Property Investing Secrets 1

When property investing, pay the seller their asking price but negotiate the terms under which you can buy property. You'd be absolutely surprised when property investing at how many sellers will help fund you into their property. Basically, you're receiving vendor finance from the seller.

Let's take an example of a $300,000 house. The seller wants $300,000 for their property. When property investing what most people will do is they'll negotiate all day long to get the price down from $300,000 to $270,000. Then when buyers have negotiated to get the house for $270,000 they'll get a bank loan and have the liability of a loan. They'll get a 30 year loan and after about 5 years of making payments they will probably owe about $260,000. Instead I'd like you to consider a different strategy when buying: get the seller to vendor finance you into their home.

You can say to the seller, "Listen Mr. Seller, I know you really want your $300,000 but let me do this: why don't you let me make payments on your existing mortgage and in return I'll give you the $300,000 you want and I'll just pay you direct." When property investing, I've always found that if you say to a seller, "I'll give you your asking price of $300,000 if you let me make your payments on the property." You will be surprised how many sellers will let you pay them direct if you're not trying to negotiate them down on the price. This is one of my favorite ways to control property.

Now I know that if I'm paying a seller direct at $300,000 at $2,000 a month, in 5 years time I've only got a balance of $180,000 that I still owe the seller. So when the seller says to me, "I will do this but you've got to pay me off in 60 months." That's okay with me because I didn't have to qualify for a bank loan. When property investing can you see how getting finance from the vendor can be beneficial for both parties?

When property investing and getting vendor finance from the seller, you as the buyer may pay a little bit more for the house but by making payments direct you will owe the seller $180,000 in 5 years time instead of $260,000. You've made a profit of $80,000 with out qualifying for a bank loan.

Rick Otton is the director of We Buy Houses Pty Ltd. He has been property investing full time for 14 years. Rick has completed over 351 property transactions in Australia and the United States.

Rick specialises in creating positive cash flow through a variety of strategies he perfected in the United States and adapted to Australian conditions. He sells home study courses on vendor finance, one year mentoring program as well as a yearly 3 day boot camp on the Gold Coast. Go to http://www.rickotton.com for more property investing information ring 1800 003 588 in Australia.

---

Property Auction & Why You Should Run A Mile From Them

That's A Funny Thing To Say About Property Auctions; They're... Read More

Not Everyone is Buying or Selling, Some are Doing Both

As if one real estate transaction is not hectic enough?... Read More

How Home Buyer Rebates Work

In today's tight housing market, many buyers are looking for... Read More

Making a First Impression When Selling Your Home

So you've decided to take advantage of the booming real... Read More

Water, Water Everywhere on the Waterfront

Waterfront living is among the most desirable of locations in... Read More

Home Warranties: Are They Too Good To Be True?

What is a 'Home Warranty?'A home warranty is like an... Read More

Follow-Up - The Key To Successful Closings

If everyone always did everything they said they'd do, we'd... Read More

What We Do To Sell Your Property!

Once you have contracted us to sell your property we... Read More

How To Find An Experienced Monticello Illinois Realtor

Finding a professional Monticello Realtor in Illinois is the best... Read More

Writing on the Wall - Are REITs a Better Investment for You?

When I was a young child I had many annoying... Read More

Selling A Home ? What Attachments Stay or Go?

The home selling and buying process can be confusing. This... Read More

Real Estate Investing ? Finding Cheap Houses

Real estate investing expertise can certainly accommodate the luxury home... Read More

Real Estate Disputes And Partition

What if two people pooled their resources and began investing... Read More

Housing Froth Creating Imbalance for Consumers and Investors

Home buyers and sellers should think twice before jumping into... Read More

Property Investing Secrets 3

Property Investing Secrets: When you Make Property Easy to Buy... Read More

What is a Loft Apartment?

What is a loft apartment? At the most basic level... Read More

Staging® Your Home for Sale: a Superior Real Estate Home Marketing Technique: Part 1

Every Realtor KNOWS that a home should be shown in... Read More

Why You Should Rent To Live And Buy To Invest

Why you should Rent a place to live in and... Read More

Making Money In Real Estate - 10 Ways

Making money in real estate is an endless topic that... Read More

Understanding Real Estate Terminology

Purchasing a home can be a complicated and confusing process,... Read More

Realty Agents: Don?t Ask Don?t Tell?

Real estate stories radiate from the water cooler and cocktail... Read More

Getting Started in Real Estate Foreclosure Investing

Decide to Invest in Real Estate Foreclosure InvestingWith the increase... Read More

Real Estate Investing - House Problems

Houses can have lots of problemsReal estate investing requires expertise... Read More

A Simple Step by Step Aproach to Fail Your Way to a Million Dollars

If You want to be Financially Successful you need to... Read More

Reprint Rights and How To Use Them To Generate A Steady Income

I can't emphasize enough how important it is to have... Read More

The Ultimate Short Sale Secret

Buying foreclosures can be extremely profitable for real estate investors.... Read More

NAR® Broker Will Swear It ? Real Pro? Agents Share It ? FSBO Truth

For posting the "Truth" on your website, some FSBO's will... Read More

Real Estate Development Marketing

A Specialist Article For Those Interested In Real Estate Development... Read More

For Sale By Owner: The Inside Scoop On Selling Your Own Home

If you're thinking about selling your home perhaps the 'for... Read More

Coming to Las Vegas ? the Las Vegas Real Estate Boom

Nobody seems to be 'Leaving Las Vegas' anymore ? in... Read More

Should Sellers Order a Pre-sale Home Inspection?

One of the main reasons home sale transactions fall apart... Read More

Ten Tips For Selling Your House

One of the biggest mistakes people make when selling a... Read More

Real Estate Marketing, Do You Use Direct Mail?

Prospecting for leads is by far the most difficult part... Read More