All Forum Posts by: Jorge J.

Instead of the buyer paying the bank the interest on a home loan, the buyer instead would pay the seller the interest. So in effect, the seller would, at the end, get the total principal ( asking price of the house), plus additional cash from the interest? If so, this makes much more sense since the end result is more cash, yes?

So if the buyer misses payments, and I as the seller take him/her to court, and I win the case, how am I assured that I will still get my money? What if the buyer still can't pay after the court case is done? This is still not completely clear to me.

In terms of taxes,  my understanding is that the profit I made by selling the house would be taxed at 20% ( Long-term capital gains ), and if I provide seller financing instead, I would get taxed on the monthly amount by the ordinary income tax rate ( Exact amount would depend on my tax bracket).

What are the options when the seller starts to default on payments?

If I own a home, why would I agree to finance the buyer and have the buyer pay me monthly payments instead of having the buyer go to the bank. How would I, as the seller,  protect myself against the buyer defaulting on the payments? I still don't really understand this concept. Wouldn't this be riskier for the home seller?

What do property managers typically charge?  I have heard around 10% of the rent or close to that.

Hello,

I am very interested in starting my journey in investing in Rental Property. However, I live in New York City and there is a HUGE barrier to entry here as the prices of homes are very high ( At least for me). I am looking at perhaps investing outside of NYC, for example in the suburbs of Pennsylvania or Up State New York where the prices of homes are much lower. Thoughts on investing outside of where you live as a starting point?

@Thomas Manning Thanks. What about using Credit Unions? Do they add any benefits / advantages?

@Russell Brazil But wouldn't a Mortgage broker be acting as a middle man and collect a finder's fee, whereas going with a direct lender, this fee is "non-existent" since we are going straight to the source?

Any thoughts on an online service such as QuickenLoans?

Hello,

I am new to RE and am looking to perhaps purchase my first property. 

However, I am a bit confused in where I should go to get a pre-approval? Should I start with Banks ( Such as Chase, Bank of America etc..), should I look for a Mortgage Broker or Direct Lender? How to properly research and compare different mortgage rates? There seems to be SOOOOO many options out there I am getting dizzy!

Any advise would be much appreciated

We are thinking about a place up in the Adirondacks, around lake George, NY @Steve Vaughan @Jay Hinrichs

It is close enough where we can drive up there in a few hours from where we live now. 

How has NY performed since and/or rebounded from the housing crash?

Thanks
@Jay Hinrichs