In real estate investing, especially when dealing with seller financing, owner financing, and subject-to (SubTo) deals, the ability to close deals quickly can make all the difference in your success. Whether you’re an experienced investor or just starting out, there’s one question that will help you seal the deal faster. In this post, we\u2019ll break down the importance of asking this question and how it applies to strategies like taking over mortgage payments, wraparound mortgages, and rent-to-own deals.<\/p>
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Creative real estate financing offers significant opportunities, but it also requires asking the right questions to determine a seller\u2019s willingness to make a deal. Seller financing, SubTo deals, and owner finance strategies all rely on the investor\u2019s ability to identify motivated sellers and propose creative solutions. <\/p>
The key question I always ask is:<\/p>
“If I can make your monthly payments and keep making them until we cash out the underlying debt, will that work for you?”<\/span><\/p> <\/span><\/p> This question not only opens the door to taking over mortgage payments but also helps the seller feel confident in your ability to solve their problem, whether it’s financial hardship or the need to move quickly.<\/p> <\/p> <\/span><\/p> Seller financing is one of the best strategies for real estate investors looking to scale their portfolios without relying on bank loans. By offering to take over a seller’s mortgage payments, you’re giving them a way out of their situation while also securing a profitable deal for yourself. Asking this key question ensures you’re dealing with sellers who are motivated and ready to negotiate terms that work for both parties.<\/p> When a seller responds positively, it usually means they\u2019re open to:<\/p> <\/span><\/p> <\/span><\/p> Subject-to (SubTo) Investing<\/span> When you ask the seller if you can take over their mortgage payments, you’re setting up the perfect opportunity for a SubTo deal. In this scenario, you take over the mortgage without officially assuming the loan, which allows you to control the property without using your credit or securing new financing. This is particularly attractive for sellers who are behind on payments or need to move quickly.<\/p> <\/p><\/li> Seller Financing<\/span> Seller financing is a great alternative when the seller owns the property free and clear or has significant equity. By asking to make payments directly to the seller, you’re bypassing the bank and creating a win-win situation where the seller earns interest, and you acquire the property without a traditional loan.<\/p> <\/p><\/li> Wraparound Mortgages<\/span> In a wraparound mortgage, you offer to take over the seller’s existing loan while structuring a new loan that includes the seller\u2019s equity. This is a fantastic strategy for sellers who still owe on their mortgage but want to sell the property quickly. By using the right question, you can gauge whether the seller is open to this creative solution.<\/p> <\/p><\/li> Rent-to-Own Deals<\/span> For sellers who may not be ready to fully part with their property, a rent-to-own arrangement can be a great solution. By asking if you can make monthly payments and structure a future purchase, you\u2019re offering the seller a flexible solution while setting yourself up for future ownership.<\/p><\/li><\/ol> <\/span><\/p> The magic of this question lies in its ability to reveal a seller\u2019s motivation. Once a seller responds positively, you know they\u2019re open to creative financing options. If they respond with hesitation, you can dive deeper into their needs and tailor your offer accordingly. Either way, you\u2019re able to filter out unmotivated sellers and focus on deals that are more likely to close.<\/p> <\/p> Cold calling is one of the most effective ways to generate free leads for real estate deals. By asking the right questions on these calls, you can quickly identify which sellers are motivated and interested in creative financing options. If you\u2019re looking to scale your real estate business, learning how to cold call and master techniques like “calling for dollars” is essential.<\/p> <\/p> This single question acts as a powerful filter, allowing you to focus only on the most promising leads. By mastering this technique, you\u2019ll waste less time chasing unmotivated sellers and spend more time closing deals that will grow your business.<\/p> <\/p> <\/span><\/p> Creative real estate investing is all about providing flexible solutions to sellers who need to move fast. Whether you\u2019re interested in seller financing, SubTo investing, or wraparound mortgages, asking the right question is key to identifying motivated sellers and closing deals quickly.<\/p> <\/p> Want to dive deeper into these strategies? Grab a copy of my book at TheNewFlip.com<\/a> or visit MyRealEstateDojo.com<\/a> to learn more about mastering seller financing and creative financing in real estate!<\/p>\n\n\n\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":635,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"pagelayer_contact_templates":[],"_pagelayer_content":"","_wp_convertkit_post_meta":{"form":"-1","landing_page":"0","tag":"0","restrict_content":"0"},"footnotes":""},"categories":[20,51,18,76],"tags":[46,43,241,44,45,35,25,40,42,22,21,23,24,41],"class_list":["post-2467","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-close-a-sale","category-negotiation","category-owner-finance","category-wholesaling-real-estate","tag-creating-note","tag-creative-finance","tag-creative-financing-strategies","tag-owner-carrey","tag-owner-carry-note","tag-owner-finance","tag-owner-financing","tag-rent-to-own","tag-seller-finance","tag-sub-2","tag-sub-to","tag-subject-to-investing","tag-subject-to-real-estate-investing","tag-we-buy-houses"],"_links":{"self":[{"href":"https:\/\/myrealestatedojo.com\/subto\/wp-json\/wp\/v2\/posts\/2467","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/myrealestatedojo.com\/subto\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/myrealestatedojo.com\/subto\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/myrealestatedojo.com\/subto\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/myrealestatedojo.com\/subto\/wp-json\/wp\/v2\/comments?post=2467"}],"version-history":[{"count":4,"href":"https:\/\/myrealestatedojo.com\/subto\/wp-json\/wp\/v2\/posts\/2467\/revisions"}],"predecessor-version":[{"id":4388,"href":"https:\/\/myrealestatedojo.com\/subto\/wp-json\/wp\/v2\/posts\/2467\/revisions\/4388"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/myrealestatedojo.com\/subto\/wp-json\/wp\/v2\/media\/635"}],"wp:attachment":[{"href":"https:\/\/myrealestatedojo.com\/subto\/wp-json\/wp\/v2\/media?parent=2467"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/myrealestatedojo.com\/subto\/wp-json\/wp\/v2\/categories?post=2467"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/myrealestatedojo.com\/subto\/wp-json\/wp\/v2\/tags?post=2467"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}How This Question Leads to Seller Financing Success<\/span><\/h4>
Creative Financing Strategies That Work with This Question<\/span><\/h4>
The Importance of Understanding Seller Motivation<\/span><\/h4>
Generating Free Leads Through Cold Calling<\/span><\/h4>
Why This Question Boosts Your Success Rate<\/span><\/h4>
Conclusion: Start Closing More Deals with This Question<\/span><\/h4>