Agreements for Sale (AFS) = Seller Financing
Want to buy properties but can’t qualify for bank financing?
Want to do win-win deals?
What if the seller was your bank?
What if the seller provided all your financing?
Get creative! Learn how Agreements for Sale turn a seller into your bank.
What Is an Agreement for Sale
The words ‘Agreement for Sale’ are both the name of the strategy and the name of the security document that the buyer gives the seller. There are two key parts to the legal aspect of an AFS deal.
- The seller’s name stays on title, but the buyer takes control of the property and assumes responsibility for it. Keeping the seller’s name on title is like insurance on the deal.
- Once the buyer pays a deposit, if any, the seller becomes the lender for the rest of the purchase price. The buyer is not assuming the seller’s mortgage. The seller is the ‘bank’ for whatever money the buyer owes, which is known as ‘seller financing.’
AFS was formerly in wide use across Canada, and remains so in Alberta and Saskatchewan.
How Agreements for Sale Work
This is an ideal strategy for beaten up properties (ugly houses). It’s also great for beaten up real estate markets where property values have fallen to the point where they might equal or be close to the value of the mortgage on a property.
Sometimes these properties have a negative value. In other words, the mortgage is worth more than the market value. Result: sellers have been known to pay buyers to take over the property!
AFS lets you buy the property for little or no money down, with no mortgage qualification. Because the ideal AFS gives you full control of the property, you are in charge of renewing the existing mortgage for as long as you want.
Of course, the property still has to work for you in the sense that you need to be able to at least rent it for neutral or positive cash flow. Luckily, an AFS situation makes your potential exit strategies much more flexible: add the property to your own portfolio, assign your interest in the property, or perhaps convert to a Rent-to-Own.
7 Modules Covering
Everything You Need
to Start Doing AFS Deals
Module 1: Education
The complete process of buying and selling properties with a low down-payment and no mortgage qualification.
Module 2: Marketing
How to get people with houses for sale calling you.
Module 3: Analysis
Find the opportunity in those ‘no room to make a deal’ deals. Recognize the three income streams.
Module 4: Negotiation
The sophisticated negotiating strategies that create win/win deals.
Module 5: Documentation
The legal paperwork required to close the deals.
Module 6: Deal Management
How to manage the asset once you own it.
Module 7: Exit Strategies
How to successfully exit the deal, ensuring you get paid.
What You’ll Get
With hours of footage recorded from a live Focus Workshop event, it’s the next best thing to being there. Barry and his Focus Team explain Agreements for Sale step by step and answer frequently asked questions. They also show you potential pitfalls to help reduce your risk.
In addition to all that expert coaching, you’ll receive an in-depth manual with even more details. This fully searchable digital guide is an invaluable resource for going as deep as you want on Agreements for Sale. You’ll even get document templates to help you get started.
Buy now for instant access, and start making rapid cash today!