Thanks for posting that–that was brave! Sort of a lesson in what not to say. Sounds like you explained too much about YOUR situation to the seller. It appears you made it sound -to her- that the time it takes your L/O tenant to qualify (the purpose of the L/O–that they can’t right away) sounded to her like
you were just presenting it as regular financing.
But it’s good to have asked the questions, presented
the offer and see how it got interpreted in the mind
of the seller.
Her mtg is $610 and she is going to L/O it for $575/ was that a typo? Or all the market will bear? She is advertising to rent to own for less than her mortgage payment? What am I missing?
PS, someone will no doubt direct you to MattB’s FAQ for sellers
post on Money Making Ideas in the left hand column of
home page. …Ann
Is it something I said?(kinda funny and long) - Posted by Debra(SC)
Posted by Debra(SC) on November 24, 2000 at 14:19:53:
I contacted a seller back in October who lives 4 1/2 hours away and has a house here in my town - 3/1.5, nice neighborhood, nice brick SFH but NO central h/a. her mortgage is $610/mo. she was a little anxious to get rid of the house then, but not enough to do a lease option or anything creatively because she wanted to sell the house within 3 to 6 months instead of 1 to 2 years that I offered a L/O.
I called again today and she now has her house in the paper (starting tomorrow) as a LEASE OPTION with a rent of $575/month(did I put that idea in her head?). I mentioned to her that is what I wanted to do back in October. She said something about not being ready to do that then (understandable), but now she is a little more desparate and needs to get rid of this house. So I told her she could keep her L/O ad in paper and have an agreement with me to do a Purchase option, which would give me time to get my financing together for whatever amount of months is good for her and she could take whichever one came first. To make a long story short, after I explained the purch. option to her, she asked “who’s going to pay for the house?” (she’s now confused) “It doesn’t take 3 months to get financing. I have a house and a apartment and I am now buying another house here and I didn’t have any problems getting financed…(blah-blah)” and ended with an emphatic “NO…I DON’T WANT TO DO BUSINESS” (with me, I presume)
“My girlfriend, bless her heart, helps people get financing for people and she’s not a broker.”
Anyway, I finally decided it’s time quit with this girl because I apparently struck some kind of nerve!
Lessons learned:
Lesson 1 - don’t push the seller (although I didn’t think I did.
Lesson 2 - don’t tell the seller too much because it confuses them (which is what I think I did).