The seller would like have to carry back 5% - 10% and it would be unlikely to work for the property that is 68% occupied because the DSCR would probably not support an 85% LTV loan, unless you are getting an absolutely screaming deal.Do the 140 units need rehab?

@Carrie Zhang, I think the answer is no.

You sell the property for the same $500K to an owner user with $100k down and carry back a wrap note of $400k at 10%.  

@Carrie Matuga, thank you for this perspective.

In other words, just consider it a learning experience and carry on.

I think the mastermind would be a great way to keep accountability in taking action on creative finance deals.This group is for anyone who is interested in:- Subject To- Lease Options- Seller Financing (Owner Carry-back)- Executory ContractsI'm in the Eastern Time Zone and can accommodate the times.

Thanks, Gary Neely Gary, Just use you standard state contract and write out the terms of your seller financing in an addendum or on the OTP itself if there's lines for additional provisions.Be clear and concise.Example,Seller will carry a promissory note secured by a 1st position mortgage in the amount $97,583.00, at 6% interest, amortized over 30 years, witha a maturity date and balloon payment due 10 years after the closing date.Hope this helps and certainly get an attorney involved if you are not comfortable drafting the language.  

They also allow improvements (with documented evidence) to the property to be backed off the sales price for basis.If you do not need the money and don't mind the cash flow, consider owner finance and carry it out for years.  

I carry the E&O for all of my agents.

I built some like that out at Hood River Oregon and they were super popular but better looking than those but still had shed roofs etc. was wondering if this is like a gold rush area maybe instead of mining the gold you sell the pots and pans to all the tourists ???