You Can Build the Life of Your Dreams with Terms Deals

By implementing these daily disciplines, you can achieve success in whatever you desire — it just takes time.

You Can Build the Life of Your Dreams with Terms Deals

One of the best things about the real estate industry is that you are ultimately in control of how much money you make. The more work you put into it, the more you'll get out of it. And the more you learn, the more profit you can create for yourself.

So when someone comes to us with a very specific goal in mind, we get excited because we know that with our help and their drive, they'll be able to accomplish it.

One of our recent Associates did exactly this—they enrolled in our program with the goal of using terms deals to one day retire with a house on the beach in Jamaica. We thought this was a great (and attainable) goal for our Associate to strive for. As long as they took the time to learn the ins and outs of the  TERMS niche inside this lovely industry and put the work in to close out a few deals, they'd be well on their way.

So let's take a look at our Associate's fourth deal, which will be one of the final deals they need to complete before securing that beach house in Jamaica. Once you see how this deal shapes up, you'll see why just a couple of terms deals can truly change the course of your life utilizing our unique 3 Payday ™ system.  We say that because our family average is approximately $75,000 per deal all 3 Payday ™ and our students around North America average a low of $45,000 to a high of $250,000 and up.

Motivation, Motivation, Motivation

We often say that there are millions of people that want to get into homes on terms. Especially with the COVID pandemic, banks are getting tighter on financing and people are finding themselves unable to qualify for a traditional mortgage.

If you can't get traditional financing and you're currently renting a home, why would you not want to get into a terms deal? In a terms deal, you'll likely be paying the same amount of rent as you would have otherwise, but by the end of the term you'll be a homeowner and you can start paying down the principal on your home.

That's why we always talk about the value of motivation with these deals. There is motivation on both sides—the tenant-buyer wants to get into a home and the seller wants to get their property sold and cash out their investment.

In this case, the seller wanted to move to a different location and had already bought a home there. His first house sat on the market for several months with no interest. After it expired, he got a call from our Associate and they talked about setting up a deal.

The tenant-buyer, on the other hand, had moved to this area from a different state for work and was living in a corporate apartment complex. They were spending a significant amount of money on rent each month (with nothing to show for it) and they couldn't qualify for a traditional mortgage. So they jumped on the opportunity to get out of their apartment complex and buy a home through our rent-to-own program.

There are many different motivations that buyers and sellers may have, and once you can understand some of the nuances around these motivations you'll be even better equipped to structure deals that help everyone involved.  The focus is always to see where you can help solve the challenge or problem or a previously unattainable goal.  When you do that, it’s a 3-way win.  Incidentally, with COVID still rampant, both buyers and sellers are coming to us in increasing numbers as we have the solution.

How do you create wealth?  Get ahead of trends while simultaneously becoming a guide for those in need of better solutions.  Our TERMS niche is doing just that and is THRIVING as a result.

All 3 Paydays ™

This deal was structured as a 36-month sandwich lease purchase. The purchase price was $420,000 and the seller had $205,378 in underlying debt on the property. That means our Associate owes him $214,621 in equity at the end of the term and that’s how it’s discussed- seller cash-out versus price.  The price is simply used for the formula in Sandwich Lease deals.

Payday #1 is the down payment, which ended up being right around 10% in this case—$44,000, to be exact. Our Associate also was able to capture the first month's rent of $3,000. This is something we do on nearly all of our deals; we structure them so that we don't start making payments to the seller until 30 days into the term.

Payday #2 is the monthly spread on the home. Our Associate owed $2,437 to the seller each month and was receiving $2,635 from the tenant-buyer. That's a spread of $198 each month, which comes out to $7,128 over 36 months. Not a massive Payday #2, but it all adds up in the end!

Payday #3 is the markup on the sale of the home plus the principal paydown accrued over the length of the term. The principal paydown is where we receive a significant amount of profit, and this deal is no exception.

The markup was $20,000 (our Associate agreed to a sale price of $440,000 with the tenant-buyer) and the principal paydown ended up being $1,500 per month. Over 36 months, that's $54,000 added to Payday #3.

When you remove the initial down payment of $97,000, our Associate is left with $84,128.

Achieving Your Dreams Through Terms Deals

As we mentioned in the beginning, our Associate came to us with the goal of retiring on the beach in Jamaica. This was his fourth deal since getting involved in terms deals, and he has a few more in the pipeline.

As a result, he's already purchased a plot of land and will be building a home to retire in very soon. With just a few more deals, he'll be able to retire and live the life of his dreams.

This is something we see time and time again. These types of deals give you cash-in-hand at the beginning, consistent cash flow throughout the term, and a large Payday at the end, thanks to our 3 Payday ™  system. With just a handful of deals, you can build significant profit.

If you're willing to put the effort in, educate yourself, and get deals done on a consistent basis you can build massive generational wealth with terms deals. This is just one of many examples!

What is it that you’d like to create that you’re not already creating?

Are you working for a paycheck or even doing real estate deals that are one-pay deals, very transactional?

At our upcoming Business Scaling Secrets virtual event (March 31st and April 1st) we will be showing you how to launch and scale this niche – register at

How many deals like this would you need in order to build the life of your dreams?