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A Novation agreement can be a strategy for fixing and flipping houses without upfront cash. The speaker illustrates this using an example involving a Toyota Sequoia listed for $67,000. They propose negotiating the price down to $8,000, even though they don't have the funds but would seek someone who does. This method is framed as a Novation agreement. However, the speaker expresses a preference for alternative strategies, such as buying a property subject to existing financing. They highlight the likelihood of successfully negotiating lower prices, suggesting that sellers on platforms like Craigslist may be receptive to offers significantly below their asking price.
