The Good, The Bad, and The Ugly About Contract Sales!
This is your opportunity to learn how a typical real estate investing in underserved communities does social good, by generating multiple revenue streams for investors. True podcast series host and investor Ryan DeMent candidly shares his personal experiences and current industry insight that you won't find elsewhere. Let's get right to it. Ryan DeMent here from TruVest. Hope you're having a great day. Today's topic owner financing contracts. I have to say I'm fired up because I get anywhere between five to 10 calls a week on contracts and guess what? They're worthless. And the reason why is because they're not recorded. They don't give you any type of home ownership. If that contract that's put in writing and it's not recorded with your county assessors office and you become the actual owner of the property, you're getting no benefits. And the other piece of it is probably 90% of the contracts that are recorded or put together don't even get reported to your credit. So that balloon came that you have 12 to 24 months down the road. Guess what? You have to go get a real mortgage from a bank that potentially is not going to actually finance you because your credit is not good. So why do you want to do a contract? Good question. I don't have an answer, but I can tell you this. If a contract is done right, it should benefit you. It should one list you as the owner. Two, it should be serviced by a mortgage entity to where you send your payments to three, it's reported to the credit bureaus. So you get positive and negative tradelines for your payment history and the fourth, you should be able to write off the mortgage interest on that property when you're making those payments annually.
There is How Much in Closing Costs?
Hey guys, Ryan DeMent here from TruVest hope you guys are having a great day on this podcast we are going to talk about closing costs for a mortgage and this example is going to be on an FHA loan for $80,000 the reason why I'm doing this is we get a lot of people telling us that they think buying a home with a mortgage, you're going to come zero out of pocket. Well, there are some loans that are that way. There's a VA and there's a USDA that I know of and guess what? You have to be a veteran to get that or USDA is you basically live in a rural area. Well everywhere we're working at right now is not rural and the individuals that are coming to us right now are not veterans. The veterans that we are working with totally understand this process and willing to work through it, but most people that we're talking to and we educate them upfront that they literally need to have 4.5 percent of the purchase price in their bank today to make this purchase work. If you have any questions, comments, please feel free to reach out to me. Look forward to talking to you guys. Have a great day.
Travel Updates, Connections, and Market Insights!
Hey guys, Ryan DeMent from TruVest hope you're having a great day. Third installment of the Vlog. Got Three things to talk about my trip to Indiana last week and the good people that I met, some things that are going on with us and last is a little bit more of a general market overview of what I'm seeing with the tools I'm using. Some of the things that, that I'm coming across and how we're going to look at them. Because as much as we don't want to say it, there is a market correction coming. It's out there, it's brewing, we're looking at it, but we've got to do something with it. So I'm going to talk a little bit about it, put it out there up front, talk about what we're doing. So let's get started. So last week I was in Indiana, had a great time. I met some great people. I got to meet Stephen Ralph, the director of antipoverty initiatives at the Evansville Christian Life Center. They've got a great educational program that we're going to jump on board with and refer potential home buyers to that need some extra help with financial literacy and then also their credit. So I'm really excited about that. So I'll share a little bit more about that. Met Two individuals that are fed up and ready to be homeowners, and the beautiful thing about it is they're ready to make that leap in themselves, in that change to where they can be able to make a difference in their own life and become a homeowner. They're not looking to rent, they're not looking to hang around, they're looking to be able to push forward. And they finally have hit a point in their life where they said, hey, guess what? I want to make a change and I'm here and it's refreshing