In today's podcast we will be going over a situation that another investor has recently found himself in.

As I read through this scenario, I will answer any questions they have and I will explain what I would do/have done in this type of situation.

Show Notes
In This Scenario, We Cover:

* Say I get a house under contract for $70k. The as-is price is $100k. The seller agrees to hold a 30 year amortized note, in which they receive monthly payments. There is no down payment and no interest so the seller is receiving $195 per month for 30 years. Given that we are wholetailing, the best case scenario is if I get this property under contract with plenty of time before closing, say 2-3 months. If I sell this property (have a buyer lined up) before closing with the original seller, does my resell of the property extinguish the note? In other words, they no longer get their monthly payments but rather just get the lump sum of $70k, and I get my $100k (minus closing costs?) That said, is exchangeable collateral the only way to ensure that the seller keeps receiving monthly payments even after I resell the property?

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Resources
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Yellow Letters – www.YellowLetters.com