Posted by Matt on September 09, 2003 at 13:07:11:
Ex. Owner owes 50,000 on property, you agree to purchase for 55,000. He keeps loan in his name and you begin making payments, after signed lease option contract with 2 year payoff, of course. You fix it, while making payments…Place ad in paper “No Bank Qualifying” Owner financed, 3bd/2ba, etc. When people call you prescreen and require at least 5% of sales price down. (i.e. Selling price 65,000.) You take a buyer and see if they have good credit. If they can get loan, make them. They give you down payment and you close the deal with your seller at the Title company and then have buyer there the same day…15minutes later, and they give you their bank’s check. You payoff seller 55,000, and buyer pays you 65,000…you pocket 10,000 and send me a check for 2,000. =O) Hope that helps!
P.S. Check with a title company and see if they’ll do that “simultaneous close”. But make sure your buyer has signed a Purchase Agreement.