As Scott mentions, the idea of getting your commission when an Option is exercised and the transfer takes place, is not very appealing to an Agent.

However, like most things in real estate when an Agent gets paid their commission can be negotiated.  We know quite a few Rent To Own (Lease/Option) sellers that pay the Agent 50% of the commission…[Read more]

Hi dgirl

Have you approached the owners to see if they would sell the property to you with vendor finance (VF).  I'm guessing the owners aren't finding it easy to sell traditionally so they may consider a VF sale.

Cheers,  Paul

Hi gags

Not too much    You do get to use the Associations logo on your promotional material and the Association does have a professional code of conduct but the meetings are the 'cream'.  The Association doesn't put out a vendor finance newsletter so we filled that space with our newsletter, the VFI News, that's been going for a couple of years…[Read more]

Hi Dippa

Yes the RESULTS program is still running.  See:  http://www.resultsmentoring.com/

Cheers,  Paul

It's not free but we do sell a vendor finance calculator that originally came from an excel spreadsheet.  A video on how it works is at:  http://www.negative2positivecalculator.zreply.com/

Cheers,  Paul

This is a pretty good one:  http://virginmoney.com.au/home-loans/calculators/amortisation-calculator/

Cheers, Paul

Hi Scott

The Vendor Finance Association is a great place to meet vendor financiers.  Dates and details of meetings are available at:  http://vendorfinance.asn.au/meetings-and-memberships/

Cheers,  Paul

Hi gags

From your question I'm guessing you have some interest in learning more about Vendor Finance.  I don't have any first hand experience of Sean's courses but the Vendor Finance Association is a great place to meet vendor financiers.  Dates and details of meetings are available at: …[Read more]

Hi Penpro

I'd go back at Richard's (Qld007) suggestion, i.e. Have you consider providing some form of Vendor Finance or second mortgage carry back?  'If you make a property easy to buy, you make a property easy to sell'.

Cheers,  Paul

A lot of Lease/Options, i.e. Rent To Own's, have what are called Price Credits built into the agreement, i.e. a portion of the rent is credited towards the deposit on the property, IF the Option is exercised and the sale completed.  I've also heard them called Equity Credits and Rent Credits.  Same thing though.

Cheers,  Paul

Hi Belinda

You may get a few ideas about doing a vendor finance transaction by yourself or in a JV with an experienced vendor financier at  http://www.negative2positive.com.au

Cheers,  Paul

Hi Cherie

Just be aware that second mortgage security is pretty ordinary, especially if your buyers first mortgage is already at a high LVR.  That's why second mortgages are so expensive out the in the commercial world, i.e. the people who do this type of lending on a regular basis know the extra risk involved and charge accordingly.  In our…[Read more]

We do the same as Terry and Richard with the added cover of having the words, 'this property is being sold with and Instalment Contract' included in the policy, i.e. the fact that the property is being sold with an Instalment Contract has been accepted by the insurance company, i.e. Vero.

Cheers,  Paul

Hi gags

The following article about Lease/Options may help:
https://www.propertyinvesting.com/strategies/lease-options

Cheers,  Paul

Hi Belinda

The buy the house for a dollar idea can be achieved by what are generically called an 'assumptive joint venture' or an 'assumptive lease/option'.  I treat them as very advanced vendor finance strategies and would suggest that they should not be considered until you have a good experience level in the VF industry.  If you do happen to…[Read more]

Hi Bel

Cutting off the FHOG to eligible first home buyers, buying an existing property (2nd hand) is only happening in NSW.  It will effect first time buyers, using a vendor finance Instalment Contract, in the same way it will effect a buyer under a 'traditional' Contract of Sale.

Vendor Finance buyers in any State, buying with a Lease/Option…[Read more]

Hi David

We use a slightly different method to live off our positive cash flow.  It revolves around 'vendor finance'.

We started out buying properties and selling them with vendor finance, to create positive cash flow to support our buy and hold portfolio.  This gave us the result we wanted but ultimately the cash flow created from the vendor…[Read more]

Hi Alex

We and our JV partners often buy properties with I/O loans and on-sell them with a P&I vendor finance Instalment Contract.  This works for us because all our loans are limited to 5 years on I/O.  They then revert to P&I.  Us being on I/O and our buyers being on P&I has the effect of pushing our profit forward, by way of greater monthly…[Read more]

Just a small point regarding the payment of Stamp Duty in NSW.  Unlike Vic where it's payable on transfer of Title, in NSW it's payable within 90 days of 'exchange' of Contracts.  In Qld it's within 30 days of 'exchange'.

Cheers,  Paul

Hi PaperChaser

Banks tend to get off peoples backs when loan repayments get caught up and repayments become regular again.  If you can buy a couple traditionally, more power to you.

However I like to buy properties with as little of my money in the transaction as possible.  I'm not saying that you don't give the vendors a fair price, you do. …[Read more]