One of the skills real estate investors must learn is how to do deal with houses that have little to NO EQUITY. Today let's go over a deal where the buyer just purchased the house a year ago so the loan balance is the same as the current value. When the house has no equity, we must determine how we can get paid and further still help the home owner, because most people have no idea. We'll go over the 3 things we look for to find out if we can do the deal. We'll also go over how to decide whether we should do a Lease Option, which means we don't go on title, or buy it Subject TO, which mean we will be the new owner. Another issue with this house is it has NO CASHFLOW either. This presents another issue because I learned years ago owning houses with no cashflow is a no-no. We'll walk through the numbers on this deal and go to the house meeting the seller and find out how we can help them the best.
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00:00- Intro
1:45 - 3 things to look for when a house has NO EQUITY
4:45 - The difference between Subject To and a Lease Option
10:40 - Let's look at the neighborhood and surrounding houses
12:10 - Meet the seller and let's walk through the house
16:32 - Let's talk to the seller about how we can help and put the deal together
19:45 - What we decided to do about this deal and what exit strategy we're going with
22:25 - What's the main determining factor in this deal
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#howtodonoequitydeals, #noequityrealestatedeals, #leaseoptionvssubjectto
https://youtu.be/rRh1XUePMEI
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