Finding Homes For Sale With Seller Financing - Part 3

Published by peter | Filed under Real Estate

One key piece of information about owner financing is that there are no rules or specifically defined specifications for what we call seller financing. Any method of thinking outside of the box when selling a home is an acceptable solution. Here are a few to stimulate your thinking:

• The seller holds a 2nd mortgage in an amount equal to 23% of the sales price (down payment plus closing costs).
• The seller requires no payments on the 2nd mortgage until a balloon date in the future (allowing the buyer to make payments on the portion of the home that he or she can afford).
• The seller holds a 2nd mortgage with an interest rate that brings the total mortgage payment to the level the buyer can afford.

By now, I hope you have considered that the best way to find homes for sale with seller financing is to “create them.”  We have already addressed the fact that most sellers do not understand the benefits of utilizing owner financing to sell their home.  Because of this, we need a great real estate professional to present offers to home owners and explain to them why they should consider financing all or a portion of their home.

That’s right, every home on the market is a home for sale with seller financing, if you work with a great real estate agent. Rather than run out and talk to every home seller that advertises “Owner Financing,” first start with somebody who will work for your best interests and find you the single-best home to buy!