George Roddy, Jr.
11-12-2009, 10:57 PM
Hi George,
One of our rental homes is vacant, and we have a prospective tenant who may want to lease with an option to buy. We still have a mortgage on this home, so we can’t owner-finance a purchase. We were wondering if you could give us some advice or point us in the right direction to research this option.
Thanks for any help you can give us.
Why can’t you owner finance? You could wrap your note and offer financing to the tenant and make him a buyer. This way you create money in 3 ways: down payment money (3-10%), monthly cash flow (difference between your interest rate and the buyer’s interest rate) and finally money at the end when the buyer refinances in 2-3 years. I hope this helps.
Bob Lowrance offers a Partnering Program on this very subject at Roddy.com.
George
One of our rental homes is vacant, and we have a prospective tenant who may want to lease with an option to buy. We still have a mortgage on this home, so we can’t owner-finance a purchase. We were wondering if you could give us some advice or point us in the right direction to research this option.
Thanks for any help you can give us.
Why can’t you owner finance? You could wrap your note and offer financing to the tenant and make him a buyer. This way you create money in 3 ways: down payment money (3-10%), monthly cash flow (difference between your interest rate and the buyer’s interest rate) and finally money at the end when the buyer refinances in 2-3 years. I hope this helps.
Bob Lowrance offers a Partnering Program on this very subject at Roddy.com.
George