How to Buy a Home or Property With No Down Payment or Very Little Down And No Credit Check


"This simple system is almost completely unknown to the general public!"
Print This Page

 What you read below is a simple method of purchasing a home or property..
 Take the steps outlined below and you will find yourself
living in the home you want!
 There will be a little work involved, for some more than others.
 But if you try this you can make it happen.
 Believe it! Try it!
 If you have some other course to obtain a home....good luck, but if not:

What have you got to loose to put some effort into this great idea?

 Step 1:  The key to success is finding a home or property which is being sold by the owner, not through a real estate agent. You cannot buy through a real estate agent because they charge the seller a fee, a percentage of the sales amount. That means a big down payment.  You have to read the classifieds in the newspaper, "for sale by owner" magazines or Internet sites.  Your best bet is the local newspaper and just driving around looking for handwritten signs that say "for sale" or any sign that says "for sale by owner".

 Step 2: The next step is simple enough, call the owner and ask if they will consider owner financing.  This means that the owner will hold the note and you will make payments directly to the owner, not a bank etc. 

 Step 3: If the owner says yes, that they will offer or consider owner financing. Ask how much will they need as a down payment. Don't let this put you off, they will always say the highest amount they think they can get.  This is just a starting point.

 Step 4: Go and look at the property. If you think the property is acceptable, then, you get down to the "terms".  The most important part of purchasing a property is the "terms" which is the amount of down payment and how much you pay a month, the interest rate, and how many years you will be paying. Mostly, the down payment and monthly payment.

 Step 5: Make your offer (see below).

 Why would a property owner finance his own property?  For various reasons.
 One he can sell much quicker than through conventional financing. Sometimes it takes weeks, even a month or more to complete a sale conventionally. He may not need "cash", he just wants to sell the property and make the interest on his money.
 He can get a better rate on his money by mortgaging his property that he could if he sold the property outright and put the money in the bank or some other risky investment.
 Plus if you default (don't make your payment) he even gets his property back to sell again. 

 I talked to a woman the other day who told me that she sold her property 3 times in the last 5 years.
 Each time the buyer defaulted. In addition to a small down payment, and the accumulated monthly payments, she actually made over $17,000.00 extra, than if she had sold her property the conventional method. Plus she did not have to pay any realtor fees!  This is why many property owners actually prefer to sell via "owner financing"! 
 She loves owner financing! 

 When you deal directly with the owner, you can negotiate everything, usually the owner has a friendly ear to your suggestions and you can be creative as to how you do the deal. 
 The amount of money you put down, the interest, the number of years to finance the property, and the monthly payments are all up for negotiation.

 How much should you put down? Well as little as possible is probably your answer.
 Nothing at all, if you have next to nothing to put down, may be the way you want to go.
 Most of the time the property owner will take less than he is asking so long as he feels you are sincere and will make your payments.
 The property owner does not want to foreclose on you, he wants you to make regular payments and keep your end of the bargain. If he feels you will do that, you can probably make a deal.
 Remember that there are hundreds of properties out there with owner financing, do not, I repeat, do not let yourself get too emotionally attached to any property. Why?
 Because it will cause you to lose your edge and you will be terribly disappointed if the deal does not go through. You might have to make this kind of offer two or three times before you find the right property where both you and the seller make an agreement that satisfies both of you.
 Don't show the property owner that you are desperate or that you are so in love with his property that you can't live without it! Be as business like as possible.
 Talk terms with him and act like if he rejects your offer that you don't care that much (even though you do care of course). This way he will be less likely to try to sell for a higher price and get more of your money.

 Here is an example of how you can follow this procedure and buy a property even with just $100 cash.

 Let's say you find a house for sale by owner.
 You call the owner and he says he would do the financing. 
 Next you go an look at the property and you like it.
 Next you talk to the owner and ask how much does he want and how much down.
 Let's say he wants $80,000 for the home with $4000 down and $500 a month for 30 years at 8%.
 You could offer:  $75,000 with a $100 deposit to start. 
 You could make the $4000 down payment in monthly installment payments of $500 a month and not to start the actual monthly payments on the principal until the down payment is completed in eights months.
 No matter how much the down payment is, you can reach an agreement on paying it through monthly payments after you have already moved into the home.
 So you would move in, pay $500 for 8 months (this completes your down payment of $4000) and then start the monthly payments on the principal of $500 a month.
 Congratulations! You have just bought an $80,000 property for a $100 deposit and nothing down. No credit check!
 You could make the same deal by offering something like this:
 Offer $70,000, with a $100 deposit (any amount you and he decide), move in, and $3000 down ($400 a month for 7.5 months) and then start the payments on the principal mortgage amount of $67,000 at $500 a month for 30 years or what ever you both decide on. 
 The seller should pay the closing costs.
 The key is that you decide what you can afford.
 Then you tell the property owner "This is what we can afford every month. How can we work this out. We like the property and promise to make regular monthly payments."
 Tell the owner that in the contract you want a 90 day relief period. That means that you can miss three payments before he can foreclose and take the property back. This is usually not a problem because the owner does not want to foreclose.  Actually in most states it takes up to six months to foreclose on a property and you can catch up on your payments and save your property at any time during that period.

 To save yourself a big disappointment, do not go out looking at properties that are out of your ability to pay. 
How much of a property can you afford? 
This is just a "ball park" idea of what you can afford.
If you can pay $350 to $400 a month. You should look for a property around the $50,000 range.
If you can pay $500 to $600 a month. You should look for a property around the $75,000 range.
If you can pay $700 to $800 a month. You should look for a property around the $100,000 range.
If you can pay $900 to $1000 a month. You should look for a property around the $125,000 range.

 Deals like this can be completed in a day or less. The actual closing date depends on how quickly the title can be searched.
  A title search protects you so that you know you are actually buying the property from the real owner and that their are no liens or other encumbrances on the property.

 Summary:
 1. Make your down payment with monthly payments.
 2. After the down payment has been met. Then you start the payments on the principle.
 3. Go by what you can afford every month. Do not over extend yourself.
 4. Get a 90 day relief period written in to the contract if possible.

 The above is just an example.
 You can apply this method to any owner financing property!
 It does not work every time.
 Sometimes the property owner needs more cash up front than you can offer.
 If you cannot make a deal, just move on.
 You will find that their are so many properties out there where the owners are interested in this type of deal.

 If the seller refuses to pay closing costs or pay for a title search.
 You can still make the deal.
 Have him pay the closing costs and title search and then add that amount to the down payment which you will be paying over a period of several months.
 Remember, you want to move in right away so that you are not paying rent somewhere else and paying monthly payments on the property you are purchasing.
 The owner will like this idea because once you move in, you have more motivation to make the payments.

 Mike H. personally purchased over $500,000 worth of real estate this year and have never had a credit check.
 In fact most of the time they do not even ask what he does for a living.
 He has just worked with the property owner.
 In every case the owner took his first or second offer. 
 There were many deals that did not go through, but that is expected because each property owner has different personal circumstances.
 For example if the owner is in his 70's, he may not want to finance for 30 years because he would never get the benefit of the payments in his lifetime.
 But another owner in the same instance may not care because he knows his heirs will get the benefit.

 You or the seller can purchase a "for sale by owner" kit at your local office supply store which includes various contracts.  Usually the property owner knows how to write up a deal and may have the proper forms.
 Any real estate agent will gladly write up the contract for the seller while you are both sitting there and you make sure you get everything written down just as you have agreed.
 They may charge the seller a fee to do this.

 Remember:
 If the seller wants to sell his property. 
 If you want to buy it.
 If you can make the monthly payments.
 You should be able to make a deal.

 Don't give up after only one or two attempts if you do not succeed.
 Remember the first time you try something new, it is harder than the second time. 
 Every time you do this you get better at it.
 Do not get emotionally attached to any property before you reach a deal, otherwise you will be very disappointed if the deal does not go through.
 Look at every negotiation as one step closer to getting what you want.
 Sound positive and don't look desperate.
 Take your time, there are plenty of properties out there that meet your needs and qualifications.
 This same method is used by people who have money and good credit, because they like dealing with the property owners directly.

 Here are some web sites that have listings of property for sale by owner: http://www.buyowner.com
http://www.salebyowner.com  http://www.owners.com/  and  http://www.forsalebyowner.com/ 
 Your best bet is to look in local newspapers.
 Look in small local papers as well as the larger metropolitan newspapers.
 Drive around the area you want to live in and look for the signs that say "for sale by owner"  or just hand written sign that says "for sale".
 How much will your payments be?  Here is a web site with a simple mortgage payment calculator.http://www.loanlane.com/mortgage_calc.html.

 Since each state may have some different laws about real estate transactions, it is a good idea to contact someone in the real estate business and discuss with them any special laws in your state. EGM does assume any responsibility for any actions that you take or negotiations that you participate in.
 However if you try this method several times and do not succeed, we will refund the money you paid us for this information.
 Be careful and if you can afford it or know an attorney or real estate agent, let them look over the contract before signing it.