The money that you borrow As a real estate investor you need to be able to borrow money. Hard Money for Rehabs Hard money means that you get a loan from a hard money lender Generally you don’t have to use your own money for hard money lender It’s based on the properties ARV value, […]
Buyers in real estate investing There are many types of buyers in real estate investing If I’m a real estate investor as a buyer, I may look for the following A terms deal; – lease purchase as a buyer from a seller – subject to existing financing as a buyer from a seller – land […]
What is a land contract? Land contracts have been involved with a way to finance property for over 200 years in the United States. They are still very common today in the Midwest. The history of land contracts came from selling land on installments. Every state has different laws as far as repossessing a property […]
Read the IRS info Installment sale. An installment sale is a sale of property where you receive at least one payment after the tax year of the sale. If you realize a gain on an installment sale, you may be able to report part of your gain when you receive each payment. This method of […]
No equity deals means that if you sell the property, you can’t afford to pay the agent commission and the closing costs. How can you have no equity? Well if you bought an FHA loan and you rolled the closing costs into the mortgage, and the seller contributed some way to closing, you may have […]
Subject-To Real Estate Investing FAQ 1. What does buying a property “Subject To” mean? Buying a property “Subject To” the existing mortgage means taking ownership of the property without officially assuming the existing loan in your name. The loan remains in the seller’s name and on their credit report, but you make the payments. It’s […]
Buying on a land contract When you buy on a land contract you put some money down, you make some payments over time and you have a balloon payment at the end. We use land contracts, contracts for deed, agreements for deed, they’re all the same thing everyday as one of our offers as a […]
Dealer or investor tax status has to do with what the IRS considers your business activity to be, It’s very hard to get any answers from the IRS regarding whether or not you are a dealer or an investor. But the way you are taxed as a dealer is very different and the way you are […]
Selling Properties on Seller Financing The big thing to remember about seller financing is: who is your buyer? Is your buyer an investor that will rent the property out or is your buyer an owner occupant? Investor: if you were selling to another investor regulations like Dodd Frank doesn’t matter. Whatever terms you can come up […]
Lease options are popular with real estate investors. Everyday we use leases, options, and notes to prepare agreements for sellers and buyers. To keep things simple, we can buy on lease option or sell on lease option. When we buy on lease option we generally either do one of two things: We can either buy […]