Could I go to a commercial realtor and ask this?

**Golfman530** · 04-18-2012, 06:49 AM

I am only 20 years old with very little credit but I am very, very interested in starting a real estate investment company. I realize just like any business that I would have to start small and work my way up, that is why I am here asking these questions.

Since I do not have money for a down payment on say a 12 unit apartment building, could I go into a comercial real estate agent's office and tell him or her my situation and tell them that I need to find a property that offers seller financing? Could I also ask them for help with putting together some type of creative financing options?

I guess I am just not sure if that type of work should be done ahead of time by the buyer or if the realtor can help with this creative financing.

-Thanks

**markbrian** · 04-18-2012, 09:53 AM

It is going to be very very hard to find an owner willing to finance any property without a down payment. Normally sellers are going to want 10-25% minimum down payment.

Yes there are those rare occasions that a seller will finance with no down payment, but it is very rare.

Who is going to pay the REALTOR the commission at closing since you have no down payment?

**CC Lifestyle Realty** · 04-18-2012, 09:58 AM

Commercial lending generally requires down payments far more than residential homes. If you have very little money and credit it may be very very tough. You could try to find someone willing to help but don't be surprised if it takes you a very long time and a lot of "no thank you" type responses. If you have little money it is best to invest in residential homes and then lease but even then you will need a decent down payment since you are required to inform the lender you will not be the resident. My advice is save up till you have about $20,000-$30,000 then start looking for a single home to lease. You only other option is to find a few people willing to go together. That is how I got started way way back when but there are other aspects you need to consider. Will you have an LLC, partnership, operating agreement, etc., etc.

**Golfman530** · 04-18-2012, 03:43 PM

Thanks for your answers. My goal is to start my own LLC and do nothing but invest is comercial apartment buildings full time.

My dad and grandpa have owned and rented property since the mid 70's but they have never done it full time but rather as a side income. I have such a intense desire to be successful and am willing to put in all of the hard work required but I am just having issues with how to actually start. I am a senior in college and have very little money to get started with so I am trying to think of how I can get started.

How do these other full time investors get started without piles of money laying around?

**CC Lifestyle Realty** · 04-23-2012, 09:06 AM

Start saving money. Just like anyone who starts from ground zero you need to put in a lot of your own time and money before you make a dime. If you are fortunate enough to find an investor then you are lucky. They will want someone that knows a great deal about the real estate business and the local housing market. They are after all risking a large amount of money. You need to start small with residential and probably with a managing company. There is a lot to learn.