Is it possible to buy property for no money down? Of course--there are many ways to totally finance the purchase of real estate. It just takes some imagination and some O.P.K. (Other Peoples Knowledge). Here are six ways to buy property using very little or none of your own money…

#1 Owner Financing A fast and easy way to acquire financing is by persuading the seller to finance the purchase. Look at all these benefits: · No Credit Check · No Loan Apps · No Banks · No Waiting · No Closing Costs · No Stress · Better Interest Rate · None of Your Own Money

The only problem with this tactic is that it is sometimes harder to achieve than some of the more conventional methods. But it can be done if you find a truly motivated seller.

#2 Partners Another great way to purchase with none of your own money is by using partners. This too has many benefits. · No Credit Check · No Loan Apps · Less Waiting · None of Your Money · Better Rates · Easier to Find

But this tactic has a few more drawbacks-such as: · Some Paperwork · Banks Maybe · Some Closing Costs · Stress · Less Profit for Yourself

How would a partnership work? You have to make a plan that will be good for you and attractive to someone with money. One way could be you do all the work and your partner provides all the money. Now you only have to decide how you will divide any profits the property produces.

Who might be prospective partners? · Anyone with money · Professionals--Doctor Dentist Accountant · Friends · Neighbors · Co-workers · Church · Club Members

What would attract a partner? · Good deals · Tax breaks · Profits · Prestige

Just be sure to get everything in writing before you start the deal. And please consult a good real estate attorney to help you organize the partnership structure and the partnership agreement.

#3 Investors Using investors is also a great way to finance your real estate deals. You just pay them for the use of their money and you get to keep more of the profit than with a partner.

What will attract investors to your deals? · Security · A good return on their investment · Liquidity

What are some ways to find investors? · Run ads in papers and tabloids · Put on your business card · Put out brochures in professional offices · Put out brochures in public places · Go to investment clubs meetings · Talk to everyone you meet about investing · Search the web · Do a web site

Again be sure to get everything in writing before you take any money from an investor and be sure to consult a real estate attorney to help you with the paperwork.

#4 Subject To "Subject to" means that you purchase a property--leave the existing financing in place. The purchase contract would specify that you are buying the property "Subject to" the existing first and or second mortgage.

Is this legal? My attorney says "yes" but check with your attorney. Is it wise? That depends on how you write the terms of your agreement with the seller. You need to be sure that you will be able to pay that mortgage payment on time every time. As long as you pay on time everything should go smoothly. But you risk loosing your equity should you fail to make the mortgage payments.

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