Chris Prefontaine walks through structuring deals on inherited properties. Start by finding who decides, whether heirs want owner financing or a quick discounted sale, and if probate court is forcing a timeline. The answers determine your pricing and whether the deal works.
Chapters
All right, welcome to this week's Q&A Thursday. I want to chat with you guys about something that comes up, oh, every few months in our community. I know it must come up if you're out in the field. Can you enter a creative real estate deal with a house that has been inherited by heirs, whether it's 2 or 10? The answer is pretty simple, and it all comes down to asking the right questions too. And I just want to preface this whole Q&A with— when we're talking to sellers, it's all about one of two things: solving a problem for them or helping them accomplish a goal the market's not helping them accomplish. Usually the latter is like a free and clear house or free and clear building. That's how we bought our building. Realtors were coming to him with cash offers and he said, Chris, they just don't get it. I don't want a cash offer. I want to owner finance this property. So back to questions. When you run across a property that's been inherited, the questions are simple and somewhat in this order would be helpful. Number 1, are you the only heir and/or decision maker? Okay, because then if it's just one, then it's, it's just like you're dealing with a regular seller. 2, are the heirs— if there's more than one— are the heirs more apt to Take more money over time and maximize what they're getting out of the property, or is, is the goal more along the lines of, I'll sell at discount no matter what I gotta do, foreclosure? Kind of piggybacking that, is there any court order or probate order or anything going on whereby they need to or are ordering the estate to be cleaned up, in which case it would just have to Discount until sold. Those will tell you what you can do. And then last but not least, okay, so similar to a seller script, okay, so if it doesn't sell, it sounds like to me you'll just lower the price no matter what to get it sold, or will there be a point at which you want to consider other options or a plan B? That's it, guys. Questions like this are awesome, so keep them coming in. Best to email them to support@smartrealestatecoach.com. We'll, we'll keep coming out with these Q&A Thursdays for you. Also, if you want to get them live answered live, come on the Wicked Smart Sit Down. It's every Thursday at 4 o'clock. We've been doing this, I don't know, 7— since 2017 or '18. And you can come on. Now sometimes there's a guest speaker, but when there's not a guest speaker, you're welcome to come on with any questions, any deals, anything you got going on, and we'd love to help you. Whether it's helping you through a challenge, a script, a question like you see in the Q&As here, either way, we'll get after it on the Wicked Smart Sit Down, Thursdays, 4 o'clock Eastern Standard Time. Hope to see you there this week. Thank you.
