If you’re looking to invest in real estate, but you don’t have cash or good credit, Chris Prefontaine has a strategy for you. He focuses on buying real estate on terms and teaching others his strategies. He is the author of Real Estate on Your Terms – Create Continuous Cash flow now without using your cash or credit. On this episode, Chris goes into more detail about rent to own strategies, sandwich lease options, and how to determine if a seller is open to creative financing.
Key Market Insights
- Lease purchase or seller financing gives buyers time to save and fix their credit
- 80% of buyer pool can’t get a traditional loan today
- Some people do this for tax planning or estate planning
- About 30-40% are open to seller financing
- Most of these sources are expired listings
- Strategy works for owners who want the best price and can wait for it
- Chris met two students who spent $100,000 and never did a deal
- Chris will do the deals with the buyers and sellers
- If you’re going to have a system, put the blinders on and get a deal done
- Every single deal has 3 distinct paydays: Cash Now, Monthly, On the Exit
- Other names: rent to own, sandwich lease options
- Cannot do sandwich lease in Texas
- What if a buyer beats up the property, – this is the concern
- Many teach you to build a buyers list first, but you can use Craigslist, rentlinks and find buyers
- Appfolio is for 50+ units, syndicates to multiple portals
- Starts paying the mortgage payment directly
- Tenant puts a non-refundable down payment, manages repairs, monthly spread
- Massachusetts and Rhode Island are fairly hot, Connecticut has a high tax rate
- Students are cranking out 1+ deal plus month – 500-600 month
Bull’s Eye Tips:
Winning Your Market: Solving their challenges
Tracking Market Changes: Speed of closing – avoid national
Daily Habit: Working out or meditating
Resources:
Freesrecbook.com
Best Business Books:
Principles by Ray Dalieo
Digital Resources
Audible
Blinkist
Tweet This: “Every market is not hot”
“80% of buyer pool can’t get a traditional loan today”
Places to Grab a Bite:
The Mooring in Newport, Rhode Island
Connect with Chris:
Website: Smartrealestatecoach.com
Podcast: Smartrealestatecoachpodcast.com
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