All Forum Posts by: Tony Velez

Hi,

I want to make an owner finance offer on a property. I tracked down the owners information and phone number. Looks like a couple in there 60s. I'm going to call them today. But it's going to feel very awkward when they ask how did I find there phone number. 

Anyone have any tips?

Thanks

Tony

Thanks @Rocky V. thats good advise!

@Brandon M. thanks for the added info. Its starting to make sense to me 

@Tony Lanier great name! Thanks for the input

Tony V

Ahhh! Thanks guys! Now it makes sense

Hi,

Here is the story. This house has been on the market for over 2 years. Its a cute little house that always pops up in my searches. I've only seen the outside of the house. Last year they were asking $85,000. Now they are asking $77,900. It looks like he has no mortgage. 

I found the contact information for the owner. I plan on writting them a letter. I've been reading alot on owner financing. The problem I'm having is figuring out how the interest rate works. 

I would like to offer $75,000 with 10% down payment.... with an interest rate of 6% amortized for 30 years. 

Sounds like I know what I'm doing. BUT.... I can't figure what my monthly P/I would be to the seller. 

Also what if we decide on the same terms but a balloon at 5 years? 

Please help me figure out how to do the math?

Thank you

Tony V

Hi,

I need help figuring how @Brandon Turner came up with this monthly payment. I came up with $554 a month. Here is his blog. Please help me out. What am I missing? 

I want to purchase a particular rental house but do not want, or lack the ability, to get traditional bank financing. The seller would like $100,000 for the property, but is willing to “carry the contract” – which is investor jargon for someone who agrees to finance a property they own. The owner asks for $5,000 down and a 7% interest rate on the remaining $95,000 amortized over 30 years for a monthly payment of $632.03. I agree to his terms and after doing my due diligence, I close on the property through my local title company. I then look for a tenant who rents the home for $1400 per month and collect the cash flow difference each month.

Thank you

Tony V

Lol

Hi,

The units are gas boilers  it looks like theres 2 boilers for 6 units. You would need to find out who is paying the gas bill. Typically each unit should have its own gas boiler  

Tony V  

Sounds like your talking about boilers. 

First you should find out what kind of fuel do they use...gas, oil, propane, etc

Second you should determine if its a furnace or a boiler. A furnace has vents and blows hot air into the apartments. A boiler heats the apartments with baseboard or radiators. Both style units u can look at the physical condition of the units themselves. Also u can find the model number plate on the unit and take a picture . Sometimes they will tell you the age... if not u can google the model and serial numbers. I would look at the piping and make sure there are no cracks or rott. If theres 6 units there ahould be 6 hvac units. 

Typicaly oil fired units require alot more maintenance. They should be cleaned every year. Good luck 

Thanks

Tony