How I Am Buying 20+ Houses No Money Down

[Wendell De Guzman]

Last week, I posted Week 1 of my "quest" to buy 20 houses with no money down. You can read the details here:

https://www.biggerpockets.com/forums/522/topics/38...

Week 2 onwards, I will just put my updates on one post instead of starting a new discussion thread every week.

Week #2:

Seller said he wants to protect his second mortgage position specially if some of the properties get sold. I told my acquisition guy working on the deal to tell the seller that we will do the opposite of subordinating the mortgage. We will make his second mortgage (seller financing), into a first mortgage on properties that are left. I will let our acquisition guy figure out with our attorney how to put it in the contract.

I am also looking for financing. One option is getting a portfolio lender that can finance the net amount (less the seller second). When I calculate the LTV (Loan to Value), the LTV is a safe 58%. That's on performing properties - on properties already renovated and rented. We will talk to a portfolio lender next week.