Improve Your Sales Funnel for Accountants in Vendor Negotiations

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hey in this video I am negotiating a seller finance deal live on camera with the listing agent and a couple of things I want you to take notes of while you're watching this video is when you're negotiating a Sal Finance deal there's so many things you can work on right so if the homeowner says Hey I want High down payment you say well you know what I don't think I can do high down payment can we do lower down payment but I will bring up the purchase price right well let's just say hey the homeowner says I want 5year balloon I'm on seven-year balloon you say you know what I don't think I can do a five or seven-year balloon can we do maybe 10 year balloon but I'll bring up the interest rate so there's so many things you can work together on with the seller and it's one of those deals where everybody can actually win hope you learned a thing or two and if you have any deals in Arizona Las Vegas and Tampa Florida I am your buyer for your deal so send them my way hey this is Kevin hi Kevin hey um I was calling about your listing on the in senton Valley hey uh I the war the war has been going around the street that your uh that that listing your sell is open you're doing some sort of seller financing yeah but he was really tied on it tied what what do you mean tied on on it well he wanted a lot of money up front Okay does he doesn't have any mortgage on this house right he does not okay so he owns a free and clear and he's open to doing some sort of seller finance um did he give you did he give you any preliminary terms like what he's kind of looking for like well he's uh 78 years old and not real healthy and he says he wants his money before he dies okay so he won't go long term on getting the full amount okay real long term you know like H how long are we talking like um probably about 15 years okay so he wants he wants like a 15-year balloon right yeah okay uh so obviously he wants down payment uh do you know what kind of rates he's looking for what kind of rate did you say yeah um now I don't know that okay he hasn't talked about that the rate and I had not answered or asked him that I'm sorry oh no no no there's no no reason to be sorry I I suspect he he'd want the going rate or maybe a little bit less okay so uh I mean most of I I do a lot of seller finance here in the valley and lot of believe believe it or not I've never done it yeah believe it or not I have a lot of homeowners that want that just wants to give me you know almost 0% financing and the highest seller finance I have is 3.5% okay I can give him any offer that you give me okay well I just kind of I just kind of want to gauge where gauge where he's at because at the at the end of the day I don't want to be offensive and you know I want I don't I don't want well at the end of the day what he wants is to have at least most of his money before he passes away and he's 78 years old who knows how long that is right yeah I mean he's got at least 15 years left yeah and I expect that's what he' do is 15 years yeah I mean so so what I'm thinking is we can probably schedule the payment for 30 years so it's reasonable payment and then we can give him lump suum at the 15year Mark something like that yeah okay uh and do do you know roughly how much he wants down maybe like you know 5% down um are are you talking about 5% off of his 624 yes like how much down payment is he looking for I think he's looking more like 30% so somebody's got to come in with almost 200 Grand yeah I told you he's tough what what what do you think about that I think he' do that no I'm saying what do you think about the 30% down for just buyers like me oh I think it's a lot but he's a rough old man and he's really tough about stuff like that okay okay so this this is what I need help with is I I want to know what you know obviously the down payment wise I I can tell you right now I cannot do anywhere close to 30% or even 20% or maybe 10% at most that's that's probably the most I'll ever do 10% if that 10% would be 62,000 right and and I don't even know if I want to do that like I want to be I want to be in into the deal as little money as little money as possible but I be happy to increase the purchase price so if I can do like 5% down and maybe bump up the purchase price price to maybe from 6:30 to maybe 640 to 645 I'll be happy to do that he probably yeah he'd probably do that you think he'll do 5% down and we we bump bump up the purchase price to 630 640 yeah what would you pay per month well how much does he want to get paid every single month I yeah I don't know I'm just going by what other offers for okay so so this is what I'm thinking this is what I need you to help with because obviously I don't have any access to the seller if you you can get him to take 5% down I'm going to give you a verbal offer 5% down 3% interest rate final purchase price 640,000 and 30-year term with a 15-year balloon 30-year term with 15% with 15 year balloon means in the 15 years you'll pay it off yeah yeah so we'll schedule the payment so that monthly payment is you know 30 scheduled for 30 years but when the 15E here comes I'll give him all of his lumps some a front left yeah so so he get to enjoy his enjoy his retirement you know okay I'll tell him that yeah what's the monthly payment uh let me let me do the amortization SCH real quick so let's just say I do 460 uh what what did I say 400 no 640,000 I do a I do a 5% down third year at 3.5% okay his multi payment is going to be $2,700 okay so every month he'll make $2,700 15 years I'll pay it off so in 15 years he'll get a he'll get a check for almost $400,000 that's the 15 month that's right okay and obviously your your commission will be covered as well thank you of course what else do you right what else do you have um that's the only thing I have right now that's up for sale okay I don't have anything else okay got it got it all right well I appreciate you working with with me my name is Kevin Kevin yeah you can save me I I live local even though I have a California number I live locally here in Phoenix I I live in auki matter of fact the house that I'm living in I bought it on Stellar Finance the homeowner gave me 3 3.5% interest rate when do you want to close on this give me 3 weeks if he says yes to that term I'll go see the house no inspection I'll just go make sure make sure the house is is in livable condition and I'll pull the I'll pull my earnest money down and we'll close in through weeks and your earnest money will be uh 5 five grand okay the house is in perfect condition I see it backyard and thank you so much for working with me if you can get these terms I will do the deal with you Hey Kevin what's your last name my last name is Cho c h o e all righty Kevin I'll talk to you after I hear from him thank you so much oh thank you bye bye so whenever you're negotiating a seller finance there's way more there's there's way more pieces to it because you have obviously the mortgage or you have the down payment you have the interest rate you have 30 is it 30e schedule or 15-year schedule or and how long of a balloon does does he want right he want he wanted a 15-year balloon there are four terms to the to the numbers right but then obviously there terms like how quickly can you close what's the earnest money you're going to put down you know all those things are you going to have inspection period or no inspection perod so there's so many things you can work around with so he he said he wanted 30% down and if we can get if you can pay him like10 to $15,000 more on the purchase price but get like get get into the deal with 5% down that's a deal that I that I would probably do right so uh just kind of you know you got you you want to know like okay I rather do lower down payment and up the purchase price because the purchase price at the end of the day is kind of irrelevant you want to only only thing you really need to care about is okay how much money do I do I have put into this deal and what's my return on that investment so if I have 10 grand into the deal and I make 400 bucks a month I rather rather have that than I make $1,000 into the deal and I make you know $1,500 a month you know so always always think in terms of okay what's my Roi how much money do I put in and how much money do I get out hey I hope you learned a thing or two and if you really got anything out of this please share with two people that you think will benefit from it because at the end of the day I want to buy deals from you I want to I want to do a lot of deals with you guys and I also want to buy a lot of deals for my portfolio from you guys so there's if if you want if you can share with two people that you that you think will benefit from it I would hugely appreciate it I don't make any money doing this so this is just truly for me to help you out and this and I would love I'd love to get some feedbacks by if you were to share with other people so thank you so much and have a great day