Posted by Mike(Al) on October 07, 2002 at 21:52:02:
I would take the higher payment/shorter term,this way you can turn your money faster and turn more deals faster.
What is Better - Posted by Tennessee Bob
Posted by Tennessee Bob on October 07, 2002 at 16:08:33:
Just bought (stole) a 88 model 2/1. Cant decide which is better, Higher payments and less months or lower payments and more months for the new buyer. Either way, I can make the % return work out the same. What would you do?
Tennessee Bob
Better Yet - Posted by Tony-VA
Posted by Tony-VA on October 08, 2002 at 08:13:14:
I agree with Mike, more money sooner is certainly a nice option.
Just keep in mind that you now know how to use the different variables (payments, time, Interest, and sales price) to maniuplate the numbers to make the deal work for the Buyer.
Some buyers (particularly during tax return season) have a good size down payment but cannot afford higher monthly payments. Work those numbers!
Others can make higher payments but have less to put down. Work with those numbers.
The ability to work those numbers to put the deal together is what makes you and your business succeed by solving problems.
Best Wishes,
Tony-VA