Hello everyone I'm working on deal where hopefully I might be able to get owner financing on the property since it's mortgage free.

HI Stephanie,You can always start off by house hacking meaning you live in one UNIT or ROOM and renting out the other vacant units/rooms to offset your monthly mortgage payment.There are several ways to run and make sure you are maximizing your rental income while keeping your living expense as low as possible.

Lenders.

I Just had a lady call me on a deal we did 6 years ago for and she always calls me for anyone in distress, or needs to sell (that one was from a lender that knew I did flips). 

I am close to the owner so I can discuss options.These are details and some rough numbers: - Location: Vienna , VA - No mortgage on house (free and clear)- Purchased year: Around 1980- Purchased price: around $50,000- Type: 3 bed - 2 1/2 bath single family- Market price: $920K (not appraised yet but numbers from Zillow)- Market rent : $3,400/mo (from BP Rent estimator)- Insurance $2,000 /yr- Taxes $9,300 /yr- Management $3,260/yr (I do not want to manage )- Repairs: TBDThe numbers do not work with conventional financing (20% down, 7% interest, 30 yr) so I want to think of creative financing ways.

Most DSR lenders want minimum loans (not purchase price) of $75-100k.For apartment buildings, your $125k equates to around $400-450k purchase, as you'll also need closing costs and improvement funds.Depending on where you buy, this price equates to a Class C or D property.

The bank that mortgaged our other investment property brought it to our attention, it was a foreclosure.

Generally, the lender's lien is secured by a mortgage or a deed of trust. 

Other useful features include information on prior sales and existing mortgages on properties.  

I'd recommend working with a lender to get preapproved to really hone in on your budget, from there you can narrow down what types of homes and areas you can afford.