Summary of Awesome "Nothing Down" Deal, Ron LeGrand's Analysis + Funny Story!
The video features a conversation between Lynette Wolf and a property seller named Peter, discussing a real estate deal utilizing Owner Financing. The main financial strategies and methodologies presented include:
Financial Strategies:
- Owner Financing: The approach involves agreeing on a purchase price and making monthly payments directly to the seller, bypassing traditional mortgage financing.
- Negotiation Tactics: The presenter discusses negotiating the purchase price down from $299,000 to $180,000 and emphasizes the importance of understanding the seller's minimum acceptable price.
- Zero Down Payment: The strategy involves acquiring the property with no initial down payment, which is facilitated through the Owner Financing method.
- Positive Cash Flow: The analysis includes calculating potential monthly cash flow from the property after acquisition, with an example suggesting a Positive Cash Flow of $800 per month.
Methodology/Step-by-Step Guide:
- Initial Contact: Reach out to the seller to express interest and gather information about the property.
- Assess Property Condition: Confirm the property's condition and current vacancy status.
- Negotiate Purchase Price: Discuss and negotiate the lowest acceptable price from the seller.
- Set Terms: Agree on the terms of the financing, including the monthly payment amount and duration (e.g., 30 years with a balloon payment after 10 years).
- Close the Deal: Plan to close the deal while specifying when payments will commence (e.g., three months after closing).
- Determine Resale Strategy: Decide on the resale price and potential rental income to ensure Positive Cash Flow.
Presenters/Sources:
- Lynette Wolf
- Ron LeGrand (mentioned as a training source)
Notable Quotes
— 03:26 — « Who wants to deal? Who? Go tomorrow! I'm just kidding. »
— 04:42 — « Oh, that stuff is old. It doesn't even work. »
— 07:15 — « That's funny! Yeah, I might choke up here. »
— 09:02 — « Woo! Yeah! Now, are these out there by the gazillions? Yes! »
— 09:22 — « Boy, your sights are high! That's two a week! »
Category
Business and Finance