All Forum Posts by: Liam Silva

Did you read my list of top reasons why people want to do LO's? They're not looking for "credits", so why would I need to look for a way to make them "attractive"?

However, all you need to do is this:

1 - Settle on a price...let's say $100k
2 - Take 5% of that for the Option Consideration...$5k
3 - Assume the rent to be $1000k/month, and you are wanting to grant $200/month as rent credits...$2400/year
4 - ...and the term is 1 year.

All you need to do is record the final Contract Price as $92,600....$100k - the OC and the Rent Credits for a year. Don't make any mention of this in any documents...just record the sale price equal to the amount the buyer would have paid at closing if they were given "credits".

I prefer to do this but what if the sum they should have paid over that time is not met? Are you signing year end option contracts? Are you just overwriting it?

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Originally posted by @Roy Cleeves:

It seems to me that the best way from that is to do a Rent to Own. You have a lot of control because the Buyer is screened first before being accepted for the program. You also select the home with Buyer's agreement so that you know that you are getting a great home in case they default and don't complete the sale. And you end up with excellent cashflow under a rent to own. Then once they buy, you do it again - find another rent to own tenant.

Happy to see Roy that you are putting your 0.2 cents in, definitely one of the more generous ones with your knowledge giving (I spend time reading your posts on this site). So, disposition properties with RTO.

How do you acquire the properties?

1. If you buy with traditional financing in a market where the mortgage payments are much higher than the rent are you just bumping up the rent to a point where it makes sense? Is the housing police happy with that :)?

I can just keep firing off questions (filled with a myriad amount), so thank you in advance all.

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Long time lurker and thanks all for the learning! Need some more learning on the below and prefer Canadian knowledge (thanks in advance).

I am interested in a model where buyers are screened before properties are found. With their qualifications set from the screening portion, then properties are sought after with favorable terms to your screened buyer(s) and you (Question: Are you a screened buyer first or property first investor and why?).

Ideally having abilities to acquire properties and dispose of properties with all available tools [lease option, traditional finance, subject-to, owner finance, contract for deed, rent to own, (any others?)] is what can make you strive in either a buyer or sellers market. (Question: Which of the tools do you use to acquire and dispose of your property?)

Maintain relationship with buyer and set up buyers with a financial plan to have a greater chance to exercise the buyers want of the property to live in (and keep your business ultimately rolling). (Question: Do you maintain a continuing relationship and financial plan to increase potential of contract fulfillment?)

I understand you have to narrow your efforts to one acquisition and disposition method so you can build upon it and grow the business to fully capable so that any deal can be made. (Question: Which do you recommend to learn and master first?)

Thanks all for the help!

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All Forum Posts by: Liam Silva

Liam Silva has started 1 posts and replied 4 times.

Post: Realtor and Property management recommendations in Moncton

Post: DODD FRANK - Rent To Own - Rent Credits ARE LEGAL

Post: Rent To Own Business (Ontario, Canada)

Post: Rent To Own Business (Ontario, Canada)