[Vivian Williams]

Vivian Williams

Jackie, you have done some downpayment auctions. I have a seller who wants $450 for his house but is willing to do OF with $40k down.

i was thinking about getting a contract on it and try to find such a buyer, perhaps doing a wrap or do a downpayment auction. Is $40-50k as a downpayment a realistic goal if i opt to do a downpayment auction?

[Jackie Lange]

Jackie Lange

Yes, I’ve done many down payment auctions. a 20% down payment is realistic for a down payment.

You could structure it so the seller gets $30,000 down and anything more than that you both split it 50/50 or even better, you get everything over $40,000

so wotj 50/50, if you get $60,000 down, the seller will get $45,000 and you will get $15000

If you get everything over $40,000, you’d get $20,000 in the example above

[Vivian Williams]

Vivian Williams

Jackie, how long does it take to get paid or close the deal when doing a downpayment auction?

what is the most you ever got as a downpayment from a buyer?

[Jackie Lange]

Jackie Lange

depends on the title companies in your area. In Texas, it takes about 5-7 days to close and get paid

most I ever got for a down payment auction was $50,000 on a $165,000 sale