent reply

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Brandon TurnerPoster

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Maui, HI

Creative Real Estate Financing

Have you used any of these creative financing methods? Wanna be in a book?

Brandon TurnerPoster

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Investor
Maui, HI

Posted April 06, 2015 08:10

Hey folks, I'm looking to tell their story for an upcoming brand new book for BiggerPockets. I would like to find people in the BP community who have used any of the following methods to buy RENTAL properties:

Home Equity Loans/Line of Credits?
Private Money
All cash
Partnerships
Seller Financing
House Hacking

If you've done any of these methods to buy RENTAL properties, I'd love to know your brief story. Share it below here in the thread and if I can use it, I'll get in touch via the PM system!

Thanks :)

Brandon Turner

Podcast Guest on Show #92

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