In this webinar segment, Zach outlines the primary motivations that lead property owners to sell to real‑estate investors: (1) maximizing the sale price, (2) converting a liability into cash‑flow by off‑loading a tired or inherited rental, (3) estate and tax‑planning needs, and (4) various forms of debt relief, such as multiple mortgages, lack of equity, or delinquent payments. The discussion emphasizes that these scenarios are common and present opportunities for investors. Rick then provides a concrete example where he acquired two properties from a seller who faced three mortgages, using a subject‑to (sub‑to) strategy, assuming the existing loans and paying the seller a $30,000 cash bonus. The tone is instructional and peer‑to‑peer, aimed at investors learning to identify seller pain points and match them with appropriate deal structures.
Chapters
Also, debt relief could mean like somebody doesn't have any equity in their property or they're behind on payments, which we see a ton of. So here's just some examples and we'll go through again different ways and why sellers will sell to us. Number one is maximizing price. Two is creating cash flow. So tired landlords or inheritance and they just want to create cash flow. They have an asset. They want to turn it from a liability to an asset. Estate or tax planning purposes. Chris mentioned a commercial property which we actually just exited out of, and that was specifically sold for estate and tax planning purposes. And I'll dive into more about that guy's background when we go through that deal. And then debt relief. And debt relief could come in the form of many different things, meaning somebody has 2 mortgages and they don't want to— which we, me and Kevin, were discussing in one of our masterminds. So or the Immersion Mastermind, which if you don't know what that means, we can go over the different— one of the ways that we work together. And we talked about these particular sellers that had 2 mortgages. They needed debt relief. They didn't want to keep paying on both of those. That's a high cost to come out of property— come out of pocket. But then also debt relief could mean like somebody doesn't have any equity in their property or they're behind on payments, which we see a ton of.
Zach, before you scoot on, um, the next slide, if I, I don't know if Rick's on, but I think it was interesting when I talked about this last week, uh, out of the blue Rick gave like 2 examples of— there's so many reasons, there's 50 reasons why sellers will do it, but if, but if he wants to share a reason or 2, it just to get people thinking, because everybody on here runs across these people now, they just don't know what to do with it.
Yeah, um, I had a couple deals that They were side by side, owned by the same seller, and they relocated to Virginia, which would have been 3 mortgages. Oh, wow. He sold it to me just for the— as a sub-to. So I just took over the mortgages and gave him $30,000 on top of it.
And Rick, how many of those had you done in your lifetime before? Zero.
