TenantBuyerList.com builds lists of tenant/buyers that are searching for "rent to own" homes nationwide. Often, home owners and landlords will ask us if we have buyers for their particular home. The answer: It depends. Watch the informative video here to get the full answer and see if selling your home, rent to own, is right for you.
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Most real estate investors who've bought a few single family homes to help fund their retirement are not excited about being landlords.
The reason is because being a landlord requires to answer late-night calls regarding leaky faucets, leaky roofs, and other problems that go with being a housing provider. Many landlords become disenchanted with their investments and ultimately decide to sell so they can free themselves up from all of the hassles and complaining tenants, so they can enjoy their lives again. But when you sell, "Rent to Own," at least in the way that we do this kind of transaction, our home owners never have to be a landlord at all.
List your home with us and get instant access to thousands of eager-to-buy tenant/buyers waiting to see your home, absolutely free here. Sincerely, Richard Israel TenantBuyerList.com P.s. If you haven't watched our free, 15-minute, content-rich video showing you how to sell your home for your full asking price while paying zero in commissions or fees, click here now.
First, this blog post won't be a "Realtor bashing session."
That said, this post will be a sort of a "road map" for you and your Realtor to follow in the event your Realtor is unable to sell your property for either:
3 Signs That Your House
Is Not Going to Sell Any Time Soon
There can be a few reasons why your Realtor can't sell your home for the price you want, and/ or in the time frame you want it sold.
Sorry, I know for home owners, hearing that they are over priced is as fun as having your nose hair pulled, but... it is what it is. In no way to I want to indicate that your house does not have the value you feel it does. I'm simply stating that in the given market you're in, what you're being offered for the property (if at all), is what the market will bare (at that time). If no one is calling you to see your house once it's listed, or if they are calling and coming out to see it, but not making an offer thereafter, you have over priced the home based on what the market is willing to pay at the time you are offering your home for sale. Most likely, your Realtor simply has not told you this, or... they've tried to, and for some reason, you've decided to still price the home at a price you are more comfortable with, but is still higher than what your market will bare.
How to Sell Your Home In 7-14 Days,
...Even If You're Over Priced
The title above may be a little bit confusing, since I just got thru stating that the reason your house is not selling is that you, or your Realtor (or both) have over priced your home.
Well, I'm specifically talking about the purchase price here. And when that's too high in a market where you're trying to sell "conventionally" - the house will sit.. One option is to simply do the obvious: Lower your price. However... another option is to sell your property, "Rent-to-Own." When you sell your home, "Rent-to-Own" using what is called a "Lease with the Option to Buy" (or "Lease-Option" for short), you can price your home in ways you could not do so in a "conventional" market.
3 Ways You Can Sell Your Home Using a "Lease-Option"
That You Can't Do... When You're Selling Conventionally
Selling your property on a "Lease-Option" opens you and your property up to a market you're currently missing out on right now.
It's the savvy investor way of getting 3 times the exposure to a given property and getting it sold within 7-14 days, without paying a dime in commissions.
Granted, there is much more to this, and how it is structured than what I've laid out in this blog, so please don't scream, "What??? That's not true!" or "My Realtor says you're full of it, Russ!" Relax.. This is meant to be an "overview" (a simplification), not an exhaustive look at how to structure your unique situation, based on your specific needs and wants. However, if you'd like to learn more specifics, and even have us craft a specific offer for your specific needs and wants (with no obligation whatsoever), click here now. We'll show you exactly how we can help you, even if you have an agreement with a Realtor, since we do not represent you, nor are we trying to take their listing away from them. We act solely as Principals, and represent ourselves only. In doing so, this allows you to leverage our expertise without having to pay us a dime in commissions or even consulting fees. We're only paid by the "end" tenant-buyer we bring (and that you approve of), and by them only.
How We Can Help Your Realtor... to Help You...
Get Exactly What You Want When You Sell (Even If You're Locked Into A Listing Agreement).
If you and your Realtor are finding yourselves with a house that just won't sell, and you're both open to an alternative way to selling your home, click here now.
All we need to do is slightly modify your original agreement so that we can ensure you get your house sold, and your Realtor gets paid upfront v. waiting until the end of the lease term to get paid. In the end, you will no longer have a second mortgage to pay for and your Realtor will be compensated for all of their hard work. We will structure everything in a way that we get paid too, so everyone is happy. Feel free to have your real estate attorney involved every step of the way also, if that helps to put you at ease with this process. We have nothing to hide and we've been doing this 100% online since 2009 without a problem whatsoever. FSBO? How to Get $5,000 (or More) in Repairs When You Sell, "Rent-to-Own" (a.k.a. Lease-Option)7/2/2016
In the last 7 years of selling Option rights to home across the country, we've never once had a problem getting our tenant-buyers to pay the first $5,000 in (any) repairs that the house needed.
In fact, it's easier than you think. It's really just a matter of adding a clause that says something like: "Tenant-Buyer(s) responsible for the first $5,000 in any and all repairs to the home during the lease-Option period. All needed repairs must be first approved by the home owner(s) before any work is performed, in writing, and all work must be performed by a licensed and bonded repairman."
I usually use the $5,000 range for properties in the $200,000 Option price range, so if the home is a higher-end home, say in the $500,000 range and above, you can always increase this amount to say, the first $10,000 in repairs, etc.
You'd be amazed at how easy it is to have your future tenant-buyers agree to this. And that's not because you're taking advantage of them in any way, shape, or form. It's simply that in exchange for equal value, the tenant-buyer gets a bunch of perks that make agreeing to this arrangement a "no-brainer" like:
Difference Between a Lease-Option and a Contract for Deed Explained by Attorney Bill Bronchick7/2/2016
When considering selling your property with creative seller financing such as a lease with the Option to buy, or a "Contract for Deed" (also known as a "Land Contract" you've really got to decide how much control you want to give the "end" tenant-buyer and/ or Buyer when you sell.
Attorney Bill Bronchick explains the differences in each of these types of contracts and what you should consider before selling in either fashion. Since I'm not an attorney, and I do not ever give out legal advice, I figured I'd let a real estate attorney like Bill Bronchick explain it all to you here in this video:
Keys Differences to Consider Before You Sell
Using Either a Lease-Option or a Contract for Deed
In the last 7 years of working with home owners, wholesale real estate investors, landlords, property managers, and Realtors, I've noticed quite a bit of confusion between these two exit strategies, so the goal of this blog and the video above, is to help you understand the fundamentals of both before you enter into a contract.
Lease-Options:
Contract for Deed:
If I were to look for help renting-selling my property online, the following would be a list of my obvious concerns when it came to who I decided to work with on the transaction.
Especially if the help I ended up getting was from someone out of state, and whom I may never meet or see.
Maybe You Can Relate to Some of the Following Concerns Too
If these are concerns that you've had in your mind as you search the internet for help, solutions, and ways to sell your home without paying commissions or fees, you're not alone.
And frankly, I don't blame you. I would think the same things. Hopefully these answers have shed some light on who we are, what we can do for you, and have helped you better determine if working with us would be a good fit for your specific needs and wants. We too have fears and concerns, at times, as we've been "burned" by folks that we've worked with in the past, so trust me when I say, we understand. After all, though we sign contracts, for some reason there have been sellers that have tried to circumvent us and steal buyers we've sent them. So concerns can really goes both ways, right? There's an old saying that I love that goes something like this: "That which we compromise to gain, we ultimately lose."
So What's the Point?
Do the right thing always, and win long-term.
If you have the questions I mentioned above, or others (since this is not an exhaustive list), please reply to this email now. I will personally answer your questions, and there is no obligation to work with us. Our goal is to help you, the "end" tenant-buyer, and ourselves, win. We don't want you to spend thousands of dollars of needless commissions or fees, or ultimately have to lower your price over and over again, because your house is sitting on the market collecting dust.
I've got to say that of all of the pricing and terms you'll want to offer your future tenant-buyer, THE most important price is... your rental price. Bar none.
Of course, you want to sell at the highest purchase price, but since you're selling, "rent to own" (Lease with the Option to buy), if you overprice your rental amount, your house will sit and it matters not how much you want for your over all purchase price. Get this part wrong and you'll only succeed in showing your home to your nosy neighbors. Often when my affiliate team and I inform a seller that we can get them their full asking price, and help them fully avoid paying any commissions or fees in the process, some sellers will get the nutty idea that they can simply ask whatever rental price they want - and they'll get it. Wrong. With the Internet at the fingertips of 5 year olds these days, it takes but a few seconds for a home seeker to plug in the area the want to live in and the price range they want to pay.
Take Craigslist.org for Example...
All your tenant-buyer has to do is plug in their criteria, and within seconds they can quickly shop you (and your competition) and decide if they feel your priced right - or over priced.
Granted, you are selling, rent to own, and you're giving other great terms that may very well justify a higher price, but... that doesn't mean that the tenant-buyer population, at large, has any real clue of why they should pay more for your home over your competitors. And while you may be perfectly justified in charging $100-$200 more per month for your rental price, being justified in charging more and actually succeeding in renting/ selling your home to a tenant-buyer are two different things. I recommend that you make your money on a higher Option price (the purchase price you'll sell your home for) on the back end, instead of raising the rent on the front end (at least in the beginning). There are other ways you can be fully compensated for the great terms you'll be extending your future tenant-buyer that won't price you out of the market. To price your rental amount correctly, there are several ways you can start, and while the following list is by no means exhaustive, it's fair to say that it's a quick, easy, and free way that you can get an idea of how much you should charge.
#1: Rent-O-Meter.com
#2: Zilpy.com
Richard, what happens if your
tenant-buyer destroys my property and becomes the Tenant from Hell?
The Key Differences Between Having
Just a Tenant Versus Having a "Tenant-Buyer"
Most people we work with initially miss the distinct differences between a conventional tenant and the "tenant-buyers" we work with, and are naturally concerned they'll get stuck with the "Tenant from Hell."
The Disadvantages of Having Just a Regular Tenant
While not all tenants are bad, and some do a great job at taking care of their rental, let's face it; there are horror stories of bad tenants who've destroyed property owners homes for a reason.
Here's why:
Advantages of Having a "Tenant-BUYER"
As you've probably guessed, a great tenant is one who:
Conclusion
I understand your concerns.
Trust me. I realize that you don't want to put someone in your home that will be ungrateful, turn around and destroy the property, and then leave you stuck with the bill. I get it. And while there are no guarantees, even with a tenant-buyer that we send you, I hope that the information above has given you "food for thought" on the subject and demonstrated that yes, while there are no guarantees, at least with the tenant-buyer we send, you've got someone who is willing to give you a large, non-refundable deposit for your protection. And of course, we:
All of this would then be presented to you, your Realtor and/ or attorney for review prior to our assigning of contracts, so you are never left in the dark as to who you're getting as a tenant-buyer - never. |
AuthorRichard Israel is a seasoned, wholesale real estate investor specializing in creative seller financing exit strategies. ArchivesCategories
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