Hello bigger pockets members,
I am writing this post today to speak to all experienced investors to seek advice on owner financing. Owner financing is obviously another great way to build wealth and monthly cash flow. But is doing this really complicated? There are various people i have seen in Dallas who focus specifically on this strategy. One woman i know does owner financing for people with bad credit, immigrants, and self employed individuals. Another person i have seen does the same but he buys any house the buyer wants on the MLS marks up the house another couple of thousand dollars and owner finances it to them at 8-10% interest rate. Overall questions are where are these investors getting the money to finance these deals for their buyers? Banks, private money, etc. are they doing these deals through their LLC and if they are obtaining bank money aren't they limited to a number of loans they can get? Can you do a owner finance deal with no money out of pocket? How do you do all of this and comply with Regulation Z? Just what are these investors secret business plan? These people have done thousands of deals and are getting mailbox money every month from these buyers and I'm just so curious what's their business plan to success!