Posted by Jim FL on September 15, 2004 at 20:05:27:
I use both methods, as well as a few others to exit from sub2 deals.
What makes that decision?
Frankly, each property, my particular situation at the time, and of course, profit.
I often buy houses sub2, then sell them retail, either cash, conventional, lease option, or agreement for deed (land cotnract).
These are of course purchased for well below market value.
I look at my investing this way.
I will not buy ANY property, no matter the method used to acquire it, unless I can sell IMMEDIATELY for cash, and make a nice profit.
A ‘nice profit’ to me is at least 5 figures.
Does this mean I sell all properties purchased to buyers with funds/funding, making those 5 figures in cash right away?
Some I carry paper in one way or another, others I keep as rentals, and some I sell quick.
No need to stick to one exit strategy, and in fact, I’d advise making sure BEFORE YOU BUY that more than one exit is available.
Remember, you make your money when you buy, so don’t buy the hoopla from some mainstream sub2 teachers that taking over payments on houses fully encumbered or close is a good idea.
Anyway, that’s my two cents, keep the change,