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All Forum Posts by: John Magana

John Magana has started 4 posts and replied 8 times.

What I didn't mention was that the property in this example isn't worth $340,000 in current condition, I'm not trying to rip anyone off but offering a number more appropriate but over the term of the loan would get them near what they were initially looking for if it did take full term to pay off. But I see now how that looks. I know very little and am learning... 

With regard to seller financing, a servicer would be part of the deal, I wouldn't have it any other way in that case...  

It's gonna be a struggle, but finding a seller with the motivation that aligns with a creative financing strategy is worthwhile. Current and possibly future interest rates make it incredibly challenging to cashflow...

Thanks everyone for the feedback...

I am about 6 months away from starting my investment journey meaning starting the process of buying my first property. 

My question is this. The seller is asking $340,000 for a property. I offer them 250K at 3% seller financing over 30 years with 25,000 down. This means at the end of 30 years they will have made their total $340,000 asking price. However I am able to pay off the property in 10 years meaning the seller only ends up making $35,000 in interest making it to $260,000 versus $116,500 in interest to get to the $340,000.  Is this a thing? and if so is this simply part of the underwriting of the loan? Has anyone seen this before? Thanks!

Everyone thank you for the recommendations, so helpful and I will be sure to research all the solutions mentioned to see what would be a good fit. @mattmertz this sounds like a good strategy and makes sense to leverage the massive client base of the two giants to get started generating revenue first.  

I have read that some investors are using their own software to capture short term rental reservations as well as the benefit of capturing the clients contact information for marketing offers at a later date. They are doing this to not be at the mercy of Airbnb and the like... Any thoughts on this and can you throw a few software companies my way to take a look at? Thanks everyone.

Post: A couple super rookie Questions

John MaganaPosted
  • Posts 8
  • Votes 1

All very helpful, great information, I appreciate it. What I am reading is everything is negotiable and cover all the details to protect my investment smartly. 

Post: A couple super rookie Questions

John MaganaPosted
  • Posts 8
  • Votes 1

First, if I acquire a 4/2 and want to rent midterm to 2 different people, I am charging each person rental of a room and the use of the premises. I guess I just need to hear someone say "yes". So I will sign a rental contract with each tenant and they will each have their own rent to pay, even if they travel together. What if they are a traveling husband wife couple? Same thing yes?

Second, when looking at zillow listing and I see 3% buyers agency fee is this a fee that I the buyer am paying at closing or is this the sellers side? If it is the buyers side is this negotiable or should I even worry about this as a good relationship with a realtor is worth so much more?

Thanks everyone. 

Thanks for your replies, I appreciate the helpful feedback and perspective. 

If I am understanding House Hacking, I am basically renting a room in the dwelling in which I reside to a tenant. And I assume most times the tenant will have the run of the kitchen and laundry room and maybe some garage space as available? Does this sound right? And can anyone share what to look for in a tenant? thanks.