QUOTE (GaryMcGowan @ Nov 26 2009, 09:07 AM) Patlive took a call last night from the yellow letter campaign. I called the caller this morning and she was not interested in selling her home.
However she mentioned she was an investor who was looking to retire from the day to day duties of owning and operating a small real estate portfolio. I explained to her how we use Joint Venture Partners and sometimes hard money lenders.
We are meeting next week for coffee to discuss how she can become a Joint Venture Partner.
This was a good reminder that there can be opportunities at every corner.
Great post Gary and I recently had a similar experience. Except in my case, I am the seller. I seen a "I buy houses" type ad in my city and decided to give it a call. Turns out there is a lease to own business that has been here for several years. The conversation led into 4 houses that I have in another city close by that they are interested in purchasing. These are properties that I have owned for 10 years plus and are frankly getting a little "tired". I wouldn`t mind getting them off my plate and focusing elsewhere. My issue with real estate is that I have only learned to buy but never really had an "exit plan". I tried listing them in the spring but the real estate agent was brutal (in my opinion) and was supposedly one of the best in town. No action on the property.
The lease to own company is suggesting (not an offer yet) that we do things a little different (not much) than the Legrand method which is more of a win-win for both of us. They are looking at paying me something around 5% under market value and doing a 3 year lease to own. They would make it a "set" price and not a mortgage balance buyout. What this does for me?
- It gives me an exit stategy and a great pay day 3 years from now
- It gets me out of a city I no longer want to be in. No more headaches
- It allows my mortgage balance to continually be paid down over the next 3 years which works out to thousands. This is a big selling feature for me.
- No realtor fees. Thousands more!!No mortgage penalties as I can renew to have it fall on the conversion date.What it does for them?
It allows them to buy at under market (even if it is 5%)It allows them to buy in for low cash down and NO BANKS!! This is huge for them!!It allows them to find a RTO tenant at a future appreciated value and make some great cash.
I would encourage that deals can be made right here within the REIN group as many are looking for an exit strategy (or in my case, focus elsewhere) while others are looking at getting into the game.
