Structuring A Seller-Financed Wholesale Deal in Houston, TX (77017)

[Calvin Turner]

Howdy,

My name is Calvin Turner, and I've closed 25+ traditional wholesale deals via sellers and cash buyers. However,  for this specific wholesale deal, the property owner continues to state that he'll only accept a seller-financed agreement, over a cash deal. Do you all have any recommendations for structuring an attractive seller-financed deal that I can wholesale to an end buyer?  Is wholesaling a seller-financed deal still possible with a TREC Agreement?

Property Details:

Vacant SFR, Corner Lot

Size: 3bd/2ba, 1,638 ft2,  lot size is 0.3 acres

Year Built: 1947

Repairs: $35K - $45K, Standard Rehab, Brick Exterior

Estimated Equity: 82%

Estimated ARV: $260K - $280K

Potential Purchase Price: $165K - $190K, the owner is 82 years old, and in the hospital, so he's very motivated to get rid of this property and he's flexible with the final purchase price

Contract Detail Recommendations

What should I place as the down payment, payment period, interest rates, etc.? Any recommendations for completing the TREC Agreement would be much appreciated. My ultimate goal is to assign the contract, and there's still meat left on the bone for the end buyer.

[Bryant Brislin]

As far as terms, I would suggest proposing terms that are good/beneficial to you (or the end buyer), but at the same time not ridiculous. So if you propose zero interest rate, maybe have a a little bit higher down payments, or short pay period. Although I think the gurus like Pace Morby would say it's all about feeling out the seller on what they want...is there a certain amount that they'd love to see a check for in their mailbox each month? If so, you can work backwards from there.  Also, do they want it amortized out over 10 years, 20 years? More.  Good luck!