Category Archives for Financing

From Contract through Closing – "ATM"

Once you have your property under contract, you can proceed towards closing.  Three things need to happen before you can close. First, the buyer’s lender must produce the funds. Second, your mortgage, or any other lien on the title, needs to be paid off. Third, once the title is clear, you can take the final step […]

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Lease/Option Tips & Strategies

Lease/Options can be fun and profitable, but there are certain pitfalls. The following are some practical, legal and tax tips I have learned from doing many lease/options deals over the years. Protecting Your Option Lease/options are great, except when the seller decides not to live up to his end of the bargain. Sure, you can […]

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Lease/Option vs Contract for Deed

Many investors are generally familiar with the concepts lease option and contract for deed (aka “installment land contract”). Many investors confuse the two, and this article will help you understand the tax, legal, and practical issues between a lease option vs contract for deed. Lease Options First, let’s start with the lease option, which is […]

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Lease/Options & the Equitable Interest

I get a lot of emails and calls from people concerned about selling a property by lease with option because of the fear of the “equitable interest”. What does this mean and how big of a danger is it? Before we discuss the equitable interest, we need to discuss the basic owner–financed sale. When you […]

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$100 Nets $20,000 in Six Months

The headline is absolutely true! I made $20,000 cash in 6 months on one real estate deal with $100 down, no risk, no bank qualifying, no brokers, no risk and no liability. I have done (and I continue to do) many deals just like this one and so you can you! We’ve all seen those “gurus” […]

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Be a Smart Investor… Do the Math

Should I use cash or credit? ARM loan or fixed rate? Ten percent down or twenty percent? Should I pay down debt or keep a cash reserve? These are all good questions, and here are some of the answers… Cash vs. Credit: The Concept of Leverage In order to understand real estate financing, it is important […]

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Owner Financing Real Estate

There are many benefits for doing an owner-carry installment sale as opposed to conventional financing for both the buyer and seller. Sometimes the advantages inure to the benefit of one or the other, but in most cases, the transaction is “Win/Win” for both parties. This article explains the basics of owner financing real estate for […]

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Equity Sharing Arrangements

If you are low on cash or have cash and are low on time, a partnership or equity–sharing arrangement may be for you. Using partners to finance real estate transaction is the classic form of using “OPM” (other people’s money). Experienced investors are always willing to put up money to be a partner in a […]

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10 Reasons Why Lease Options Make Sense in Real Estate Investing

There are literally dozens of ways to purchase a property with little or no money down. These tend to work well with real estate investors that are just starting out or the experienced investor that is reaching the limits of their available cash and/or credit. For these investors, a lease option (also known as rent […]

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Lease Option vs Contract for Deed

Many investors are generally familiar with the concepts lease option and contract for deed (aka “installment land contract”). Many investors confuse the two, and this article will help you understand the tax, legal, and practical issues between a lease option vs contract for deed. Lease Options First, let’s start with the lease option, which is really two […]

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