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21 Feb

What about Creative Financing?

Posted February 21st, 2008 | View Comments

Oh no. You’ve been reading those books, haven’t you?

Yes, they make entertaining reading and besides fill you up with all kinds of ideas about buying up entire streets and becoming a real estate mogul. Hey, nothing wrong with buying up streets and aspiring to be a mogul, or even being one. But realize you are not going to be able to trade your beaten up old 1985 chevy truck to get a 3 bedroom home that you can then rent out and make a fortune on five years down the road. (Yes, I can the books that trash Realtors for being conservative:))

Look, the best creative financing is usually the kind that works well. Seller financing, while not creative enough for most people, can work for example. But in today’s market where the best prices on homes are those that are in foreclosure, you are going to have a hard time convincing a bank to go for any kind of creative financing.

Your best bet is to get a loan and buy the home with no games attached. Even if it is incredibly boring.

  • http://www.daytonadoug.com/Port-Orange-Florida-Homes--6-110.html Port Orange Real Estate

    So for a beginer investor starting with a small project (that you would qualify for with a lender) and flipping or investing n for a period of time and then using that profit to make a major investment may be one way to go!

  • http://optionsrealty.com laurie mindnich

    Purva, I’m thinking that your suggestion makes a whole lot of sense, especially to those that enjoyed time in a “creative financing” market- by comparison, they’d have been better off bored!

  • http://www.sacramento-home.com/real-estate-agents/ John Lockwood

    Laurie,

    Thanks so much for stopping by! It’s always a treat to see your name in there.

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