All Forum Posts by: Chris Brenner

Hey there! I have a weird creative financing question for you. Have you ever heard of a deal where the seller carried the financing? Like say I dont have 20% down on a 100000 property. The seller has 100% equity the property or a majority of it. The seller agrees to ”gift” the buyer the 20% down by using equity in the house. The buyer and seller agree to pay the 20% back to the seller at whatever agreed rate and time.

Therefore the buyer obtains the property at essentially 0 out of pocket, but is on the hook for a mortgage and paying the seller back? Have you heard or experienced this? How do you structure that as a win win win? Thank you for your time

@Brad Bellstedt thanks for the input man, it really helps give some clarity! I'm tossing around the idea of seeing if a JV would want to occupy and we split the return.

Alright before I start, I dont want to commit any crimes or do something illegal..

Recently purchased a duplex a couple months ago under a VA loan(I understand that you're supposed to live in that residence a year). I am actively searching for deals in my market and one has seriously come up. It's a HUD home for sale, but the caveat is it's only being sold to "owner occupancy, government institutions or non profits." The duplex is in need of drastic repairs and my thought is to apply for an FHA203k (purchase plus improvements with about 3.5% down)(could even take a few months to rehab it).

Would it be wrong/illegal to offer on the house make it my "primary residence ”and utilize "my" side as an airbnb? Is this using terms to my advantage or not? I appreciate in advance any thoughts on this subject.

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@Ryan Zeisel Hi! I'm new to real estate investing as well in North Pole/Fairbanks. Would love to meet up and talk shop.

I am wondering if there are people out there who know how to find JV Partners in their area? I know there's ways to ask friends and family and such but I dont know if it's worth risking the social capital to get the money. I have some deals I want to execute on but I dont have the financial ducks in a row.

I guess another route would be finding a mentor locally, which I am not sure how to make that happen either as my hometown is lacking a consistent REI forum (Fairbanks, AK).

Just wondering what the BP forums have to say. Thanks for your time.

@Anthony Wick our plan is 6 month lease. And they haven't indicated any intent to move. Although they still have boxed up things in the garage. They have told me repeatedly they wanted to stay.

@Anthony Wick oh man, I didn't even think about the prior move in inspection. I will see if I cant track that down (if there ever was one). I have extensively read the law and will definitely put into practice, addendums and notices etc. Being from the military I have an affinity to documenting everything!

They are MTM for now(til dec.1), that was because I had to give them 30 day notice for change of lease at the expiration of their lease. So far, and this is very recent, they are paying rent. They delivered it when they said they would, although it was a couple days after the 1st. I'm hoping to mitigate this issue with automatic online payments via Cozy.

I appreciate your advice and thoughtful response Anthony.

@Sarah Brown thank you for the response! I did have a thorough inspection done and there are no major leaks. The house is very sound and has had many capital improvements over the years (boiler, roof, septic, landscaping etc). Just the cosmetics are in need of some TLC for that unit. I didnt even think of the health risk factor as they are already living with it. That is very good point that I will have to mention. Again thank you for the thoughtful response.

@Jon Parton thanks for your thoughts Jon! This thread has definitely given me info to chew on. Theres always things I could have done better prior. But I'm glad I got my feet wet in a way with this tenant, just cause theres always lessons to be learned from good and bad tenants. Thanks for your time and I look forward to the next discussion/question through BP with your thoughts as well as everyone in this thread. Maybe I'll do a post rehab blog post or something.