All Forum Posts by: Annalie Cao
Annalie Cao has started 2 posts and replied 4 times.
I would need to come up with 200k down to get my foot in the deal. So I'm trying to negotiate to have a lower down payment. But what could be the best structure for this deal you think?
Quote from @Account Closed:
Quote from @Annalie Cao:
Hi all,
I have this property located in Huntington Beach, CA and the owner is willing to do seller finance of 1.2 mil with a 2 years balloon payment. He still have a mortgage of 800k, and his equity is 400k. He wanted 200k down payment which is 17%, and no interest. How can I structure this deal better to use as vacation home. It's currently making roughly $77,300 in gross income for 2023 number with an uncompleted dirt backyard, if I add a nicer backyard with jacuzzi and more backyard activities
It could potentially increase the rental income.
One way to structure this deal better for use as a vacation home is to negotiate a longer balloon payment period with the owner. Instead of a 2-year balloon payment, you could try to negotiate a longer term, such as 5 or 10 years, to give yourself more time to generate income from the property before needing to pay off the remaining balance.
Additionally, you could also propose a lower down payment amount to the owner. If you can negotiate a lower down payment, it would free up more cash for you to invest in improving the property, such as adding a nicer backyard with a jacuzzi and more backyard activities.
Another option could be to negotiate a lower purchase price for the property in exchange for a higher monthly payment to the owner. This could help reduce your initial investment and give you more flexibility in making improvements to the property.
Overall, the key is to negotiate a deal that works best for both you and the owner, allowing you to use the property as a vacation home while maximizing its income potential. Additionally, you may want to consult with a real estate attorney or financial advisor to ensure the deal is structured in a way that is advantageous for you.
Hi all,
I have this property located in Huntington Beach, CA and the owner is willing to do seller finance of 1.2 mil with a 2 years balloon payment. He still have a mortgage of 800k, and his equity is 400k. He wanted 200k down payment which is 17%, and no interest. How can I structure this deal better to use as vacation home. It's currently making roughly $77,300 in gross income for 2023 number with an uncompleted dirt backyard, if I add a nicer backyard with jacuzzi and more backyard activities
Post: FHA vs. Conventional Loan
- Posts 4
- Votes 0
Hi!
My name is Mimi, I've recently started Airbnb by doing rental arbitrage not too long ago. My brother and I are planning move on to the next step by wanting to purchase a multi-family house to start investing in a long-term rental. I was told conventional is the best way to go since an FHA loan is more expensive by my loan officer. Could I please get more details between both since we're first-time home buyers and want to invest in real estate. Thanks in advance and hope to get as much information as possible from other professionals.