When I sign a deal, I use MY contracts. On my contracts, there isn't even a space for an earnest money deposit when I'm buying. (I do collect one when selling.) This cannot be done when dealing with a realtor.

On a strictly cash deal, my contracts contain a clause stating that the seller is giving me (or my realtor) the right to show the property BEFORE I close. This means that I can show the property to possible buyers without having to put any money down or getting a mortgage.

This is how I tie up and am able to close a deal without having to put money down or getting a mortgage. I can either assign my agreement to my buyer or do a double closing. In a double closing, the buyer brings their down payment and their lender sends the funds to the closing table. The closing lawyer uses these funds to pay off the seller, giving me ownership. I then sell the property that I just bought to my buyer. I never have to bring any money or get a mortgage.

The only money you need to spend comes from marketing. You need to advertise to get motivated sellers calling you. You then need to advertise your properties for sale.

This is only one of MANY different ways of doing "no money down" deals. I do lease options, contract for deed, "subject to", owner financing or VTB, cash deals, etc. None of them require a down payment, earnest money deposit or having to get a mortgage. Yes, these do indeed work in Canada. There are some differences from how they are done in the states, so most of the US only books and materials don't really show you what you need. You can come over to my site or e-mail me for more information or help and I'll help you any way I can.

Matt Bowman
Related link: www.REItoolbox.com