100% financing - Posted by Landon

Posted by Doug on December 17, 1998 at 03:22:06:

Listen to Redline he makes alot of sense…

Douglas Timko

100% financing - Posted by Landon

Posted by Landon on December 15, 1998 at 13:59:48:

I’ve got an opportunity to purchase a property for 49,500. The 100% financing is not from the seller. It has been on the market for 3mos., and the realtor tells me homes like it are renting for 400/mo. what now? What kind of questions should i be asking?

100% of nothing is … - Posted by Redline

Posted by Redline on December 15, 1998 at 15:55:10:

Landon: You say you can purchase a property for $49,500 but you don’t talk at all about the property. Is it worth $49,500? Maybe $75,000, or maybe $30,000? See where I’m going with this? Just because you can 100% finance something (by the way - where is the 100% coming from?) doesn’t mean it’s worth it.

You have to make your money going IN to a property. Find out what this property is worth. Find out what similair properties have sold for and find out what they rent for. Because the “realtor told you” doesn’t cut it. You’ve got to do your own homework.

So … here are a couple of good questions to start:

  1. What’s the property REALLY worth?
  2. What could it rent for?
  3. Why hasn’t it sold in 3 months?
  4. Once I find out what I think it’s worth, how much can I get it for so I can make my money going IN.
  5. What would be the best way for me to finance this purchase so I can make my money going IN.

Good luck,