OfflineHi Everyone,
I've found a Property with Tenants already in place for sale thru a Property Management Company. The Numbers look pretty good for my first deal. One little problem. I have Bad Credit and I don't have the Cash for the down payment. How can I BEST approach the Property Company with an offer in a situation like this? My Goal is to fix my Bad Credit over time, but this is the first property I've found where Everything is already set up, I just have to find a way to take ownership, and then would offer the Tenant a 2 Yr. Lease Option to Purchase their First Home.
Here are the Numbers and I would apprieciate any Guidence or Advice on how I could possibly make this deal happen for me.
$ 100,000
• 1 Year Rent & Home Warranty
• Projected 23.6% 5 year IRR
• Projected 13.4% first year cash return
• Over $3,137 in first year annual cash flow
• Completely renovated inside and out
• Tenant & management in place
Thank you for your help.
Frank in Maryland.
find someone who can and get a fee for your efforts
Don't be surprised if you get some inquiries on here
Is the seller willing to provide seller financing? Ar they willing to offer you a lease option and then you can do a sandwich lease option with tenant? Make alliances with people who have money or credit and work out a deal to profit share. Typically, doctors, attorneys, dentists, etc like to diversify theier investments and make a descent return. I know plenty of people who are tired of the yoyo of the stock market and are ready to convert their 401K into a self direct IRA. These are just a few of the options you might consider in addition ot getting it over to another investor like mentioned above. The seller motivation and how the numbers work will dictate which options make the most sense.
It is crucial to look at the real expenses and the real rent rolls to make sure you are dealing with rela numbers instead of proforma, which is what most real estate agents like to show. Due diligence will make sure it is a great and profitable experience for you or an investor you get the property too.
If you would like the chance to work with me or one of my fellow real estate investor coaches and our advanced training programs, give us a call anytime to see if Dean's Real Estate Success Academy and our customized curriculum is a fit for you. Call us at 1-877-219-1474 ext. 125