Setting up investors/ buyers for lease option

[stevie-o]

Hi, newbie here.

I was wondering if anyone here has any experience locating and selling the retail (rehabbed) properties to Investors or buyers.

With the market slowing down I think this can be a great strategy to move the houses quickly. I've considered taking an ad out in the classifieds to try to build a list of investors who do not want the hassle of a rehab but are looking to build their portfolio of REO.

Also, do you have any suggestions to locate renters for the lease options?

Thanks.

[stevie-o]

make any sense?

I guess I'm trying to see if there are easier ways than just the regular listing the home on the MLS and crossing my fingers.

Would an investor want a newly rehabbed home as long as it might be cash flowing?

[reiauctions]

If I understand correctly it sounds like you want to put a lease-option tenant into a property and sell it to an investor.  I think that is a pretty good strategy as long as you do a good job screening the tenants. 

The investor then gets a property with an option fee that goes to them when they close.  The other good thing about that strategy is that you are getting income until you find a buyer.

If you visit you local REI clubs you will be able to network and find investors who are "buy and hold" and looking for more properties.

[stevie-o]

Sounds like you are getting what I am saying...

How much below value do you think I am going to have to deal a rental to an investor...I know they probably are not gonna want to buy it at retail.

[reiauctions]

It's hard to say since it will depend on the rental numbers and where the property is located.  I know if you can shoot to sell at 80% of retail you will probably be okay, but so much depends on area and potential appreciation, etc.