How to present seller financing to owner of duplex in Atlanta

[Nina Sylvains]

Hey BPers! Hope you all are having an amazing day thus far!

I am a new investor living in California but looking to invest in Atlanta around the AUC area. I lived in Atlanta for about 8 years and went to school at CAU so I am familiar with the area. I have found a duplex about 10 minutes away from the AUC that was on the market for almost a year and is now off the market. Per the pervious listing, the price was $160,000, each unit is 1/1 and both sides are rented at $500 each. I did some research about rents in the area and I think I should be able to raise the rents to $1000 each ( if this is not correct please let me know. I checked hotpads and craigslist to come to this number).

So my question is how do I go about presenting the owner with a seller financing option as I'm trying to get this duplex with no/low money down? I would also like suggestions of other options to present to the owner. The podcasts suggest giving the owner financing options to choose from instead of just a yes or no type of deal.

Also if any investors in the Atlanta area would like to have coffee or lunch (my treat), so I can pick their brain it would be most appreciated!

I LOVE real estate and I'm really excited and don't want to make a stupid move just to get in the game.

Thanks for your help and support BPers! And happy investing!

[Nicholas LaGatta]

I'm lending at 10.25%.  For regulatory purposes, the lender has to pay the $30/month or so for the loan servicing company, which worked out to around .25%, hence the odd number.  I worked out 15% down based on thoroughly underwriting the buyer and his father (a real estate attorney) who co-signed.  Buyer paid all closing costs, including owner-finance related docs (e.g., note).  

In Georgia, you'll need to work with an attorney to close.  My attorney has done at least a couple owner-financed deals involving FCI, so happy to get you in contact.  

Don't be worried about starting a dialogue.  Remember to stay flexible.  It's difficult to predict which angle of the deal is important to the other party, but be prepared for some give and take to make sure everyone feels like they are getting a good deal.