Buying at a steal and holding note to end buyer

[Eric Hrlbock]

I buy many different ways(Roth,Cash,with a mortgage) but New York is becoming real rough on being the landlord. I still really like real estate and I got pretty good at finding deals, rehabbing. But I don’t want to be landlord here going forward. 

I have been thinking of buying houses cash, I’ll give you an example. Say I buy a house for 100k (arv 200 -225needs 20k worth of work) I give my house some lipstick and now it’s worth closer to 225k.

I thought about owner finance w down payment.  Interest is 3.75 in bank . So I would hold note for say 5 and no prepayment penalty.

Thoughts .....

Negative- no deprecation, if I bought w Roth I wouldn’t have deprecation anyway

Positive- no worrying about roofs and toilets.