Texas is a hot spot for housing markets. With the influx of people moving to the state, and the ever-growing population, the demand for homes has skyrocketed. This has driven prices up and made it difficult for many people to afford a home in Texas. However, there are still ways to get into the competitive market.
One way to do this is by finding a home that is being Cash Flowed. Cash Flowing is when an investor buys a property outright with cash, and then allows buyers to purchase the home from them using their home loan. This method puts you in a much better position to win in a Multiple Offer situation.
If you are interested in Cash Flowing a home, the first step is to find an experienced and experienced and reputable real estate agent. Once you have found a real estate agent, they will help you locate properties that fit your budget and needs. And they will help you find the right property, and make an offer.
When making an offer on a Cash Flowed property, it is important to be aware of the following:
-The Cash Flow company will likely want a higher earnest money deposit than what is typically required (this is to protect their investment).
-You will need to be pre-approved for a loan from a lender before making an offer (the Cash Flow company will not lend you the money).
-Offers are usually made based on the After Repair Value of the property (this is what the property is worth after all repairs and renovations have been completed).
If your offer is accepted, the next step is to complete due diligence and get financing in order. Once everything has been finalized, you will then close on the property and start making monthly payments to the Cash Flow company.
It is important to remember that Cash Flowing a property is not for everyone. It takes a certain level of knowledge and experience to be successful. However, if you are willing to put in the work, Cash Flowing can be a great way to get into the Texas housing market.