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There you have it _ the essential elements to include in a LOI. Nothing too complicated _ and if it is too complicated you will likely scare off a serious Seller! The LOI is really just a simple business letter outlining the price, terms, and conditions that you would like to get when purchasing the property. Those are the basics, and everything will vary from project to project. Again, a LOI is a great tool in your toolbox to begin discussions when purchasing real estate. Keep these steps in mind when you are looking to make your next purchase of an investment property.

It is good to use an LOI to gauge the viability of purchasing the property based on the price an terms you are considering. IN other words, it is good to use to gauge whether or not the offer you have in mind is even going to come close to making sense to the seller.

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