All Forum Posts by: Matt Duckworth

@Matt Duckworth *flip (not rent)

When evaluating finishings or additions to a property you are looking to rent what are some ways you determine what is going to provide the best return and what is just going to eat into your investment? Particularly when it comes to bathroom and kitchen renovations. Would love to hear how different investors run their cost benefit analysis.

Hello,

I have a LOI and agreed with basic terms on an owner financed property in Marietta, GA. The owner has asked that I pull together the contract, but I currently don't have an attorney to assist with this portion of the transaction. I can absolutely google my way into a contract, but with this being my first investment property I'd value the advice and knowledge of a true real estate attorney.

Are there any in the area that come recommended or am I over thinking this?

@Brent Coombs, I also replied to Stephanie with the details if you wanted to take a look. It took some time to iron everything out with the owner so apologies for the delay. Thank you again!

@Stephanie Medellin I apologize for taking so long to get back with you. I’ve been going back and forth with the owner to finalize the numbers before I replied. Below outlines the numbers that the owner has verbally agreed to.

Purchasing price- $236,000

Down Payment- $10,000

Interest- 6%

2 year owner financing with no prepayment penalty

Closing cost- 50/50 split

The owner wants me to provide the LOI as well as the contract docs. He has also requested that payments be interest only prior to the payout.

The comps in the area are going anywhere from $340 (fully renovated)-$260 in similar condition. The owner has already purchased a home out of state and is looking to offload his rental properties in the Marrietta area (20 mins north of Atlanta right off the interstate). This is his last property and he’s a friend of a relative which is why I would be getting the home at this price.

Being a first time buyer/investor I’m still wary of the idea of owner financing. I will obviously have my lawyer look everything over prior to signing.

Thank you all for your advise and direction!

@Marco Bario Thank you for your advice! I’ve already spoken to an attorney about going over all of this information with me based on your advice.

Hello, first time investor here based in Atlanta! I’ve been able to locate a property off market and have been having conversations with the owner for a few weeks. He has agreed to sell me the home, but seems pretty adamant that he wants to do an owner financing deal to help mitigate the taxes on his end which I understand. I’ve run the numbers on the property with the bigger pockets calculator and it seems like a good deal.

I was able to get him to agree to beat the interest rate offered by a more traditional lender, but I’m still skeptical to go down this road, especially with it being my first property.

I’m hoping to hear some of your experiences with owner financing, positive and/or negative. Any feedback would be greatly appreciated. Thanks!