All Forum Posts by: Lou Sunia

Thanks @Kerry Smith. I am a new investor getting started as a wholesaler..... As far as my question above I am just making scenarios and trying to structure out a sample deal of what I would do. My example was if a person owed $450,000.00, on a home with an A.R.V. of $600,000.00 and i structure a seller finance deal of $50,000.00 down. Buyer is in the property for $500,000.00 with a property leaving it with $100,000.00 equity. Would you consider that a old seller financing deal? Thanks for you reply.

IMO, that doesn't seem very promising for seller financing. For high equity you would be looking for the seller owing 100K and the buyer being able to pay off the mortgage and have the seller finance the rest. For a "subject to" loan, I think the chances of the loan being called due would be significant. With the original person in the house, the mortgage company is sitting at about 75% LTV, which is a fairly safe loan. However with the house selling for 500K, they would be at 90%, which is considered fairly risky and requires mortgage insurance. The mortgage company would prefer that the seller did a conventional sale, even if the seller only gets 500K even after commissions the mortgage company gets 100% of their principal back. Also from the buyer's point of view the underlying loan will have higher principal payments than a new loan would have.

Overall it may work in a hot market if the 100K in equity/less in loans makes the rental numbers work. It might be a bit tight for a flip, but again in a hot market if most work will add directly to the value it may be appealing.

Thanks for that response Jesse T. If you was to structure a sellers finance on this example above mentioned how would you structure it? Or would you just pass on this type of deal?

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I meant a good seller Financing deal?

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Is $100,000.00 Equity high equity on a property that is worth $600,000.00?

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Thanks guys I appreciate the welcome....It's great to know that there is help here....Thank you all....Looking forward to a great year with you all....

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Hello everyone.... My Name is Lou and i am new to REI...I joined BP to connect with other investors and further my education in REI...I am currently educating myself with all the free information I can find online due to the lack of funds to invest in a mentoring program..But I told myself that the lack of money will not be an excuse for me to become successful in REI & a successful Entrepreneur......I am looking forward to doing my first deal and investing a percentage of that into educating myself further in REI....I am looking forward to meeting and connecting with other Investors here in Hawaii & nationwide.... It's great to be in a place where I can meet like minded people and be able to pursue my dream.......I told myself this year of 2015 will be my year....My Breakthrough Year..... To all the other New Investors on here, dont give up on your dreams..... We all have Greatness within us..........Have a great year investors.....

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All Forum Posts by: Lou Sunia

Lou Sunia has started 3 posts and replied 7 times.

Post: escrow Company

Post: Equity

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Post: New Investor In Hawaii

Post: New Investor In Hawaii