We have similarly, though not so richly, done a couple where there was 100% financing with the bank carrying a 1st and the seller a second to total 100%. In one instance, our TOTAL OUT OF POCKET was $254, because of an error in the settlement statement… othrwise it would have been ZERO. I keep reminding myself that we are not buying property, but are buying circumstances, and whatever resolves the seller’s problem WORKS!
Carol
Has anyone used the no-money-down techniques to buy commerical rental property, i.e., 8 units or greater?
This has been my focus. The biggest problem I have is finding a willing lender, one who is comfortable with a purchase that is 100% financed. My usual approach is to have the bank lend 75% and the seller carry the rest.
The commercial bank that was so willing to lend 75% on my first purchase would only lend 65% on next one.
Re: Multi-unit properties bought no-money-down - Posted by Milt Tanzer
Posted by Milt Tanzer on October 29, 1998 at 13:24:53:
I have purchased a couple of apartment complexes with “No Money Down”. Details on how I put them together can be found on the “No Money Down” page of my web site: investmentre.com The second example, due to space, is not complete. E-mail me and I’ll be glad to send the complete details. Milt Tanzer
Robert,
I have to say yes to your statement. We just purchased a 10 unit W/ No money down. ours was like this
Assumable 1st
Assumable 2nd
Seller carry balance
Please let me clarify 1 thing, We did have to pay out of pocket the Assumption fees $3600.00 + 1/2 Closing cost of $1500.00, but the cash flow is $4500.00 per mo. so our ROI is recouped after the first month.
Pat