Confused a little

Help still needed:-(

A Sandwich Lease Option is when you the investor will make money with the option fee, the back end and a monthly cash flow, so you get paid three times. Find a property to lease with an option to buy it, and in turn you rent it out to someone else, also granting them an option to buy it. You are in the middle, hence the reason we call it a “Sandwich Lease Option“.

----

Wholesaling is flipping a property or 'assigning' the contract to sell to someone else

Owner financing works when a person owns the home outright so there is no balance owed on the property. This is typically the best option to look into when a home owner is trying to sell and owes nothing on the property but wants to sell it quick. Other options of course would be "subject to" or a wrap around mortgage where you're creating another mortgage around the exsisting mortgage.

Just curious, why are you asking about owner financing? If you have a seller willing to do this you may have a great lead in the making because you could potentially talk the seller down substantially and explain to him/her that you are a real estate investor and that you buy and sell homes and that you often have to buy homes at a discount and that you then assume the risk to get the home resold or rented out for a slightly smaller profit. Just explain to them that you have their best interest at heart and that you ultimately want them to get their house sold. You can offer them an aggressive CASH offer and then if they accept put it in contact using and/or assigns after your name and then market it like CRAZY. Ask them if you can take photos of the home both inside and out. Post it on Craigslist. Make it appealing to a buyer. "HUGE DISCOUNTED HOME IN YOUR AREA" "DESPERATE HOME SELLER SITUATION" or something like that and then type a great write up about the property. Post signs on telephone polls in your neighborhood. NOT TOO MANY, only about four or five and at high traffic intersections or at off ramps if you live by a freeway. Also, if you post signs on telephone polls, use a step stool and post it as high as you can. The higher the better because it will be less likely to get pulled down by your competition or by people that just pull down signs for the heck of it. Do this and TRUST ME your phone will be ringing so be prepared to take calls. Don't be nervous just tell them that you're an investor helping out a motivated seller and that you have found an amazing deal then talk about the property. Make it conversational and ask them questions throughout such as " so do you have a growing family, are you married, do you plan on having children soon, what's your price range, how many beds, bathrooms, square footage etc." The reason you want this information is because if they aren't interested in this deal, you've just added a potential buyer to your list! Pretty innovative right? Keep finding ways to make deals come to you and you'll do great things as an investor. Just keep telling yourself and other people you know (regardless of your current job title/career) that you're a real estate investor and that you find amazing deals for people wanting to buy and you also are able to get homes sold quicker than the average real estate agent.

RE: Lease Option: A lease option works best when you find a distressed property owner. Someone that is behind on payments and facing foreclosure. They call you and tell you their story. You ask them if they would be willing to let you make up the back payments and if you could buy it from them for what's owed on the property. You also tell them that you would make there mortgage payment before it officially sells. Sounds confusing right? So here's a breakdown.

Distressed owner: behind 3 months on a $600 a month payment. Her house is worth 200,000 and has a balance of 110,000 and it's worth 250,000. If you don't help her out the bank is going to get the property so what you do is say, "What if I caught you up on your missed payments and paid your $600 mortgage payment until I sold your house for you would you be interested in letting me have it?" If they say yes, then you put it on contract and you simply find a buyer that has 5-7 grand down payment money, you give 1800 to them for their missed payments or send it directly to their lender ( the more perferred option) and you pocket the rest of the money and then have that tenant buyer ( the one you just got 5-7 grand from ) pay a monthly payment HIGHER THAN the mortgage amount of say 900 dollars a month. 600 goes to the lender you keep the 300 until they exercise their option to buy. You negotiate a purchase price with the tenant buyer so you know upfront how much BIG money you'll make in the end.

Wholesaling is nothing more than finding a seller ( the prefernence is a for sale by owner) negotiate a purchase price which is much lower than the fair market value aka FMV which is nothing more than what the property would typically sell for in today's market "what the market will bear" and put it on a purchase contract and sell it to an end buyer or an investor for a slightly higher fee. Try reading some of the posts on here on assignments or "newbie" posts because much of this is already on there. Trust me, we've all asked the same questions so you're not alone.

Best of luck and stay in the GAME!

Thank you Guys..that was great!!

How is it out there and how are you fairing in it???