_{Presented by Astra Properties LLC}
Exploring the Surge in Creative Financing: Why It's Becoming the Go-To Strategy in Today's Market
_{By Nicholas Burrus · 11/27/23
Thanks for tuning in to this weeks read! Read time for this week is roughly 8 mins}

Good Morning, Happy Monday!

Thanksgiving is over and we now move on to the Christmas season 🎅 

Fun news that we’d like to share before diving in is starting next week, we’ll have new letters every Monday, Wednesday, and Friday.

Lets get to it

Calling All Investors!

Creative financing options including subject to and seller finance are increasing in popularity in this current market.

As banks tighten requirements, many are finding it more challenging to get a loan.

The alternative? Get Creative!

Doing a subject to deal doesn’t have to be as complex as it sounds. The idea is to assume the sellers mortgage and make payments on their behalf as you take title of the property.

This option is great for 2 reasons:

1. You assume their rate, meaning that if they have a mortgage at 2.5%, you get to take over those payments.

2. You can offer the seller more by assuming their original mortgage, and seller financing the rest.

This could be confusing so let’s dive into it a bit more

Here’s what you do:

This option allows investors to come to the closing with significantly less money, completely changing the barrier to entry for real estate investing.

Before, you needed 10-20% down + closing costs to make a purchase.

Now you just need some creativity and sales skills!

Note:

Make sure the seller is as comfortable as possible before and throughout the sale. Not everyone is familiar with this option, so make sure you explain it in depth to make sure everyone is on the same page.

Remember: Happy seller, Happy life 🕺💃 

5% Down on Your Next MultiFamily? 🏡 

It almost sounds too good to be true 🤯 

Well it is (kinda)

Fannie Mae released a new program that allows buyers to only put down 5% towards their next 2-4 unit property.

The catch?

You have to live there.

Many investors don’t find that option too attractive, especially those beginning to scale

On the other end, it’s GREAT for those looking to get into the game, or those who don’t mind living with their tenants

Personally, if I didn’t have a small family (me, my fiancé, our dog and cat), I would 100% buy a 4plex and live while the 3 tenants pay the note and then some!

Bottom line:

If you’re just starting out or don’t mind living with your tenants, take advantage of this ASAP before someone decides the change the rules (again lol)

💫 What Else is Poppin? 💫 

Sam Altman is back at OpenAI as CEO

What a week, right?

With a new board in place, Sam is back at the helm to lead OpenAI.

Thrive Capital, one of OpenAIs biggest investors, called Sam’s return

“The best outcome for the company, its employees, those who build on their technologies, and the world at large”

So in the span of less than a week, OpenAI fired Sam, shuffled through 2 CEOs, had some board conflict and change of hearts, all just to bring him back.

So again I say, what a week!

Campbell’s Secret Weapon - A 🦃day special!

Speaking of Thanksgiving, let’s talk soup, Campbell’s to be specific!

50% of Campbell’s Cream of Mushroom Soup take place November - January due to the famous Green Bean Casserole dish.

Talk about a fun fact!

Yes, it’s a classic, but what is so special about this dish?

50% of Campbell’s Cream of Mushroom Soup take place November - January due to the famous Green Bean Casserole dish.

The dish was created by Dorcas Reilly in the 1950s and gained popularity after the brand started putting the recipe on its can in the 1960s.

To this day, the recipe is viewed on Campbell’s site over 4 million on Thanksgiving day alone!

Weekly Mindset Check In 💡