They have no down payment, no skin in the game, so what you're looking to do is hold a note for people with no money down, counting on them to maintain the house as it should be maintained, and giving them an interest in the house such that if/when they quit paying you have to foreclose.

@Franklin Marte consider the purpose of a down payment - Lenders want you to have skin in the game.

This business makes you get thick skin.

Should I offer him $$ to just quitclaim me the property or should I offer up nice earnest money to get contract that way I can wholesale it if my investor wants it only asking because the guy seems irritated about the house from face to face discussion on selling it.

Its like buying rental houses If you don't have a plan to buy 10 or more ( low value rentals) then its an irritant and many buy them then get out of it in 3 to 5 years.. others that have a goal to own hundreds create a business out of it...

There are many ways to skin the cat (I like cats too BTW).

You have to have big pockets and/or thick skin.

The reason we also want to put 10% down is to have more skin in the game and reduce our risk and monthly payments.

They make the deal possible and have most skin in deal.

They also want to see you have some skin in the game.